Contemporary globalization Chapter 2 n Contemporary Globalization Definition

+ Contemporary globalization Chapter 2

+ n Contemporary Globalization Definition: n n #1: Force or process that involves the entire world and results in making something world-wide in scope #2: Increasing interconnectedness of different parts of the world through common processes of economic, environmental, political, and cultural change. n Has been underway sinception of modern worldsystem in 1500 s n 1800 s modern framework for globalization developed n Global connections today differ in four ways from past n Function at much greater speed n Operates on a much larger scale n The scope of global connections is much broader and has multiple dimensions n Interactions and interdependencies among numerous global actors have created a new level of complexity for the relationships between places and regions

+ n Contemporary Globalization Modern Technology has created quick movement of money, materials, products, technology and other economic assets n Globalization has had both positive and negative repercussions: n localization: places might be attractive because of resources, or it might be suitable for new factories, extract materials, sell them, etc. n heightened economic differences: example, factories closing in the United States and open in Mexico due to cheaper labor. n Specialization on local level n Each place plays a distinctive role based on its local assets

+ n n Economic Globalization People are plugged in to a global economy and culture. This produces a world that is more uniform, integrated, and independent. n Only a few areas are still isolated/ sheltered n Subsistent areas n Most areas interdependent n Choice of crop in one country based on demand in another Commodity Chains n Networks of labor and production processes that originate in the extraction or production of raw materials and who end result is delivery and consumption of the finished commodity n Network span countries and continents n JEANS EXAMPLE!!! n Pg. 53 in textbook (Knox)

+ Economic Globalization n Historically people had difficulty moving $ and goods from one country to another, modern technology has changed that n Led to creation of transnational corporations n Definition: n Transnational corporations conduct research, operates factories, and sells products in many countries, not just where it’s headquarters are located. n TCs assess particular asset of a place and correctly identify the optimal location for each activity n ex: extract raw materials n Produce parts n Manage operations n Develop engineering systems n MCDONALD’s

+ Transnational Corporations n n Other examples: n Airbus, BP, Virgin Groups n 2007 = 79, 000 operating n Account for 11% of world’s GDP n 1/3 rd of exports Globalization of economy has heightened economic differences among places n i. e. n factories closed in U. S. and moved to Mexico n Using India for call-centers n Global recession 2008 n 1 st world-wide economic recession n Usually contained to nations or regions n Effects of recession varied n 1 st time global recession affected everyone n Example n U. S. homebuyer, banker in U. K. , sales clerk in Japan, clothing maker in China, construction work in Nigeria n All subject to falling demand lack of credit

+ n Cultural Globalization has important cultural dimensions n Previously cultural diffusion limited to specific places and regions, no longer the case n Consumer culture n “global” or uniform landscapes n Communication n TV promotes globalization but also can promote diversity n Example: Sesame Street n Shown in Japan with similar characters, similar goals, but stresses filial piety and other Japanese characteristics n Not all peoples want to be “globalized” n Resistance n Shut off from “globalizing” n Conflict n Political (Iran, Taliban, Afghanistan) Lack of uniqueness n All adds to an intensified global connectedness and the beginnings of the world an interdependent system n For some places globalization is a central reality, others it is still a marginal influence n n There is no one experience

+ n n Westernization Heart of tensions is a marked disillusionment with the West, especially within traditional Islamic societies In much of the world modernization now means “westernization” or “americanization” n In peripheral countries only select few enjoy western-style consumerism n Gap between rich and poor countries widening n U. S. aid budget declining = bad reputation for United States n Conflict n 9/11 , Taliban n “ New Imperialism” n Imperialism of the United States, the world’s only superpower n The world regards U. S. as imperialistic n “War on Terror” n Reinforced by: n military threats against North Korea and Iran n Deployment on special forces for rendition

+ n Key Issues in a Globalizing World The integrated global system has increased awareness of a set of common problems n n n Security issues n Spread of weapons of mass destruction n Risk of accidents involving radiation n Instability of financial markets n International terrorism n Disparity issues n Core has consolidated n Three major centers n North America, European Union, Japan n Gap between wealthiest 5 th of population and poorest 5 th has increased threefold since 1965 n Resentment brewing Environmental Issues n Human- environment interaction n Climate change n Environment degradation n Sustainability Health issues n Increased travel = increased spread of disease n Pandemics n HIV/AIDS

+ Future Geographies n Globalization of capitalist world system has been developing for at least 500 years n Since WWII it has been accelerated and dramatic n Future? n Optimistic: n Potential for technological innovations n Faster more effective transportation and communication n World governments? n Pessimistic: n Finite nature of resources n Fragility of environment n Pop growth too large n Middle road? n Period of transition n Soviet Union collapse n 9/11 n 2008 Global financial crisis n Increasing power/ influence of China and India n Shift in power in wealth from West to East n Increased conflict in Middle East n Resource pressure n Lots of uncertainties n Climate n Arab- Israeli conflict n energy