PPT for Market globalism and integration

1. MARKET GLOBALISM AND INTEGRATION
THE CONTEMPORARY WORLD
MODULE 3

2. Learning Outcome:
At the end of the chapter, the students must:
1.Define market globalism and global corporation in their own words;
2.Recognize the crucial role of integrating markets and new information
technologies in understanding globalization;
3.Explain the different core claims that bring about market globalism; and
4.Determine evidence that market globalism is sufficiently systematic to add up
to a comprehensive political ideology.

3. Topics to look out for:
• Five Core Claims of Market Globalization
• From Market Globalism to Imperialism
• Globalization

4. • The exchange of goods and services integrated into a
huge single global market.
• A virtual world without borders, inhabited by marketing
individuals and/or companies who have joined the
geographical world with the intent of conducting research
and development and making sales.
GLOBAL ECONOMY

5. MARKET
GLOBALIZATION

6. • For Manfred Steger, market globalization contains an
ideological dimension filled with a range of norms, claims,
beliefs, and narratives about the phenomenon itself.
• It is construed to be the dominant ideology of our time.
• Ideology is a system of widely shared ideas, patterned
beliefs, guiding norms and values, and ideas that are
accepted as truths by certain groups of people (Steger,
2014)

7. • The term “ideology” was first coined by Antoine Destutt de
Tracy in the late eighteenth century.
• It offers individuals a more or less coherent picture of the
world not only as it is, but also as it ought to be. In doing so,
they help organize the complexity of human experience into
fairly simple, but frequently distorted images and slogans that
serve as guide and compass for social and political action.
• Each ideology is structured around core claims, which set it
apart from other ideologies and endow it with a specific
conceptual form of morphology.

8. • But according to the French philosopher Paul Ricœer, an
ideology distorts, legitimizes, and integrates.
• With this, one has to be careful of the global circulation of
ideas and their impact on the rapid extension of social
interaction and interdependence across time and space.
This applies to one’s notion of globalization.
• Market globalism - a hegemonic system of ideas that
makes normative claims about a set of social processes
called globalization.

9. • To understand the fundamental changes brought about
by globalization and affecting the ideological landscape
of the 21st century, it is necessary to grasp the
connection between political ideologies and their
overarching “social imaginary” (Steger, Battersby, &
Siracusa, 2014).
• What makes an ideology political is that it claims
select, privilege, and constrict social meaning related to
the exercise of power in the society.

10. • Social Imaginary – deep seated modes of
understanding that provide the most general parameters
within which people imagine their common existence
like the ilustrados’ concept of being “Filipinos”.
• New technologies facilitated the speed and intensity
with which new ideas and practices infiltrated the
national imagination. Images, people, and materials
circulated more freely across national boundaries
(Claudio, 2016).

11. • In the 1990s, globalization took center stage to
cater the agenda of the global social elites. The era
saw the emergence of a movement that espoused
the creation of a global free market and the spread of
consumerist values around the globe.
• The movement was not just about the free
exchange of material things, it also influenced
people’s attitudes and values. It aimed to shrink the
world.

12. • After the collapse of the Soviet Union in the early
1990s, power social elites in industrialized countries
pushed to sell their version of globalization.
• It popularized the neo-liberal framework of
globalization – deregulation of markets, liberalization
of trade, privatization of state-owned enterprises and
very recently, the global war on terror (Steger,
Battersby, & Siracusa, 2014).

13. THE FIVE
CORE CLAIMS
OF MARKET GLOBALISM

14. According to one of America’s prominent executive
officer George David:
“We are at an optimistic time in our world: the
barriers between nations are down, economic liberalism
is decidedly afoot and proven to be sound, trade and
investment are soaring, income disparities between
nations are narrowing and wealth generation globally is
at record high level, and I believe likely. ”

15. • David’s claim is so optimistic that in one way or another,
stresses that globalization is beneficial to the world’s
citizens.
• It seems to imply that with globalization at hand, the lives
for most people would become better for days or years to
come.
•With this, David views globalization as a good thing for the
citizens of the contemporary world.
•Hence, for people in line with George David’s line of
thinking, globalization brings a lot of positive things

16. • In relation to this, Manfred Steger has stressed that
globalization could be summarized into five core
claims:
1. Globalization is about the liberalization and global
integration of markets;
2. Globalization is inevitable and irreversible;
3. Nobody is in charge of globalization;
4. Globalization benefits everyone in the long run; and
5. Globalization further the spread of democracy in the
world (Steger, 2009).

