Globalization PowerPoint PDF

GLOBALIZATION  INTRODUCTION: GLOBALIZATION  Globalization is the process by which the world, previously isolated through physical and technological distance, becomes increasingly interconnected.  It is manifested by the increase in interact...

GLOBALIZATION  INTRODUCTION: GLOBALIZATION  Globalization is the process by which the world, previously isolated through physical and technological distance, becomes increasingly interconnected.  It is manifested by the increase in interaction between people around the world that involves the sharing of ideas, cultures, goods, services, economic, political, cultural, ideological, investment environmental and processes aided by information technology.  GLOBALIZATION: A CONTESTED CONCEPT  Globalization first appeared in the 1940s, but did not gain widespread traction until the 1990s.  It is sometimes mistaken for an unstoppable juggernaut ‘Americanizing’ the world.  However, a more nuanced understanding of the interactions between the local, national, regional, and global. Indiscriminate use of the word ‘globalization’ is confusing.  GLOBALIZATION: A CONTESTED CONCEPT  Globalization is a set of social processes that lead to the social condition of globality, through the growing consciousness of global connectivity.  There is no consensus on exactly what processes constitute globalization, but common themes include the creation of networks, expansion of social relations, and the acceleration of social exchange.  Globalization and history: is globalization a new phenomenon?  Globalization is commonly thought of as a new phenomenon, but contact between diverse individuals is not new.  It began when prehistoric tribes settled and were able to outmuscle wandering tribes.  The premodern period saw technological advances that allowed trade and communication to flourish.  Globalization and history: is globalization a new phenomenon?  The early modern period saw the birth of capitalism and regional markets.  The modern period saw the Industrial Revolution provide massive advances in technology at the expense of the environment.  The contemporary era is an era of convergence, with people coming together through deregulated economic and ICT systems.  3 components of economic globalization  Academic literature commonly subdivides globalization into three major areas: 1. Economic globalization 2. Cultural/social globalization 3. Political globalization  I. Economic globalization  It refers to the widespread international movement of goods, capital, services, technology and information.  Economic globalization primarily comprises the globalization of: 1. production 5. Organizational 6. regimes 2. finance 7. institutions 3. markets 8. corporations 4. technology 9. labour  Economic globalization  Theeconomic globalization is one most often mentioned in the media.  It is associated with massive amounts of financial traded daily on the different stock markets around the label “NEW ECONOMY”.  Economic globalization  In order to monitor the economy, 3 economic institutions were created: 1. THE INTERNATIONAL MONITARY FUND (IMF) --would oversee the international monetary system;  Economic globalization 2. The International Banks for Reconstruction and Development (IBRD later named the WORLD BANK (WB) --would provide loans for European reconstruction but later expanded its activities to the developing world;  Economic globalization  The General Agreement on Tariffs and Trade (GATT, renamed of the WORLD TRADE ORGANIZATION in 1992) -- would oversee multilateral trade agreements.  For about 30 years, this system remained in place and provided economic stability and prosperity to Western nations.  The economic dimension of globalization  In the 1980s neoliberalism liberalized financial transactions.  However, this unstable growth led to the Great Financial Crash, where banks traded toxic assets without regulation.  Transnational corporations rival nation-states in economic power, and have had a profound effect on the structure and function of the global economy.  The Washington Consensus was drafted to reform indebted developing countries, but it has thus far rarely helped countries develop.  The economic dimension of globalization  The economic dimension of globalization’ explores how the way people have undertaken economic production has changed.  The global economic order emerged after World War II, when the Bretton Woods Conference laid the foundations for the IMF, World Bank, and WTO.  II. CULTURAL GLOBALIZATION  Cultural Globalization refers to the rapid transmission of ideas, meanings, and values and cultural products across around the world in such a way as to extend and intensify social relations.  