Globalization Overview and Perspectives

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Questions and Answers

What is globalization primarily described as?

The reduction of cultural exchanges

The decline of international organizations

The expansion of global trade (correct)

The isolation of local economies

According to George Ritzer, globalization involves the movement of what?

Only cultural beliefs

Only financial institutions

People, things, information, and products (correct)

Natural resources only

What does Aton Kay Macromer Luis emphasize about globalization?

It discourages technological advancements

It limits international trade

It facilitates local products to become global (correct)

It restricts local products

What is described as a defining characteristic of globalization?

Integration and interaction among nations Signup and view all the answers

Which perspective posits that globalization has 6 waves or periods?

Therborn's perspective Signup and view all the answers

What is the primary focus of economic globalisation?

Trade in goods and services Signup and view all the answers

What distinguishes transnational companies from multinational companies?

Transnational companies tailor their services to local needs Signup and view all the answers

Which term refers to hiring a foreign company to perform services for cost reduction?

Offshoring Signup and view all the answers

Which type of outsourcing involves hiring a neighboring country's company?

Nearshoring Signup and view all the answers

What is a common purpose of outsourcing for companies?

Focusing on essential tasks Signup and view all the answers

What does domestic outsourcing refer to?

Hiring services from a local company to reduce operational costs. Signup and view all the answers

What is a primary goal of guarded globalization?

Promoting local businesses and protecting them from foreign competition. Signup and view all the answers

According to fair trade principles, what is a key focus?

Protection of economic, social, and political aspects of small businesses. Signup and view all the answers

Who emphasized the need to assist the 'Bottom Billion'?

Paul Collier Signup and view all the answers

What does technological and socio-cultural globalization involve?

The spread of information, culture, and traditions globally. Signup and view all the answers

What event is associated with the late 15th century?

The colonization by Europeans Signup and view all the answers

Which period is known for the peak of Western imperialism?

Late 18th to early 19th century Signup and view all the answers

What significant ideological division occurred after World War II?

Division between communism and capitalism Signup and view all the answers

What was a key factor in the emergence of globalization during the mid-20th century?

The rise of the United States as a global power Signup and view all the answers

Which of the following was NOT a precursor to globalization?

Rise of TikTok Signup and view all the answers

Study Notes

Globalization

Describes the expansion of global trade.
Considered an economic issue that alters people's lives.
Globalization is a process of interaction and integration between people, companies, countries, or international organizations.
It has been sped up by foreign trade and investment with the help of technology and information.

Globalization According to George Ritzer

Globalization is the fast movement or flow of people, things, information, and products in different directions experienced in different parts of the world.

Globalization According to Aton Kay Macromer Luis

Globalization is how local products and services became global.

Perennial Institutions

Considered to be 'old' institutions.

5 Perspectives on the History and Origins of Globalization

First Perspective

Globalization's roots are in each individual.
People's desire for a better life drove trade, conquest, and exploration, according to Nayan Chanda.

Second Perspective

Globalization is a long cycle of changes.
This perspective is based on Scholte (2005).

Third Perspective

Globalization has 6 waves or periods.
This perspective is based on Therborn (2005).

Globalisation and the Fall of the Soviet Union

The core of globalization is the economy, which revolves around trade in goods and services.
The way countries exchange goods and services has rapidly changed over the past century.

Transnational Companies

These companies establish facilities in other countries.
Their services are often tailored to local needs.

Multinational Companies

A general term for companies investing abroad.
Their products and services are not always based on local market demands.
Examples include Unilever, Procter & Gamble, McDonald's, Coca-Cola, Google, Uber, Starbucks, Seven-Eleven, and Toyota Motor.

Outsourcing

A company hires another company to perform services for a fee.
The main purpose is to reduce workload and focus on essential tasks.
An example is a financial institution outsourcing debt collection from credit card holders. Instead of directly collecting, the institution hires another company.

Types of Outsourcing

Offshoring: Hiring a company from another country to perform services at a lower cost.
Nearshoring: Hiring a company from a neighboring country to provide services.
Onshoring: Engaging a company in the same country to provide services.

Globalisation: Domestic Outsourcing

Refers to the hiring of services from a local company to reduce operational costs.

Globalisation: Technological and Socio-Cultural Globalization

Involves the rapid spread of information, culture, and traditions.
Includes how the interaction between people is affected.

Globalisation: Political Globalization

Involves rapid relationships and interactions between countries, regional organizations, and international organizations.

Addressing the Challenges of Globalization

Guarded Globalization

Government intervention in international trade, aiming to promote local businesses and protect them from foreign competition.
Imposing tariffs or taxes on imported goods.
Providing subsidies to locally owned businesses.

Fair Trade

The International Fair Trade Association (IFTA) defines fair trade as the protection of economic, social, and political aspects of small businesses.

Assisting the "Bottom Billion"

Paul Collier (2007) emphasized the need to address the economic challenges faced by the one billion poorest people in the world, particularly in Asia and Africa.

Panahon (Period)

4th-5th Century: Globalization of Religion (Spread of Islam and Christianity)
Late 15th Century: European Conquest
Late 18th-early 19th Century: Wars between European countries led to globalization
Mid-19th Century to 1918: Peak of Western Imperialism
Post-World War II: The world was divided into two ideological forces: communism and capitalism.
Post-Cold War: Capitalism prevails as the economic system, allowing for rapid flow of products, services, ideas, technology, etc., led by the United States.

Hawig ng Ikaapat na Pananaw (Similarities to the Fourth View)

The beginning of globalization can be traced back to specific historical events.
It's likely that globalization has multiple origins.
Some of these origins include:
- Roman conquests before the birth of Christ (Gibbon 1998)
- The rise and spread of Christianity after the fall of the Roman Empire
- The spread of Islam in the 7th century
- Viking voyages from Europe to Iceland, Greenland, and North America
- Trade in the Mediterranean during the Middle Ages
- The beginning of banking in Italian city-states in the 12th century

Ang Huling Pananaw (The Final View)

Globalization is a phenomenon that began in the mid-20th century.
Three transformations during this period are believed to be directly related to the emergence of globalization:
- The rise of the United States as a global power after World War II.
- The emergence of multinational and transnational corporations (MNCs and TNCs).

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Description

Explore the multifaceted concept of globalization through various definitions and perspectives. This quiz delves into the economic, social, and historical aspects, examining how globalization has transformed local products into global commodities. Engage with insights from notable scholars to enhance your understanding.