Globalization Definition and Drivers

Study Notes

Globalization refers to the increasing interconnectedness and interdependence of the world's economies, societies, and cultures.
It is a complex and multifaceted phenomenon that involves the integration of economies, societies, and cultures through cross-border trade, investment, and the flow of ideas, technology, and people.

Technological advancements: Improved transportation, communication, and information technologies have facilitated global connections and exchange.
Economic liberalization: Reduction of trade barriers, tariffs, and quotas has increased international trade and investment.
Political and economic integration: Regional and global institutions, such as the European Union, NAFTA, and WTO, have promoted integration and cooperation.

Global supply chains: Production and distribution of goods and services across multiple countries.
Outsourcing and offshoring: Companies relocate certain business functions to other countries to take advantage of lower labor costs or skilled workforces.
Foreign direct investment: Multinational corporations invest in businesses and operations in other countries.
International migration: Movement of people across borders for work, education, or other opportunities.

Economic benefits: Increased economic growth, job creation, and access to new markets and resources.
Cultural exchange: Sharing of ideas, values, and cultural practices across borders.
Environmental concerns: Increased resource consumption, pollution, and climate change.
Inequality and uneven development: Widening income gaps between rich and poor countries, and within countries.

Exploitation of workers: Low wages, poor working conditions, and labor rights violations in developing countries.
Cultural homogenization: Loss of local cultures and traditions in the face of globalized consumer culture.
Environmental degradation: Unregulated business practices harming the environment and public health.
Increased inequality: Concentration of wealth and power among a few multinational corporations and individuals.

Globalization is the increasing interconnectedness and interdependence of the world's economies, societies, and cultures.
It involves the integration of economies, societies, and cultures through cross-border trade, investment, and the flow of ideas, technology, and people.

Technological advancements improve transportation, communication, and information technologies, facilitating global connections and exchange.
Economic liberalization reduces trade barriers, tariffs, and quotas, increasing international trade and investment.
Political and economic integration promotes integration and cooperation through regional and global institutions like the European Union, NAFTA, and WTO.

Global supply chains involve the production and distribution of goods and services across multiple countries.
Outsourcing and offshoring relocate certain business functions to other countries to take advantage of lower labor costs or skilled workforces.
Foreign direct investment involves multinational corporations investing in businesses and operations in other countries.
International migration involves the movement of people across borders for work, education, or other opportunities.

Economic benefits include increased economic growth, job creation, and access to new markets and resources.
Cultural exchange involves the sharing of ideas, values, and cultural practices across borders.
Environmental concerns include increased resource consumption, pollution, and climate change.
Inequality and uneven development involve widening income gaps between rich and poor countries, and within countries.

Exploitation of workers involves low wages, poor working conditions, and labor rights violations in developing countries.
Cultural homogenization involves the loss of local cultures and traditions in the face of globalized consumer culture.
Environmental degradation involves unregulated business practices harming the environment and public health.
Increased inequality involves the concentration of wealth and power among a few multinational corporations and individuals.