CULTURAL GLOBALIZATION  This process is marked by the common consumption of mono-cultures that have been diffused by the Internet, popular culture media, and international travel, entertainment transnational marketing of particular brands and international tourism – that transcends local cultural traditions and lifestyles, and that shapes the perceptions, aspirations, tastes and everyday activities of people wherever they may live in the world’.  CULTURAL GLOBALIZATION 1. MIGRATION is an important aspect of cultural globalization.  This process has been going on for several centuries, with languages, religious beliefs, and values being spread by military conquest, missionary work, and trade.  However, in the last 30 years, the process of cultural globalization has dramatically intensified due technological advances in both transportation and communications technology.  CULTURAL GLOBALIZATION  THE GLOBALIZATION OF FOOD is one of the most obvious examples of cultural globalization – food consumption is an important aspect of culture and most societies around the world have diets that are unique to them, however the cultural globalization of food has been promoted by fast food giants such as McDonald’s, Coca-Cola and Starbucks.  The spread of these global food corporations has arguably led to the decline of local diets and eating traditions.  CULTURAL GLOBALIZATION 2. THE GLOBALIZATION OF SPORT is another fairly obvious example of cultural globalization – think of all the international sporting events that take place – most notably the World Cup and The Olympics, and Formula 1, which bind millions together in a shared, truly global, ‘leisure experience’.  CULTURAL GLOBALIZATION 3. CONVERGING GLOBAL CONSUMPTION PATTERNS – today you can go to pretty much any major city in the world and share in a similar ‘consumption experience’.  Also, more and more people in Asia and South- America are coming to enjoy high-consumption lifestyles like in the West – car ownership and tourism are both on the increase globally for example.  Central to this is the growth of similar styles of shopping malls, and leisure parks which provide a homogeneous cultural experience in different regions across the world.  CULTURAL GLOBALIZATION  HOMOGENEITY comes to a society in a numbers of ways- ethnically(Japanese), religiously(many Arab nationals), culturally(Indians), politically(communism) etc.  Study has shown that the most prominent type of homogeneity is ethnicity, where everybody share similar physiological characteristics and cultural behavior.  Ethnic homogeneity still strong among many aboriginal groups in USA, Latin countries, China, Japan, South Asia and Africa.  CULTURAL GLOBALIZATION  FINANCIAL HOMOGENEITY also exists in many countries. It was prevalent in many communist countries-this type of homogenous society is in decline now-a day.  North Korea is a great example of financial homogeneity, at extreme level, another good example is Scandinavian countries, where the government make sure that every citizen of their country enjoy high level of living standards.  CULTURAL GLOBALIZATION  THE GLOBAL VILLAGE/ GLOBAL CONSCIOUSNESS-- Individuals and families are now more directly plugged into news from the outside world – some of the most gripping events of the past decade have unfolded in real time in front of a global audience.  CULTURAL GLOBALIZATION  According to Giddens this means that more and more people have a more ‘global outlook’ and increasingly identify with a global audience – for example, television reporting of natural disasters in developing countries result in people in wealthier countries donating money to charities such as Oxfam to assist with relief efforts. Giddens developed the concept of ‘Cosmopolitanism’ to describe this process of an emerging global identity.  CULTURAL GLOBALIZATION  DETRADITIONALISATION--In his classic 1999 text, Runaway World, Anthony Giddens argues that one consequence of globalization is detraditionalisation – where people question their traditional beliefs about religion, marriage, and gender roles and so on.  CULTURAL GLOBALIZATION  GLOBAL RISKS/ GLOBAL RISK CONSCIOUSNESS--Ulrich Beck (1992) argues that a fundamental feature of globalization is the development of a global risk consciousness, which emerges due to shared global problems which threaten people in multiple countries the threat of terrorism,  EXAMPLES: international nuclear war the threat of global pandemics the rise of organized crime funded primarily through international drug trafficking the threat of planetary melt-down due to global warming.  THE CULTURAL DIMENSION OF GLOBALIZATION  The cultural dimension of globalization’ explores the intensification and expansion of cultural flows across the globe.  Critics of cultural globalization claim that the world is being homogenized or ‘Americanized’.  