17. 1. Globalization is about the liberalization and
global integration of markets.
• The first core claim of globalization’s essence is that it
simply espouses the idea of the inevitability of the spread
of the ideals of free trade and free enterprise to as many
states and nations across the globe.
• One of its sad effects is that it paved the way to many
governments' 'HANDS OFF” attitude towards the interest
of larger transnational and multinational corporations
(Steger, Battersby, & Siracusa, 2014).•

18. • Gina Lopez, in her press conference after the
Commission on Appointments of the Senate of the
Philippines opted not to confirm her appointment as the
country’s Department of Environment and Natural
Resources (DENR) Secretary, said:
“This is the only country in the world that gives tax
holidays to large n companies for seven years. Our
government allows them to exploit our water for free.
When we drink, we pay for our water. But those mining
companies can freely use our water. ”

19. 2. Globalization is inevitable and irreversible.
• For the market-globalist perspective, the coming
globalization would be an absolute certainty. In fact,
once it happens, there is no turning back since
globalization is inevitable and irreversible.
• As a process, globalization did not happen overnight.
It is a product of the ever increasing innovativeness of
human spirit.

20. • The advancement of science and technology
facilitated globalization’s encroachment to many
aspects of people’s lives whether collectively or
individually since the products of globalization
are, most often than not, employed as means to
address problems that have confronted
humanity as a whole (Steger, 2009).

21. 3. Nobody is in charge of globalization.
• The claim is based on the classical concept of “self-
regulating” market (Steger, Battersby, & Siracusa,
2014).
• This means that technically, the globalists are not the
ones who would dictate the globalization process.
• Rather, these people would just accomplish the oughts’
and the aspect of what must be done dictated by the
wave of the process of globalization, which goes beyond
individual self-interests but rather by a mightier

22. • According to Friedman, the global marketplace
today is an “electronic herd” of often anonymous
stock, bond, and currency traders and multi-national
investors connected by screens and networks
(Friedman, 2009).
• With this, the question on who owns responsibility
for whatever its effects would strongly be taken into
consideration since globalization would not pin point
anyone in charge.

23. • This is where corporate social responsibility
comes in.
• Even if no one is technically in charge of
globalization, the players should be responsible for
its effects since those who are affected are human
beings who are the recipients of the good and bad
effects of this process.

24. 4.Globalization benefits everyone in the long run
• With globalization bringing a lot of improvements on the
things that people use in the way they live, it would be logical
to assert that globalization would benefit everyone in the long
run.
• As it is defined by Steger as the expansion and
intensification of social relations and consciousness across
world-time and world-space (Steger, Battersby, & Siracusa,
2014), innovations brought about by the globalizing process
would also be better facilitated to reach many regions in the
world.

25. •Globalization could bring economic growth and
progress to the non-affluent nations as well as
provide them with an opportune space to get
involved with the great benefits that it has provided to
the world.
• Nevertheless, there is also the danger that the
poorer nations and its citizens would also have
greater chances to be exploited since globalization
could also break a nation’s productive barriers in the
realm of trade and commerce.

26. • This is quite true and it has already happened. After
all, one of the basic characteristics of globalization is
that its effects are uneven.
• Yet, the globalists would assert that weighing the
positive and negative effects of globalization, it would
positively affect a large number of people in the long
run.

27. 5. Globalization further the spread of democracy in
the world.
• The fifth claim links globalization and market to the
adjacent concept of democracy, which also plays a
significant role in liberalism, conservatism, and
socialism (Steger, 2009).
• The most obvious strategy by which neo-liberals
generate popular support for the equation of democracy
and the market is discrediting traditionalism and
socialism.

28. • A globalist logically regards freedom, free markets,
and democracy as one and the same terms.
• Persistently affirmed as common sense, the
compatibility of these concepts often goes
unchallenged in the public discussion (Steger,
Battersby, & Siracusa, 2014).

29. FROM MARKET GLOBALISM
TO IMPERIAL GLOBALISM
AND BACK

30. • The five core claims of market globalism show that
market globalism is sufficiently systematic to add up
to a comprehensive ideology.
• In the 1990s, the social power elites of
industrialized countries used the soft language
“market globalization” to define their imperial
activities.
• After the September 11th attacks, the power elites
saw a legitimate challenge to globalization -
terrorism.

