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GLOBALISATION: GOOD OR BAD?

If you look at the tag on your shirt, chances are you would see that it was made
in a country other than the one in which you sit right now. What's more, before
it reached your wardrobe, this shirt could have very well been made with
Chinese cotton sewed by Thai hands, shipped across the Atlantic on a French
freighter crewed by Spaniards to a British harbour. This international exchange
is just one example of globalization.
A2 Level Sociology: World Sociology: Booster Readings
Globalization is the process of increased interconnectedness among countries
most notably in the areas of economics, politics, and culture. McDonalds in
Japan, Bollywood films being played in Leicester, and the United Nations, are all
representations of globalization.

Some theorists are sceptical about the view that globalisation is a new process -
and argue that it has been occurring throughout history.
However, the current “phase” of globalisation has been dramatic and rapid. It
has been driven by a number of factors, including:

(i)Technological advances - such as that within ICT and transport

(ii)Global crises - such as wars or, more recently, environmental/economic
disasters.

(iii)Political changes - particularly the end of the „Cold War‟

(iv)The rise of Trans-National Organisations (TNOs) - such as the United
Nations, European Union and Trans-National Corporations (TNCs) - such as
Coca-Cola; Nike; Nestle; Wal-Mart; BP; etc

(v)Trade liberalisation - the opening up of trade across the world.



Globalisation has significant effects on all levels of human interaction - and
theorists often emphasise three types of impact:
� Economic - with production and sales distributed across different countries.
� Socio-Cultural - with cultures becoming more diverse (or more homogenous?).
� Political - with decision-making made on a transnational scale.
Is Globalization a Good Thing?

There is a heated debate about the true effects of globalization and if it really
is such a good thing. Good or bad, though, there isn't much argument as to
whether or not it is happening.




Positive Aspects of Globalization (Shipman; consensus theory)

  As more money is poured in to developing countries, there is a greater chance
  for the people in those countries to economically succeed and increase their
  standard of living.
  Global competition encourages creativity and innovation and keeps prices for
  commodities/services in check.
  Developing countries are able to reap the benefits of current technology
  without undergoing many of the growing pains associated with development of
  these technologies.
  Governments are able to better work together towards common goals now
  that there is an advantage in cooperation, an improved ability to interact and
  coordinate, and a global awareness of issues.
  There is a greater access to foreign culture in the form of movies, music,
  food, clothing, and more. In short, the world has more choices.

Negative Aspects of Globalization (Chomsky; conflict theory)

  Outsourcing, while it provides jobs to a population in one country, takes away
  those jobs from another country, leaving many without opportunities.
  Although different cultures from around the world are able to interact, they
  begin to meld, and the contours and individuality of each begin to fade
  („Americanisation‟; „Disneyfication‟; „coca-colonisation‟; „cultural homogeneity‟)
  There may be a greater chance of disease spreading worldwide, as well as
  invasive species that could prove devastating in non-native ecosystems.
  There is little international regulation, an unfortunate fact that could have
  dire consequences for the safety of people and the environment.
  Large Western-driven organizations such as the International Monetary Fund
  and the World Bank make it easy for a developing country to obtain a loan.
  However, a Western-focus is often applied to a non-Western situation,
  resulting in failed progress.
  Impact on power and politics: Chomsky argues that globalisation is eroding
  the nation-state and actively harming democratic representation, with voters
voting for governments who do not hold the real power over economic policy
  that they used to.
  Increase in global crime (drugs; people-trafficking; weapons; etc)
  TNC‟s effectively behaving like „psychopaths‟: corporations are required by
  law to elevate their own interests above those of others, making them prone
  to prey upon and exploit others without regard for legal rules or moral limits.
  The 10 largest TNCs have a total income greater than that of 100 of the
  world‟s poorest countries, and 2/3rds of all international trade is conducted
  by just 500 TNCs.

However, Hirst and Thompson suggest that the decline of the nation state has
been exaggerated. In “Globalisation in Question” (1996), they acknowledge that
there has been some decline in the power of the nation state due to
globalisation but that the extent of it has been overstated. They cite as
evidence the considerable power nation states continue to have over foreign
policy, the military, their national territory and, significantly, the power their
citizens‟ sense of „national identity‟ gives them. Hirst and Thompson also claim
that the extent of economic globalisation has been exaggerated, pointing out
that many companies labelled as TNCs still operate largely within their „home
regions‟, rather than genuinely globally.