However, advocates say that globalization reinvigorates niche cultures instead of eliminating them.  THE CULTURAL DIMENSION OF GLOBALIZATION  The existence of the global imaginary is linked to the rise of global media networks.  These networks are owned by a small group of transnational corporations, which can affect journalistic integrity.  THE CULTURAL DIMENSION OF GLOBALIZATION  Several different hypotheses exist about the effects of language globalization.  Some say that it leads to protection of native tongues.  On the other hand, some foresee the rise of a ‘Globish’ language.  III. political globalization  It refers to the growth of the worldwide political system, both in size and complexity.  It includes: 1. national governments, 2. their governmental and 3. intergovernmental organizations 4. government-independent elements of global civil society such as: a. international non-governmental organizations b. social movement organizations.  The political dimension of globalization  ‘The political dimension of globalization’ looks at political arrangements beyond the nation- state.  Traditional politics harboured an ‘us’ and ‘them’ mentality.  Contemporary globalization has led to a permeation of those borders.  The political dimension of globalization  The modern nation-state came into being after the Protestant Reformation, characterized by centralized government and self-determination.  The rise of organizations such as the United Nations has threatened the nation-state, according to globalization sceptics.  However, national governments still hold significant powers.  The political dimension of globalization  Therehas been a rise in the number of supra-territorial institutions, operating from the local level all the way to the global level.  Some commentators ultimately see a global civil society, although critics question the feasibility of this.  III. political globalization  One of the key aspects of the political globalization is the declining importance of the nation- state and the rise of other actors on the political scene.  The creation and existence of the United Nations has been called one of the classic examples of political globalization.  political globalization UNITED NATIONS AND ITS ROLE IN GLOBALIZATION  It is an international organization created on 24th October of 1945 when the UN charter was signed.  MAIN OBJECTIVES ARE: 1. to maintain international peace and security and 2. promoting human rights and global development.  political globalization Member states of the United Nations  The United Nations member states are the 193 sovereign states that are members of the United Nations (UN) and have equal representation in the UN General Assembly and 51 founding countries.  The UN is the world's largest intergovernmental organization which is based in New York (Headquarter). STRUCTURES: GLOBAL ECONOMY  I. What is Global Economy?  The world economy or global economy is the economy of the humans of the world, considered as the international exchange of goods and services that is expressed in monetary units of account.  Global Economy  Typical EXAMPLES of economic globalization are the global supply chains now standard for the manufacture of many devices, ranging from cars to smart phones; the processes surrounding raw materials, components, and assembly may take place across multiple countries.  What is the importance of Global Economy?  Because of its size and interconnectedness, developments in the US economy are bound to have important effects around the world.  The US has the world’s single largest economy, accounting for almost a quarter of global GDP (at market exchange rates), one- fifth of global FDI, and more than a third of stock market capitalization.  It is the most important export destination for one-fifth of countries around the world. FOREIGN DIRECT INVESTMENT  Changing Structure: Global Economy  Since the end of World War II, the global economy has steadily increased its trade and financial openness, enabled in part by the International Monetary Fund (IMF), the World Bank, and the General Agreement on Tariffs and Trade (GATT), now the World Trade Organization (WTO).  Changing Structure of the Global Economy  In parallel, colonialism, with its inherent constraints on economic development and its built-in asymmetries, collapsed.  Changing Structure of the Global Economy  Asformal barriers to trade and capital flows declined, a number of other trends combined to accelerate the growth and structural changes in the developing economies.  Changing Structure of the Global Economy THEY INCLUDED: 1. advances in transportation and communications technology 2. management innovation in multinational companies 3. a process of learning about doing business in multiple and diverse environments 4. and the integration of multinational supply chains.  