Globalization Lecture Notes

Introduction to Globalization

• Globalization is a complex and widely discussed term.
• Difficult to explain in simple words.

Background to Globalization

• Advances in technology have facilitated globalization:
  • Mobile phones
  • Airplanes
  • Telephones
  • Internet
• Growth of transport and communication networks.
• Enables quicker and simpler exchange of information and goods.

Definition of Globalization

• Derived from the word "globe"; implies worldwide coming together of countries and nations.

Example of Globalization

• Companies manufacturing products in their home countries (e.g., Prophy TV and Super Color).
• Both companies compete in the same market under similar conditions.
• Globalization allows companies from other countries to enter the market with lower prices due to different production conditions.

Effects of Globalization

• Positive Effects:

  • Increased availability of affordable products.
  • Active exchange of goods between countries.
  • Exchange of services, knowledge, cultural goods, and languages.

• Negative Effects:

  • Job losses in industrialized countries when production moves to economically disadvantaged countries.
  • Poor working conditions and low wages in economically disadvantaged countries.
  • Lack of social and health insurance for workers in these countries.
  • Ecological problems, such as climate change, exacerbated by increased transportation of goods.
  • Ignoring of national environmental standards to reduce costs.

Conclusion

• Globalization has both positive and negative aspects that affect various areas of life.
• The balance of these effects may continue to evolve.
• Globalization is neither inherently good nor bad; it depends on how societies manage the opportunities and challenges it presents.