Globalisation Essay


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Globalisation Essay

  1. 1. Erika Louise Tolputt 03.11.10 GlobalisationThe definition of globalisation is a growth to a global or worldwide scale. This basically means abusiness or service that has grown to a worldwide scale from the smaller business that was originallythe starting points of their business. Globalisation could also be conceived as the process by whichregional economies, societies and cultures have become interrogated through a global network ofpolitical ideas through communications, transportation and trade. The term is most closely associatedwith the term economic globalisation; this basically means the integration of national economies intothe international economy through trade, foreign direct investment, capital flows, migration, the spreadof technology and military presence. However, globalisation is usually recognized as being driven bya combination of economic, technological, sociocultural, political and biological factors. The term canalso refer to the translational circulation of ideas, languages or popular culture through acculturation.An aspect of the world which has gone through the process can be said to be globalised.There are both positive and negative aspects of globalisation that have affected the world in differentyet also similar methods as well. There are a few positive effects that I would like to focus on as I seethem as some of the most important aspects of globalisation, the first of the four points that I haveresearched and chosen is the idea of technology and services that have dramatically changedthrough globalisation. This means that the technology has dramatically changed since globalisationstarted to appear, in other words the technology that was around years ago has improved in theshortest amount of time and has changed the way live to a certain extent. For example the way thatcomputer technology has changed, so the technology has advanced from simple basic windowssoftware to the highest quality technologies. Now we can change and adapt a simple word documentto something that suits our criteria where as in the past we could only have a simple word documentand nothing was adaptable apart from perhaps the font and size of the font. This is a positive changein the industry as having computer software change that drastically means that in the past all theindustries and businesses could only work at a snail pace and now creating a document is more timeand cost efficient as businesses can create a document in the quickest time and it doesn’t cost apenny apart from when originally purchasing the software which comes at a bargain price consideringthe amount of work and time you would be using that particular piece of software.Another aspect of positive effects of globalisation is the idea of movement, in other words this meanstravel and how the community can travel from place to place and this can be through public transport,personal travel or further travelling. An example of public transport is that the trains were lacking intechnology in the past, the presentation of the trains, the amount of trains there are, the services ofthe trains and the destinations in which train stations have been situated. This means that in the pastthe presentation of the first great western trains showed that it was a poor quality and now just fromdoing primary research and extra funding from the government the train services were able to changethis and they have adapted the trains to have seats and appropriate standards for travel. The amountof trains has dramatically increased as again through extra government funding the trains were ableto at least triple the amount of trains they already had in use so that more people could travel aroundthe country. Another factor of the trains is that the quality of the train services has improved so forexample the actual train stations have improved in quality and improved the services that the trainscan offer. The final factor of importance is that the train services have been able to place train stationsin a lot of destinations so that the trains can be accessible for more customers and travellers. Anexample of personal travel is the use of cars as in the past the use of cars were limited due totechnology and cost efficiency. This means that cars were so limited due to the fact that thetechnology and mechanics of cars were limited as there were a limited amount of people that new theskill and had the educational factor of manufacturing cars. This also means that the efficiency ofmanufacturing was lack and the cost efficiency was also lacked because to manufacture these carswas difficult as the technology was not around at that time and had not yet been developed andtherefore to gain the technology and mechanics for the cars such as the car manufacturers jaguarcost an immense amount of money. Although when the technology and information was discovered inhow to manufacture and improve the general efficiency of the cars it started of a route in which thetechnology of cars dramatically improved. Also there was a greater access to money as people andindustries noticed the market for cars and therefore the funding increased drastically in the years upuntil now where the manufacturing of cars has extended to other industries that not only involve carsbut other areas as well.BTEC Creative & Media Production
  2. 2. Erika Louise Tolputt 03.11.10A final example of movement is further travelling which means planes and ferries, in the past therewere hardly any planes made at all due to the access of technology and the access to the amount ofmoney needed to run and manufacture this type of travel. As time had passed on the access toplanes such as virgin airways became greater as the industries started to develop an understandingof planes and the services to run the planes, not only did the technology and manufacturing changebut the amount of money that the plane companies had access to changes dramatically and becamemuch more accessible. This is a positive change in the industry as from these changes andadaptations travel and movement has become more accessible and more efficient for the entirecountry and other countries as well.Another aspect of the positive effects of globalisation is common trade, this basically means how theindustries began to trade with other countries as labour and materials were cheaper in other countriestherefore having them imported to this country would mean that the entire system is cheaper than ifwe had not have began common trade. An example of common trade is how when the world beganthe method of common trade in the past and through common trade the first world countries beganabusing the idea that it was cheaper to have products made in third world countries as they werecheaper to employ and there hard working nature, for example gap abused this right and beganunderpaying and abusing the employees working conditions. Once industries and