Changing Structure of the Global Economy  The shape of global supply chains is constantly shifting.  Countries enter and engage with the global economy at different times and expand at different rates.  Changing Structure of the Global Economy  The early high-growth economies— Japan, South Korea, and Taiwan— initially exported labor-intensive products, then graduated to more capital-intensive products such as automobiles and motorcycles, and then to human capital intensive activities such as design and technology development. Relating to us… DO CHANGING STRUCTURE OF THE GLOBAL ECONOMY AFFECT THE PHILIPPINES?  What kind of economy is the Philippines?  The Philippines has a mixed economic system which includes a variety of private freedom, combined with centralized economic planning and government regulation.  Philippines is a member of the Asia- Pacific Economic Cooperation (APEC) and the Association of Southeast Asian Nations (ASEAN).  PHILIPPINES: COMPETING IN GLOBAL ECONOMY  The economy of the Philippines is the world's 34th o my largest economy by nominal GDP according to the con e E pin 2017 estimate of the International Monetary Ph il i p Fund's statistics, it is the 13th largest economy in Asia, and the 3rd largest economy in the ASEAN after Indonesia and Thailand.  The Philippines is one of the emerging markets and is the sixth richest in Southeast Asia by GDP per capita values, after the regional countries of Singapore, Brunei, Malaysia, Thailand and Indonesia.  PHILIPPINES: NEW INDUSTIALIZED COUNTRY  The Philippines is primarily considered a newly industrialized country, which has an economy in transition from one based on agriculture to one based more on services and manufacturing.  As of 2017, GDP by purchasing power parity was estimated to be at $1.980 trillion.  PHILIPPINES: a tiger cub in economic  globalization Primary exports include semiconductors and electronic products, transport equipment, garments, copper products, petroleum products, coconut oil, and fruits.  Major trading partners include Japan, China, the United States, Singapore, South Korea, the Netherlands, Hong Kong, Germany, Taiwan and Thailand.  The Philippines has been named as one of the Tiger Cub Economies together with Indonesia, and Thailand.  PHILIPPINES: ECONOMIC TRANSITION World Bank Forecasts, Selected Asian Economies World Bank: Global Economy to Recover in 2017, Led by India, Philippines, China and Vietnam STRUCTURES: MARKET INTEGRATION  What is global market integration?  Global market integration means that price differences between countries are eliminated as all markets become one.  One way to the progress of globalization is to look at trends how prices converge or become similar across countries.  The law of one price  states that the prices of identical security, commodities or asset traded anywhere that are exchanged in two or more markets must be the same regardless of location and currency.  In an efficient market, there must be only one price for commodities regardless of where they are traded. Identical goods must have identical prices.  For EXAMPLE, an ounce of gold must have the same price expressed in terms of dollars in London as it does in Tokyo.  The law of one price  The law of one price is a variation of Purchasing Power Parity that relates to a single commodity as opposed to a basket of goods.  This theory postulates that the difference in prices for identical commodities in two countries is due to the foreign exchange (FX) rate between the two countries.  MARKET INTEGRATION in 21st century  Globalization—the integration of people with world markets—is perhaps the most significant and pervasive economic development of the late 20th and early 21st Centuries.  It is the subject of a small but growing body of empirical economic research at the national and multi- national levels.  MARKET INTEGRATION  In economics research, globalization means trade integration.  As market liberalization and trade integration climb to the top of the economic policy agenda in many countries, development economists increasingly focus their attention on market imperfections that may inhibit trade and create welfare losses.  MARKET INTEGRATION  As economic integration unfolds, producers become inserted directly into global markets on the output side, through production of exports, and/or on the input side, through imported intermediate inputs, technologies, or factors.  MARKET INTEGRATION: Migration  Migration is the principal mechanism by which households in less developed countries (LDCs), especially in rural areas, become directly inserted into the global economy.  