Globalization is a trend of joining countries together economically, socially, informationally, industrially, politically, and many more. Even though, globalizing had been around for a long time, such as, “Islamic Golden Age when Muslim traders and explorers established an early global economy across the Old World resulting in a globalization of crops, trade, knowledge and technology” (Wikipedia, globalization) before the turn of 16th century. In modern term of globalization “is a process of interaction and integration among people, companies, and governments of different nations [with intention of] international trades and investment and [exchange of] information technologies” never seen before. (Levin Institute, 2009). To most people, they think of as “to bring people of all nations closer together” (Wikipedia, globalization) as ‘the small world.’ Globalization is a way of eliminating barriers of country borders, to communicate in real-time overcoming time zones, language barriers to form a world language to allow everyone capability to communicate, and many more.
Globalization has an effect on many words or terms such as American, Jewish, Muslim in related to religious level could change to one religion recognize by what might be called ‘multiculturalism’. It had been known here in America as “The melting pot” which many different cultural had and is still migrating into America now extends out to the rest of the world.
There may be lots of pros or positives but it does not go without negatives or resistance. For example, “Islamic country may resist globalization because they see it as equivalent to westernization—weakening the religious strength of a country and exposing its people to corrupting ideas.” (Ellis-Christensen, 2009). In addition, some people fear globalizing may have a negative effect on poor countries such as ‘sweat shop,’ whereas it had happen when ‘sweatshop’ was used by sports shoe manufacturers, in particular, Nike.
The best positive side of these that were created are, GATT (General Agreement on Tariffs and Trade), WTO (World Trade Organization), and IMF (International Monetary Fund) that allow easier function between nations and believe to promote world peace.
Three Major Drivers of Globalization
The three major drivers are microprocessors and telecommunication, internet and World Wide Web, and transportation technology. Each of those drivers in some way goes in ‘hand to hand’ and they support each other. Let us look at each of them.
Microprocessors may be the single best innovation in our time, which enabled the explosive growth of telecommunication technology. These have helped develop satellite, optical fiber, and wireless technologies. In addition to the most powerful technologies are internet and artificial intelligence. The best of all development with the internet is allowing World Wide Web possible that drive telecommunication cost down and many various way of communicating such as teleconference. This will continue to be the most important technology for years to come.
Internet and World Wide Web (www) are recently new, first developed in the ‘80s. In 1990, there were fewer than one million users connected to the internet. By 1995, it had risen to 50 million. By 2006, 747 million www users. The www was developed into a web of information backbone for the global economy. This internet technology alone is responsible of removing the constraints of location, time zone, and barriers. The www allow business, both small and large, to expand their global presence at lower cost than ever before. The webs make it so much easier for sellers and buyers to find each other and connect.
Transportation technologies had evolved by leaps and bound since World War II. The most noticeable may be the development of commercial aircrafts and super freighters. In addition to the introduction of ‘containerization’, this simplifies transshipment. Air transportation has allowed traveling from one location to another location in a shorter time, such as from New York to Tokyo is closer now than it was to Philadelphia in early American colony.
Four Affects of globalization that impact your community and your organization
There are several effects of globalization affecting communities, business organization, and personally. These four are industrial, informational, social, and economic. Let us look at each one of them in little details.
Industrial are known as the big company and are responsible for moving material and goods between two locations within national boundaries. With the emergence of internet, www, transportation technologies, and microprocessors and communication allow industrial companies to go beyond the boundaries and operate the manufactory ‘plant’ in another location where there are less labor cost and/or cheaper raw materials available.
Informational are information readily available at fingertips via the computer is the best example. With the internet and www allows information to flow between to remote location where it may not been possible before. Internet became easier with the advent of fiber optic communication and satellites. In social area, the internet has allowed the development of the system of non-government organizations as main agents of global public policy, including humanitarian aid.
Economic may be the scariest subject that greatly affect majority of population. With the global market, freely interconnect between markets makes any country prone to devastating affect such as one country collapse may not be contained. We all have seen what had happened when Taiwan market economic collapsed into deep recession had affected American’s economy. Of all that has effects on the environment, on culture, on political systems, on economic development and prosperity, and on human physical well-being in societies around the world.
Globalization has a new meaning that affects everyone from personal level to global markets, including governmental level. Globalization is not without some deep controversy; however, the facts remains are fall in communication costs, fall in sea transportation costs, declining airfreight costs, decline in tariff and non-tariff restriction, rising real living standards, liberalization of domestic markets, and many more. It is widely believed going global would bring people together and promote world peace, including the sense of interconnected beings.
Ellis-Christensen, Tricia, 2009. What is Globalization? (WiseGeek). Retrieved April 19, 2009 from http://www.wisegeek.com/what-is-globalization.htm
Globalization, Wikipedia. Retrieved April 19, 2009 from http://en.wikipedia.org/wiki/Globalization
Levin Institute, the, 2009. What is Globalization? Retrieved April 19, 2009 from http://www.globalization101.org/What_is_Globalization.html