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  • 1. GLOBALISATION: GOOD OR BAD? If you look at the tag on your shirt, chances are you would see that it was made in a country other than the one in which you sit right now. What's more, before it reached your wardrobe, this shirt could have very well been made with Chinese cotton sewed by Thai hands, shipped across the Atlantic on a French freighter crewed by Spaniards to a British harbour. This international exchange is just one example of globalization. A2 Level Sociology: World Sociology: Booster Readings Globalization is the process of increased interconnectedness among countries most notably in the areas of economics, politics, and culture. McDonalds in Japan, Bollywood films being played in Leicester, and the United Nations, are all representations of globalization. Some theorists are sceptical about the view that globalisation is a new process - and argue that it has been occurring throughout history. However, the current “phase” of globalisation has been dramatic and rapid. It has been driven by a number of factors, including: (i)Technological advances - such as that within ICT and transport (ii)Global crises - such as wars or, more recently, environmental/economic disasters. (iii)Political changes - particularly the end of the „Cold War‟ (iv)The rise of Trans-National Organisations (TNOs) - such as the United Nations, European Union and Trans-National Corporations (TNCs) - such as Coca-Cola; Nike; Nestle; Wal-Mart; BP; etc (v)Trade liberalisation - the opening up of trade across the world. Globalisation has significant effects on all levels of human interaction - and theorists often emphasise three types of impact: � Economic - with production and sales distributed across different countries. � Socio-Cultural - with cultures becoming more diverse (or more homogenous?). � Political - with decision-making made on a transnational scale.
  • 2. Is Globalization a Good Thing? There is a heated debate about the true effects of globalization and if it really is such a good thing. Good or bad, though, there isn't much argument as to whether or not it is happening. Positive Aspects of Globalization (Shipman; consensus theory) As more money is poured in to developing countries, there is a greater chance for the people in those countries to economically succeed and increase their standard of living. Global competition encourages creativity and innovation and keeps prices for commodities/services in check. Developing countries are able to reap the benefits of current technology without undergoing many of the growing pains associated with development of these technologies. Governments are able to better work together towards common goals now that there is an advantage in cooperation, an improved ability to interact and coordinate, and a global awareness of issues. There is a greater access to foreign culture in the form of movies, music, food, clothing, and more. In short, the world has more choices. Negative Aspects of Globalization (Chomsky; conflict theory) Outsourcing, while it provides jobs to a population in one country, takes away those jobs from another country, leaving many without opportunities. Although different cultures from around the world are able to interact, they begin to meld, and the contours and individuality of each begin to fade („Americanisation‟; „Disneyfication‟; „coca-colonisation‟; „cultural homogeneity‟) There may be a greater chance of disease spreading worldwide, as well as invasive species that could prove devastating in non-native ecosystems. There is little international regulation, an unfortunate fact that could have dire consequences for the safety of people and the environment. Large Western-driven organizations such as the International Monetary Fund and the World Bank make it easy for a developing country to obtain a loan. However, a Western-focus is often applied to a non-Western situation, resulting in failed progress. Impact on power and politics: Chomsky argues that globalisation is eroding the nation-state and actively harming democratic representation, with voters
  • 3. voting for governments who do not hold the real power over economic policy that they used to. Increase in global crime (drugs; people-trafficking; weapons; etc) TNC‟s effectively behaving like „psychopaths‟: corporations are required by law to elevate their own interests above those of others, making them prone to prey upon and exploit others without regard for legal rules or moral limits. The 10 largest TNCs have a total income greater than that of 100 of the world‟s poorest countries, and 2/3rds of all international trade is conducted by just 500 TNCs. However, Hirst and Thompson suggest that the decline of the nation state has been exaggerated. In “Globalisation in Question” (1996), they acknowledge that there has been some decline in the power of the nation state due to globalisation but that the extent of it has been overstated. They cite as evidence the considerable power nation states continue to have over foreign policy, the military, their national territory and, significantly, the power their citizens‟ sense of „national identity‟ gives them. Hirst and Thompson also claim that the extent of economic globalisation has been exaggerated, pointing out that many companies labelled as TNCs still operate largely within their „home regions‟, rather than genuinely globally.