MARKET INTEGRATION: Migration  Globalization is not internationalization, but the effective erasure of national boundaries-opening the way not only to free mobility of capital and goods but also, in effect, to free movement (or uncontrolled migration) of vast labor tools from regions of rapid population growth and the impacts on national economies could be tragic.   MARKET INTEGRATION: MICROECONOMICS  “MICROECONOMICS OF GLOBALIZATION” refers also to the myriad ways in which economic actors also may become inserted into the global economy indirectly, through their relations with other economic agents within local, regional, and national markets.  MARKET INTEGRATION: MICROECONOMICS  Itis the study of the economic behavior of individuals, households and firms.  Where macroeconomics looks at the big picture of the economy, microeconomics looks at the individual behaviors that drive economic processes.  Examples of microeconomics 1. Demand 9. Consumer Choice 2. Supply 10. Consumer Confidence 3. Prices 4. Elasticity 11. Business Confidence 5. Opportunity Cost 12. Information Economics 6. Labor Economics 13. Welfare Economics 7. Competition 8. Competitive Advantage 14. Productivity  microeconomics Demand  How demand for goods is influenced by income, preferences, prices and other factors such as expectations.  microeconomics Supply  How producers Law of Supply and Demand decide to enter markets, scale production and exit Demand markets. falls, Supply Demand rises, Supply Rises falls supply  microeconomics Prices  How individuals, households and firms react to prices and influence prices with their supply and demand.  For EXAMPLE, the observation that some customary prices appear to be sticky in that consumers resist buying above a particular historically established price.  microeconomics Elasticity  Elasticity is how supply and demand reacts to change.  For EXAMPLE, a household that demands less of a good when the price increases due to the availability of substitutes.  microeconomics Opportunity Cost  The tradeoffs that individuals and firms make to manage constrained resources such as time, money, capital and land.  EXAMPLE, you spend time and money going to a movie, you cannot spend that time at home reading a book, and you can't spend the money on something Time is precious else.  microeconomics Labor Economics humans use to produce goods and  Modeling the supply and demand services for labor.  focus on human capital (referring to the skills that workers possess, not necessarily their actual work).  For EXAMPLE, looking at how expectations for economic growth impact the labour participation rate.  microeconomics Competition  Modeling competition in markets.  Three types of competition 1) Direct competitors 2) Indirect competitor 3) Phantom competitors  For EXAMPLE, the use of game theory to model a price war between competitors.  microeconomics Competitive Advantage  Competitive advantage is the ability of certain firms to outcompete all competition in a particular area.  3 Tips to Determine Your Competitive Advantage 1. Price 2. Product 3. Customer experience  For EXAMPLE, a sporting goods company with superior brand recognition and a positive brand image that can charge premium prices and still enjoy high demand for its products.  microeconomics Consumer Choice  How needs, perceptions and information shape consumer choices. IT’S YOUR  2 influences on a person’s consumption choice: 1. their income 2. prices of the goods  For EXAMPLE, the idea that consumers maximize their expected utility of purchases meaning that they buy the things they expect to be most useful to them.  microeconomics Consumer Confidence  How consumer expectations for the future influence spending, saving, investment and labor participation.  Is an economic indicator that measures the degree of optimism that consumers feel about the overall state of the economy and their personal financial situation.  EXAMPLE, When consumer confidence is high, consumers make more purchases.  microeconomics Business Confidence  How producer expectations for the future influence hiring, capital investment and supply.  Business confidence index (BCI) - provides information on future developments, based upon opinion surveys on developments in production, orders and stocks of finished goods in the industry sector. 3 basic kinds of market integration Horizontal integration  This occurs when a firm or agency gains control of other firms or agencies performing similar marketing functions at the same level in the marketing sequence.  This type of integration sometimes combine agencies to form a union with a view to reduce their effective number and the extent of actual competition in the market. EXAMPLE OF HORIZONTAL INTEGRATION Two or more companies produce the same goods or services It is also known as horizontal merger EFFECTS OF HORIZONTAL INTEGRATION  Buying out competitor in a time bound way to reduce competition.  