Lesson 1

• Globalization refers to the spread of the flow of financial products, goods, technology, information, and jobs across national borders and cultures.
• Globalization is a social, cultural, political, and legal phenomenon.
• PROXIMITY “Shrinking Globe” refers to the closer access of the people in sharing information and having interaction
• LOCATION “Across Boundaries” There is transnational management where companies or organizations are operating across borders
• ATTITUDE “nothing is overseas anymore” - open attitude and willingness in management and participation to various transactions internationally.
• The word globalization was first used in 1930 and first entered the dictionary in 1961 in the Merriam-Webster Third New International Dictionary.
• “Globalization” became even more popular in the 1990.
• Sumeria and Indus Valley -system of trade/exchange of goods
• India, Egypt, Greece and Rome -trading with other countries
• SILK ROAD -well known trade route
• Jews and Muslims -travelling around the world to trade/exchange goods
• Medieval Empire known as "age of discovery"
• Pre Modern- Modern Period/Industrialization - one of the significant period in the history during the 19th century
• Modern Period - General Agreements on Tariffs and Trade (GATT)
• Modern Period - World Trade Organization (WTO)
• MODERN ERA development of commerce -abolition of taxes and tariffs -infrastructure development -multinational corporations -cultural exchanges and tradition
• Interrelated Factors of Globalization

  1. Geography
  2. Culture
  3. Technology
  4. Military
  5. Ecology
  6. Politics
  7. Economy
• ethnoscape – global movement of people.
• mediascape – flow of culture.
• technoscape – circulation of mechanical goods and software.
• financescape – global circulation of money.
• ideoscape – political ideas move around
• Positive Effects of Globalization

  1. Access to New Cultures
  2. Spread if Technology and Innovation
  3. Lower Costs for Products
  4. Higher Standards of Living Across the Globe
  5. Access to New Markets
  6. Access to New Talent
• Negative Effects of Globalization

  1. Environmental Damage
  2. Fluctuation of prices
  3. Job insecurity
• Challenges in Globalization

  1. International Recruiting
  2. Managing Employee Immigration
  3. Incurring Tariffs and Export Fees
  4. Payroll and Compliance Challenges
  5. Loss of Cultural Identity
  6. Foreign Worker Exploitation
  7. Global Expansion Difficulties
  8. Immigration Challenges and Local Job Loss