Globalization and Culture

Globalization and Culture

Question 1

Globalization

The term globalization is referred to as a socio economic term, which is now days linked to the economic development and growth of the country. Many economists have also define globalization as a process by which various societies and countries interact with each other on a global scale through various mediums of communication and exchange ideas with each other. Moreover, globalization is also referred to as a sense of connectivity in the economic and cultural life across the world.

Factors that led to globalization

Industrial revolution

One of the major factors that contributed to the development of globalization is the industrial revolution. There was a tremendous increase in the quantity and the quality of products due to the industrial revolution. The era of industrial revolution, countries were able to increase their exports and imports and their business relations. Since it enabled countries to exchange better products, various countries across the world became consumers of many developed countries (Hopkins, 2004)

Second World War

In a broader sense, globalization was mainly developed after the Second World War. One of the main reasons behind this was that many leaders of the nations made an agreement to break down the border in order to establish trade relations with other nations. It was during this period that various countries became independent as a state and therefore, started having economic relations with other nations of the world in order to grow and develop.

Capitalism

Another major reason behind the development of globalization is the capitalism. According to Karl Marx, capital drives beyond every barrier and helps in conquer the whole earth for its market. Capitalists also pursued globalization as it allowed countries to site their production facilities to areas where costs were lowest and revenue was at maximum.

GATT/WTO

Another major element which also increased globalization was the introduction of GATT.GATT was formed and implemented to lower tariff barriers among the nations of the world. GATT successor was the WTO (World Trade Organization) which was formed so that trade relations can be managed at the global scale and a detailed structured system could be incorporated in trade relations. With the help of GATT and WTO, world exports nearly doubled in that period and was increased by 21% in the first year (Hopkins, 2004)

Technological innovations

The various advanced technological inventions and tools also contributed to globalization by providing an adequate infrastructure for Tran's world connections. With the help of technology there were many developments in transport, communication mediums, and methods of data processing. This development allowed the global connections to become denser and more reliable. The rapid increase in globalization has been dependent on the technological innovations and has helped nations to develop long term global relationship

Advantages of globalization

The most significant advantage of globalization is that it has increased free trade among the nations of the world. It has also helped developed nations to invest in the developing countries through increase liquidity of capital. With the help of globalization, organizations have greater flexibility to trade across various borders. Globalization has also decreased the ...