Gaining larger share of the market and higher profits  Attaining economies of scale  Specializing in trade ADVANTAGE OF HORIZONTAL INTEFRATION 1. Lower cost 2. Higher efficiency 3. Increased differentiation 4. Increased market power 5. Reduced competition 6. Economics of scale 7. Economic of scopes 8. International trade DISADVANTAGE OF HORIZONTAL INTEGRATION 1. Destroyed value 2. Legal repercussions 3. Reduced flexibility 3 basic kinds of market integration VERTICAL INTEGRATION  Occurs when a firm performs more than one activity in the sequence of the market process.  Linking together of 2 or more functions in the marketing process within a single firm or under a single ownership.  Makes possible to exercise control over both quality and quantity of the product from the beginning of the production process until the products is ready for the consumer.  Reduces the number of middle men in the marketing channel.  EXAMPLE OF VERTICAL INTEGRATION Raw material diagram End product--customer EXAMPLE OF VERTICAL INTEGRATION  Apple Inc. is one of the best-known companies for perfecting the art of vertical integration.  The company manufactures its custom A-series chips for its iPhones and iPads. It also manufactures its custom touch ID fingerprint sensor.  The company has also integrated forward as much as backward. VIRTICAL INTEGRATION I. FORWARD INTEGRATION  a firm assumes another function of marketing which is closer to the consumption function.  EXAMPLE: Wholesaler assuming the function of retailing. EXAMPLE OF VERTICAL INTEGRATION diagram VIRTICAL INTEGRATION II. BACKWARD INTEGRATION  This involves ownership or a combination of sources of supply.  EXAMPLE: when a processing firm assumes the function of assembling/purchasing the product from the villages. VIRTICAL INTEGRATION III. BALANCED VERTICAL INTEGRATION  The third type of vertical integration is a combination of the backward and the forward vertical integration 3 basic kinds of market integration CONGLOMERATION  A combination of agencies or activities not directly related to each other may, when it operates under a unified management.  A process whereby a business acquires a substantial number of other unrelated businesses in order to form a large and highly diversified corporation.  EXAMPLE: the merger between the Walt Disney Company and the American Broadcasting Company. Because a conglomerate merger is one between two strategically unrelated firms, it is unlikely that the economic benefits will be generated for the target or the bidder. EXAMPLE OF conglomerate INTEGRATION diagram REASONS FOR THEMARKET INTEGRATION  To remove transaction cost  Foster competition  Provide better signals for optimal generation and consumption decisions  Improve security of supply GLOBAL INTERSTATE SYSTEM  The modern world-system is now a global economy with a global political system (the modern interstate system).  Refers to the relationship between different state union.  It also includes all the cultural aspects and interaction networks of the human population. IMPORTANCE OF GLOBAL INTERSTATE SYSTEM  A hegemon is a core state that has a significantly greater amount of economic power than any other state, and that takes on the political role of system leader.  GLOBAL INTERSTATE SYSTEM: The Development of World-Systems  The world-systems perspective emerged during the world revolution of 1968 and the anti-war movement that produced a generation of scholars who saw the peoples of Global South (then called the “Third World”) as more than an underdeveloped backwater.  It became widely understood that a global power structure existed and that the people of the non-core had been active participants in their own liberation.   GLOBAL INTERSTATE SYSTEM: The Development of World- Systems  The history of colonialism and decolonization were seen to have importantly shaped the structures and institutions of the whole global system.  A more profound awareness of Eurocentrism was accompanied by the realization that most national histories had been written as if each country were on the moon.  The nation state as an inviolate, pristine unit of analysis was now seen to be an inadequate model for the sociology of development. The World-Systems Theory  World-systems theory is a macro- scale approach to analyzing the world history of the mankind and social changes in different countries.  The definition of the theory refers to the division of labor, be it inter- regionally or transnationally.  Currently, the theory divides the world into the core, semi-periphery and periphery countries  GLOBAL INTERSTATE SYSTEM: The Development of World-Systems  World-systems are whole systems of interacting polities and settlements.  