3.1A What is globalisation

• Interdependence 


  A reciprocal relation between interdependent entities (objects or individuals or groups)
• Capital 


  Wealth in the form of money or other assets owned by a person or organisation or available for a purpose such as starting a company or investing
• Flows


  Movement of something, water, goods, services, people, information etc between places or groups
• Globalisation

  The Growing Interdependence of countries worldwide through the integration of economy, industries, markets, cultures and policy making. As well as the increasing  volume and variety of cross-border transactions in goods and services, freer international capital flows and rapid and widespread diffusion of technology.
• What are the main global flows?

  Migration

  Tourism

  Capital

  Information

  Commodities
• Migration

  • Mainly economic Migrants in search of work
  • 'Pick n Mix'- countries allow people in based on skills needed
• Tourism

  • 1970- Package Holiday + budget airlines make it more accessible to HICs
• Capital

  • Money
  • World Stock exchange
  • Investment banks + pension funds
  • Currency
  • 2013- Moved around $5 trillion per day
• Information

  • Internet
  • Social networking
  • On demand services
• Economic Globalisation

  • The growth of TNCs accelerates cross-border exchanges of raw materials, components and finish manufactured goods, shares, investment and purchasing
  • Information and communication (ICT) supports growths of complex spatial divisions o of labour for firms
  • Online purchasing using Amazon on a smart phone.
• Social globalisation

  • International immigration has created extensive family networks across nation borders- leading to multi ethic societies
  • Global improvements in education and health can be seen over time, with rising life expectance and literacy and slowly declining birth rates
  • Social interconnectivity has grown thanks to the spread of universal universal connections such as mobiles, e-mail and the internet
• Political globalisation

  • The growth of trading blocs allows TNCs to merge and make acquisition firms in neighbouring countries, while reduced tariffs makes it grow
  • Global concerns such as free trade, credit crunch and global response to natural disasters
  • The World Bank, IMF, and the WTO work internationally to harmonise national economies
• Cultural Globalisation

  • Successful western cultural traits come and dominate e.g. Americanisation or McDonaldisation
  • Glocalisation of hybridisation are more complex and take place when old local cultures merge and meld with influence
  • The circulation of ideas and info has accelerated thanks to 24-hour reporting: people also keep touch through social media