government headswere realising that this method of common trade was unfair and needed to be changed otherwise wewould have possibly lost alliance with the countries that were manufacturing our products so thereforesomething had to be improved otherwise the world would lose its common trade. This means that theworld had to come up with a solution so they could keep their manufacturers so they could in effectkeep their businesses or services up and running, therefore they created a system called fair tradewhich is an adaption of the common trade. Fair trade is the idea that the manufacturers in third worldcountries were paid equally for their work and we had to improve their working conditions so that itwas fair that for the price we paid for their particular service was not unreasonable as long as theworkers and employees had a fair outcome to the work they produce for our countries andbusinesses. Therefore this was a positive outcome of globalisation as the businesses and productsneeded their services to grow along with the rate of globalisation so that they did not lose business. Itwas also a positive outcome as the manufacturers were able to produce products at a more timeefficient rate and therefore for our businesses we were able to sell at a faster rate to compete withother businesses and as it was still cheap to trade with other countries the businesses could expandand adapt to improve their businesses.The final positive outcome of globalisation that I found of somewhat importance was the factor of costefficiency; this basically means that the effects of cost efficiency have dramatically changed especiallyin branding. An example of how cost efficiency has changed in a positive light is that if you hadbought a particular product such as a television in the past it would have cost a substantial amount ofmoney which is almost unaffordable except for those who were earning enough money at the time toafford such luxuries or so they were at the time. Since the time in which those sorts of luxuries werebasically unaffordable until globalisation started to increase pricing but also began increasing theemployment salary as well which made products such as televisions affordable. Cost efficiency hasimproved along with the common trade which is the reason for pricing becoming more affordable, nowto purchase a television from a business such as Sony would of cost an unaffordable amount ofmoney until it started to become affordable due to other aspects in the industry improving such as thecommon trade, the government funding and the globalisation of the world. It is also down to the ideathat as in the past there were only a select few businesses or not even that just perhaps oneparticular business that were selling their own particular product that was essential such as televisionsand technology and then when technology and money started to become more available, industriesand other people started to invest in that area of the business industry therefore more businesses thatwere selling the same product but had their own unique twist on their brand started to become moreand more by the day and then eventually we had multiple businesses that were producing the samebrand but putting a particular outlook on their own products therefore when it came down topurchasing this particular product there were multiple choices therefore all the businesses in thatindustry were in competition with each other therefore lowering their prices and perhaps offeringcertain discounts. This is a positive aspect of globalisation as this competition in cost motivated otherbusinesses and kept all the businesses on edge so that they could always improve and adapt as theyhave in the past to get to the stage that their at now. This would keep the business going and thatparticular industry going the more people that invested into that particular area of interest.BTEC Creative & Media Production
  3. 3. Erika Louise Tolputt 03.11.10Although there are positive aspects of globalisation there are also negative aspects as all positive hasa bad effect to follow it. In globalisation there are four important areas of interest that I found had aparticular hold on describing how globalisation has negatively affected the world and the industries init. The first of these four that I found particularly interesting was the idea that globalisation hadnegatively impacted the economy, the economy used to be a structured format in which it was astrong economy because to have a strong economy we would need a lot of businesses manufacturingin our own country which at the time we had as there was no other way that we could manufacture asthe common trade was not introduced until further into the manufacturing industry. When he had astrong economy the common trade was introduced which meant that having our productsmanufactured in another country meant that manufacturing was in effect a lot cheaper as it was beingproduced in a place which made the manufacturing a lot cheaper. Once a couple of businesses hadbegun transferring to common trade other businesses followed and as globalisation grew bigger sodid the amount of businesses participating in the common trade and therefore the economy is weakas there almost no businesses in the united kingdom that manufacture their own products in their owncountry. An example of how our economy is weaker as jobs that were involved in manufacturing in theUnited Kingdom have been terminated as the manufacturing companies closed down due tomovement in other countries that are manufacturing for businesses in the United Kingdom at a muchcheaper rate, therefore the economy is weaker than it had been in the past and has adapted into aweaker form of what it had been. An example of the economy becoming weaker is a business calledBradford and Bingley who crashed due to common trading with the united states when their economystarted to crash because of the manufacturing trade so did our economy. This is a negative aspect ofthe effects of globalisation as when the economy crashes then we begin to lose business and jobsthat are desperately needed to keep the system flowing accordingly.Another aspect of globalisation that has had a negative effect on the world is the social features; thisbasically means that how each country had their own particular identity and culture in which that thecountries represented them. An example of how the identity and culture of each country has changedis how with the United Kingdom where we had a history of culture and a history of substance, where ithas changed due to globalisation as through the country the history and culture has been faded outwith business and industries and engulfed with globalisation. When the culture wasn’t engulfed withbusiness and the forums of the industries our countries had a history and substance that has beendrowned out through the marketing. Businesses that were encouraging the deterioration of theheritage is other businesses that have immigrated and businesses