Everything

• Globalisation


  The process of becoming more globally connected on a variety of scales. It is the movement of people, knowledge, ideas, goods and money across national borders, leading to - theoretically - a 'borderless world'.
• Economically, politically, socially and culturally, all countries are connected in the sense that we are all influenced by one another
• Evidence of globalisation influencing our lives

  • We buy products made in other countries
  • We talk to people across the globe on social media
  • We embrace other countries' cultures such as their music or food
• Even our environments are globalised as pollutants from other countries can affect our climate
• In the 21st Century, our societies are globalised societies; (almost) everyone in the world is influenced by other countries and people
• Without globalisation, there would be no interaction or influences from other countries. That means every product we buy would be made in the UK, there would be no international holidays, and probably no chocolate
• We need globalisation in order to thrive as societies, as the things we share with other countries allow our societies to develop
• Flow


  When countries share things with one another, it's known as a flow. This is because things are flowing (moving) from one country to another
• Flows in globalisation


  • Capital
  • Labour
  • Products
  • Services
  • Information
• Capital flows


  The movement of money for the purpose of investment, trade or business production
• Labour flows


  The movement of people who move to work in another country
• Product flows


  The movement of produced goods from area of production to area of consumption
• Service flows


  Services are 'footloose' industries, meaning they can locate anywhere without constraints from resources or other obstacles. Services flow as they can be produced in a different country to where they are received (e.g. international call centres)
• Information flows


  Any type of information can flow from one place to another via the internet, SMS, phone calls etc. For example, international news
• Groups involved in capital flows

  • Core regions (wealthier, developed countries that have power)
  • Periphery regions (less wealthy, developing/ less developed countries that have less power)
  • The International Monetary Fund (IMF)
  • The World Bank
• Capital flows also occur within core regions. Huge capital flows pass through the major stock markets in megacities. Also, in the EU, cross border trade in finance has increased due to absence of barriers
• Economic migrants


  People who have moved voluntarily for reasons of work and improved quality of life
• Refugees


  People who have been forced to leave their homes and travel to another country due to fleeing conflict, political or religious persecution. They have been granted permanent or temporary residency by the host country or the UN refugee agency (UNHCR)
• Asylum seekers


  People who have left their country and are seeking asylum in another. They are waiting to be granted residency and to become a refugee
• Today, 3-4% of the world's population are international migrants
• The majority of international migration is migration to a high income country. 14.1% of high income country populations are made up of international migrants, whereas only 1.6% of low income country populations are made up of international migrants
• Major labour flows within continents

  • Asia
  • Europe
  • Africa
• Major labour flows between continents

  • Latin America and Caribbean (LAC) to North America
  • Asia to Europe
  • Asia to North America
• Highly skilled workers


  Highly trained in jobs that require a great deal of skill, such as in medicine, science, or ICT. They may move to high income countries as wages are higher for the same job than in lower income countries
• Unskilled workers


  Take positions that do not necessarily require qualifications or intensive training, therefore usually the work has lower economic value than that of highly skilled labour. They also move to developed countries for better wages and usually because of high unemployment rates in their countries
• In 2015, value of world trade of food and manufactured commodities was $25 trillion, demonstrating the extent of product flows
• In recent decades, there has been a shift in product flows from internal (within the country) to international. International trade has now created major product flows, especially flows between low income and high income countries
• Due to technological advancements such as better transportation and communication, products can now be produced in low income countries. This is beneficial to manufacturers as there are lower labour costs, meaning a large amount of companies have relocated internationally to produce their goods (known as offshoring)
• The products are produced for lower costs, then transported to high income countries to be sold at a much higher price, increasing profits
• In recent decades, there has been a shift in product flows from internal (within the country) to international
• International trade has now created major product flows, especially flows between low income and high income countries
• Technological advancements


  Better transportation and communication
• Products can now be produced in low income countries
• Lower labour costs


  Beneficial to manufacturers
• Offshoring


  Companies have relocated internationally to produce their goods
• Products are produced for lower costs, then transported to high income countries to be sold at a much higher price, increasing profits
• This has caused a decrease in the manufacturing industry in high income countries
• Employment in the manufacturing business in the UK has decreased by over 3.4 million jobs since 1985
• The reason as to why global product flows have shifted to low income countries (transportation, communication, new systems, new relationships etc.) will be explored further in Factors Affecting Globalisation
• As emerging economies grow, so does the amount of wealthier, middle class civilians