Global Village Marshall Mc. Luhan, a media and communication theorist, coined the term “global village” in 1964. The world’s culture shrinking and expanding at the same time due to pervasive technological advances that allow for instantaneous sharing of culture
Definition Globalization is a process of interaction and integration among the people, companies and governments of different nations. A process driven by International trade and investment. The process has effects on environment, culture, political system, economic development and on human physical well-being in societies and around the world.
Economic Globalization Economic globalization is the increasing economic interdependence of national economies across the world through a rapid increase in cross-border movement of goods, services, technology, and capital. It involves goods, services, the economic resources of capital, technology, and data.
Cultural Globalization Cultural globalization refers to the transmission of ideas, meanings, and values around the world in such a way as to extend and intensify social relations. Cultural globalization involves the formation of shared norms and knowledge with which people associate their individual and collective cultural identities. It brings increasing interconnectedness among different populations and cultures.
Political Globalization Political globalization refers to the growth of the worldwide political system, both in size and complexity. The amount of political operations between or among the courtiers. Global Organization such as United Nations have helped to increase the degree of political globalization/
Phases of Globalization Exchange of Knowledge (15 th -18 th century) The Discovery of America Introducing Gregorian Calendar Discovery of Heliocentric view of Solar System
Phases of Globalization Transportation and Communication (2 nd half of 19 th century) Four advancing technologies; Trains, Steamships, Telegraph, Postal System
Phases of Globalization Golden age of Globalization (began in 1945) Economic Expansion New international trade agreements and institutions formed. Such as; �International Monitoring Fund (IMF) �World Bank �World Trade Organization (WTO)
Causes of Globalization 1. Improved Communications The development of communication technologies such as internet, email and mobile phones have been vital to the growth of globalization because they help MNCs to operate throughout the world.
Causes of Globalization 2. Improved Transport The development of refrigerated and container transport, bulk shipping and improved air transport has allowed the easy mass movement of goods throughout the world.
Causes of Globalization 3. Free Trade Agreements MNCs and rich capitalist countries have always promoted global free trade as a way of increasing their own wealth and influence. International organizations such as the World Trade Organization and the IMF also promote free trade.
Causes of Globalization 4. The Growth of MNCs The rapid growth of big MNCs such as Microsoft, Mc. Donalds and Nike is a cause as well as a consequence of globalization. Globalization allows MNCs to produce goods and services and to sell products on a massive scale throughout the world.
The Effects of Globalization 1. Changed Food Supply Food supply is no longer tied to the seasons. We can buy food anywhere in the world at any time of the year.
The Effects of Globalization 2. Division of Labour Because MNCs search for the cheapest locations to manufacture and assemble components, production processes may be moved from developed to developing countries where costs are lower.
The Effects of Globalization 3. Less Job Security • In the global economy jobs are becoming more temporary and insecure.
The Effects of Globalization 4. Damage to the Environment • More trade means more transport which uses more fossil fuels and causes pollution. • Climate change is a serious threat to our future.
The Effects of Globalization 5. Cultural Impact Websites such as You. Tube connect people across the planet. As the world becomes more unified, diverse cultures are being ignored. MNCs can create a monoculture as they remove local competition and thereby force local firms to close.
The Effects of Globalization 6. Increase in anti-Globalization Protests • There is a growing awareness of the negative impacts of globalization. People have begun to realize that globalization can be challenged by communities supporting each other in business and society and through public protest and political lobbying.