Globalisation

Types of Globalisation - Financial/Economic The economies of the world are increasingly more global in scale. Stock markets in one region can drastically affect those in other regions. Companies now operate on a global scale selling and producing products all over the world.

Types of Globalisation - Financial and Economic EX. Recent slowdown in China has caused stock markets to drop across the world. Increased energy production (fracking) in the U.S has led to an oversupply causing oil prices to drop from dollars a barrel.

Technological Globalisation Technologies have enabled us to receive information and communicate with people all over the world. Internet, , Skype, Facetime, advances in travel (Planes, Shipping etc) All these expand our worldview and enable increased global interactions. Enabled companies to go global. Ex. Call centres outsourced all over the world.

Political Globalisation With a more interdependent world governments work together. Countries join together to support trade deals such as NAFTA, and TPP. Have to also agree on rules they will abide by to work together. EX. Transcanada Pipeline

Cultural Globalisation Gradual merging of the world’s cultures as the expence of local cultures. T.V. Shows, celebrities, food, trends become increasingly global. Values are also becoming more global. Critics say this will lead to a narrowing humanity to a single culture with less diversity.

Ecological Globalisation People are realizing that the planet must be treated as a single ecosystem. We all share the Earth’s atmosphere, Ocean etc. and we must work together to solve environmental problems.

Sociological Globalisation This is the belief that we are all part of a global community or society. Certain values are considered universal. Example: Human Rights Doctrines.

Geographical Globalisation Geographers have adopted a global focus to studying geography because many issues now have a global scale. Environment, culture, health, economy, population must now be examined using a global lens to truly understand problems.

Criticisms of Globalisation Cultural and Societal globalization may result in the loss of local cultures, infringe on religious beliefs, promote Western culture more than others.

Criticisms of Globalisation Economic and Financial globalisation may lead to putting profits ahead of people. Countries compete with each other for jobs which can result in a lowering of worker’s rights, environmental protections. Select companies will become very large and outcompete small businesses.

Transnational Corporations Companies which operate on a global scale. Global sales Global production

Transnational Corporations Companies become very large ex. Wal-Mart has $218 billion in revenues which is more than the GDP of Greece, Hong Kong, Portugal, Israel and Singapore.

Transnationals Corporations Although they operate globally, their headquarters are usually in the industrialised countries. This means a loss of tax revenues for all the countries in which they operate, even though they may use those country’s resources.

Benefits of Transnationals Products become more available globally. They are cheaper Creates a larger world economy which gives people more work. Sharing of skills and technologies

Critics of Transnationals Drives local smaller companies out of business As they get more powerful they can erode laws and governments. Money buys influence in governments. Profits and the best jobs go to the industrialised countries. Countries have to compete and may sacrifice human rights, and environmental laws to attract companies.