31. • As many market globalists struggled to maintain the
viability of their ideological project focused on open
markets, the unilateralist the Bush administration
supported the compromise of toughening up the
ideological claims of market globalism to fit the neo-
conservative vision of a compassionate US empire
relying on overwhelming military power (Steger,
Battersby, & Siracusa, 2014 ).

32. • As a result, market globalism morphed into imperial
globalism. Claims One (globalization is about the
liberalization and global integration of markets) and
Four (globalization benefits everyone) – the
backbone of market globalism – remained largely
intact but the other claims had to undergo hard-
power facelifts.

33. • The determinist language of Claims Two, however,
came under sustained criticism by commentators
who read the al-Qaeda attacks as exposing the dark
side of globalization.
• Some proclaimed the imminent ‘collapse of
globalism’, worrying that the terrorist attacks would
usher in a new age of cultural particularism and
economic protectionism (Steger, Battersby, &
Siracusa, 2014).

34. • This paves the way for claim 6 of globalization: you
need a war on terror to market globalization’s
discursive arsenal.
• Lastly, it is also worth noting that one observation
by many scholars of globalization is that globalization
is Americanization or McDonaldization of the world.

35. GLOBALIZATION

36. • The approach to study of globalization, sometimes
termed “historical globalization”, locates the
phenomenon itself in early patterns of trade and
exchange (Moore & Lewis, 2000).
• In early historical periods as both cities and countries
expanded their reach beyond their own borders, this
view holds that a form of globalization was initiated,
which then followed complex patterns of interactive
engagements organized through trade and directly
influenced by the emergent and subsequently dominant
technologies.

37. • The contemporary global corporation is
simultaneously and commonly referred to either as a
multinational corporation (MNC), a transnational
corporation (TNC), an international company, or a
global company. Those offered by Iwan (2012) are
practically useful (Steger, Battersby, & Siracusa,
2014).

38. • International companies are importers and exporters,
typically without investment outside their home country;
• Multinational companies have investment in other
countries, but do not have coordinated product offerings in
each country. They are more focused on adapting their
products and services to each individual and local market.
• Global companies have invested in and are present in
many countries. They typically market their products and
services to each individual local market.

39. • Transnational companies are more complex
organizations, which have invested in foreign
operations, have central corporate facilities but give
decision-making, research and development (R&D)
and marketing powers to each individual foreign
market (Steger, Battersby, & Siracusa, 2014).

40. • Global corporations within the emerging economies
appear to be of three general types: those that have
arisen as a result of growing national power of the
host country, responding to the need to aggregate
and deploy national capital to provide the basis for
economic development;

41. • a second type of global firm has focused on
replicating major consumer pathways in both
developed and developing market a third type in
which working through contract and other
relationships with developed market firms has been
the basis for their rapid increase in size and influence
which in turn has empowered the firms to establish
other complex linkages beyond core contract
markets to build competitive advantage in both global
and domestic markets usually by gaining access to
and exploitation of superior innovative technology.

42. EXERCISES

43. A.Identification. Identify the person, concept, or event described in each number. Write your answer on the
space provided before each number.
1. These more complex organizations, which have invested in foreign operations, have a central corporate
facility but give decision-making, research and development (R&D) and marketing powers to each
individual foreign market.
2. A system of widely shared ideas, patterned beliefs, guiding norms and values, and ideals that are
accepted as truths by certain groups of people.
3. The basis of the claim that “nobody is in charge of globalization”.
4. Globalization reflects the spread of irreversible market forces driven by technological innovations that make the
global integration of global economies inevitable.
5. Deep seated modes of understanding that provide the most general parameters within which people imagine
their communal existence like the ilustrados’ concept of being “Filipinos”.
6. It is primarily about the liberalization and global integration of markets.
7. Companies that are importers and exporters, typically without investment outside their home country.
8. The approach to the study of globalization that locates the phenomenon itself in early patterns of
trade and exchanges.
9. Mostly felt to be one of the foremost challengers of globalization most especially after the September 11
World Trade Center attacks in New York City.
10. A hegemonic system of ideas that makes normative claims about a set of social processes called
globalization.

44. Evaluation
Among a list of choices, choose the
right Five (5) Core Claims of Market
Globalism