1. Globalisation and the Legal Profession Alison Hook Head of International The Law Society

2. What is globalisation? There is no agreed definition. Can only identify symptoms e.g. Growth in trade, foreign investment, migration. But there are substantive differences in current phenomenon: Technology and speed of communications overcome ‘tyranny of place’ Greater integration (no of transnationals 7,000 in 1960s - 37,000 in 1980s, intra-industry trade now in majority). Growth in consumer information & mobilisation (e.g. Brent Spar) + ‘cultural angle’

3. What does globalisation mean? May not be able to define globalisation but can say what consequences it has: “More intense competition driven by closer integration” To understand effects of globalisation on lawyers, must understand how competition affects the profession.

4. How does competition affect the legal sector? Existing Rivalry Threat of new substitutes Degree of regulation Client power Entry of foreign firms into the market

5. How is globalisation affecting competition in the legal sector? Growth of concentration Innovation in legal sector through the Internet Sharing of information by govt. & competition authorities Growth in Client power via disinter- mediation Growth in interest in foreign practice (e.g. WTO)

6. What can lawyers learn from others about globalisation? –Size isn’t everything: Globalisation doesn’t mean that small firms cease to exist. –There are few genuinely global products: Domestic legal practice will not disappear. –Globalisation is not a zero sum game: The income generated by international firms entering a market do not necessarily come at the expense of the local market.

7. Conclusions Globalisation is a challenge but it can be managed: –How can Bars help to provide more opportunities for specialisation and differentiation? –How can Bars manage trade in services liberalisation without losing an international client base? –How can Bars ensure universal availability of legal services in a more competitive and globalised world?