Systemness means that these polities and settlements are interacting with one another in important ways – interactions are two-way, necessary, structured, regularized and reproductive. Core nations  Core nations appear to be powerful, wealthy and highly independent of outside control.  They are able to deal with bureaucracies effectively; they have powerful militaries and can boast with strong economies.  Due to resources that are available to them (mainly intellectual), they are able to be at the forefront of technological progress and have a significant influence on less developed non-core nations. SEMI-PERIPHERAL NATIONS  These regions have a less developed economy and are not dominant in the international trade.  In terms of their influence on the world economies, they end up midway between the core and periphery countries.  However, they strive to get into a dominant position of the core nation, and it was proved historically that it is possible to gain major influence in the world and become a core country. Peripheral nations  These are the nations that are the least economically developed.  One of the main reasons for their peripheral status is the high percentage of uneducated people who can mainly provide cheap unskilled labor to the core nations.  There is a very high level of social inequality, together with a relatively weak government which is unable to control country’s economic activity and the extensive influence of the core nations. CONCEPT OF GLOBAL GOVERNANCE  Global governance or world governance is a movement towards political cooperation among transnational actors, aimed at negotiating responses to problems that affect more than one state or region. ROLE OF GLOBAL GOVERNANCE  Trade, climate change and the role of values in global governance.  The emerging field of global governance has produced a number of breakthroughs, as well as failures, aimed at managing global problems through the voluntary and ad hoc cooperation of a diverse range of international actors. IS THERE A NEED FOR GLOBAL GOVERNANCE?  Global governance is necessary because humanity increasingly faces both problems and opportunities that are global in scale.  Today, transnational problems such as violence and pandemics routinely reach across borders, affecting us all.  The most important challenge for humanity to overcome is that of existential risks. IS GLOBAL GOVERNANCE MULTI FACETED?  Global Governance aims to prepare professionals to face global challenges that require specific legal and economic competencies, as well as a wide range of technical knowledge and skills to manage cultural mediations.  This is why global governance is multi-faceted. What are the forms of global governance?  Rosenau discusses these six types of global governance.  They are 1. top-down governance, 2. bottom-up governance, 3. market governance, 4. network governance, 5. side-by-side governance 6. complex web governance. TOP-DOWN GOVERNANCE  A top-down approach to governance presents a clear divide between top- level policy formulation and the subsequent implementation of these preset goals by administrators and service providers.  The process of enacting policy is viewed as an implementation chain where links must be forged between various agencies. bottom-up governance  The bottom-up implementation approach initiates with the target groups and service deliverers, because they find that the target groups are the actual implementors of policy.  The top-down implementation approach is a clear-cut system of command and control—from the government to the project, which concerns the people. bottom-up governance DIAGRAM MARKET GOVERNANCE  Market governance mechanisms (MGMs) are formal, or informal rules, that have been consciously designed to change the behavior of various economic actors.  This includes actors such as individuals, businesses, organizations and governments - who in turn encourage sustainable development. MARKET GOVERNANCE DIAGRAM network governance  Network governance is "interfirm coordination” that is characterized by organic or informal social system, in contrast to bureaucratic structures within firms and formal contractual relationships between them. network governance DIAGRAM COMPLEX Web governance  Web governance is the process of maintaining and managing an online presence in an organized way.  The idea is to set certain standards for your website and hold yourself to them. COMPLEX Web governance  That can include both your own organization’s standards and external regulations or compliance standards, such as WCAG 2.1 web accessibility standards.  The ultimate goal is to provide the best user experience possible for your website visitors by ensuring quality, consistency, accessibility, searchability, and more.