that have grown so much that theyhave began having stores and other services in this country. These businesses grow in numbers suchas a clothing company called Hollister which originated from the states and grew into having storesand services in other large clothing economies. This is a negative effect of globalisation as loosingheritage due to globalisation means that we lose what our country and what other countries represent.This is also considered a negative effect of globalisation as from the heritage being ruined we willcontinue to have a past of business and business history instead of what we had had in the pastheritage.Another aspect of globalisation that has had a negative effects on the world is the political views; thisbasically means that since the world has changed through globalisation so has the statuses in thehouses of parliament and other governments, this is because all the businesses and industries havechanged dramatically and have caused problems for the economy and now the government have topick up the pieces where the businesses and industries have been careless and left lose threads thathave caused our economy to trip up and cause problems that are proving solve less. An example ofhow the government are struggling with the changes of globalisation is the idea that the governmentaren’t coping with the amount of people that have fallen into serious debt where people havepurchased items or products that they could not afford to purchase but where the business industryhave convinced the public that they need a certain product or brand in which they could not afford topurchase at the time. Therefore from the debt that these people have bought upon themselves andhave been unable to pay the original pricing back as well as the interest that follows the latepayments, following this the government offer housing, money benefits and other benefits that willpotentially help those struggling with debt, this is a huge strain on government funding. The debt formany people is getting worse as the globalisation of brands and globalisation in general is increasingso is the debt for many others as this creates even more problems for the government which they willhave to continue in trying to potentially solve this problem. The brands that are creating some of theseproblems is brands such as heart, the estate agency that forces people to get a loan from the bankotherwise their houses and property are almost unaffordable so therefore people go in to debt for themortgages that the majority of the population potentially cannot make the payments to. This is anegative effect of globalisation as when the government start having issues with people that do notBTEC Creative & Media Production
  4. 4. Erika Louise Tolputt 03.11.10stick up to payments they have to start making cuts which effects the entire population not only thepercentage of the population that are in debt. Also when it effects the entire population it will thenpotentially affect the businesses that are involved around this debt which will potentially affect otherbusinesses as well.The final negative aspect of globalisation is the idea of the biological factors, this basically means thatthe through the changing world of globalisation the industries have grown stronger and larger andmore manufacturing companies have grown in mass. This means that businesses such as virginairways that started off as a small business who intended to grow along with the globalisation of theworld and as they had grown they began affecting the biological outlook of the world and startedproducing mass amounts of carbon emissions and other elements that began effecting theenvironment. As they had started to ruin the environment they also began disturbing other elementsof nature which was the communities that have had to of been induced with the terminals that havebeen built around neighbouring areas which we sourly affected with this business and their service orservices, virgin airways were created plenty of drama when they began to create terminals whichaffected the neighbouring areas, they also began creating more planes and transports which wereaffecting the environment which was unnecessary as the environment was already deteriorating withother businesses enlarging which meant they needed to increase their manufacturing statuses andfactories so that they could carry on increasing their businesses and industries along with the effectsof globalisation. This is a negative effect of globalisation as it has affected many areas in life insteadof just one particular area, this has a huge impact on the countries and communities instead of theindustries and other businesses, although it will motivate other businesses to improve further thanvirgin airways and therefore creating more potential problems and as these businesses continue incompetition the communities around them will be heavily affects more and more as these businessescontinue to improve. This will not only cause more problems for the communities but it will also causeproblems outside of the countries but into the world where it will begin to affect other countries andthe environment around them. This could potentially be a huge problem as these businesses are notthe only ones that continue to improve as in every industry all the businesses are in permanentcompetition who are causing further problems.In conclusion to this question there have been positive and negative aspects of globalisation andthere are varied opinions on globalisation but the points that have been made in this essay aregeneral factors that are obvious to anyone that offers out some form of an opinion. In the world thereare countries and economies that are benefiting from globalisation that were not benefiting in the pastand they will continue to benefit as globalisation grows stronger and stronger every day, the countriesthat have been positively affected is countries such as China who have benefited as they have one ofthe biggest manufacturing responsibilities in the world although having benefits from globalisationthey have also suffered some negative aspects as having such a huge market for manufacturing willcome at a price. Whereas other countries such as the united kingdom are suffering from the effects ofglobalisation as manufacturing has weakened the economy and the other downbeat effects are notonly effecting the public and businesses but its reached higher and has affected the governmentbecause the public and businesses could not solve the situation without financial and structured helpfrom the leaders of the country. All together globalisation will continue to grow and affect many peopleand many industries, its how each country and economy can cope and adapt to the changes that willhandle the changing effects and potentially benefit from the changes, although there will be downfallsand it’s how the industry can pick itself back up after being shot down due to the affects ofglobalisation.BTEC Creative & Media Production