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2.5.2023
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DEFINITION Globalisation describes the growing interdependence of the world's economies, cultures and population newer technologies in communication, information and transport are driving globalisation GLOBALISATION in recent years the three points have become cheaper and cheaper and have been constantly improved EFFECTS OF GLOBAUSATION ON ECONOMY most affected area major catalyst of globalisation easier import and export and better resources for production of poor countries increase in international export worldwide exports, direct investments and multinational corporations have increased ... POLITICS global problems are being solved by boarder groups of countries (EU,UNO... and NGO's (non- governmental organisation) NGO's use the internet to influence in politics decrease of political attitude of signal states LABOUR MARKET Increased competition among workers → companies can hire workers around the world also workers can work at any company around the world, which has put pressure on wages and benefits particularly in developed countries Outsourcing and offshoring → companies outsourced their location to a country where are lower labour costs resulted in some job losses, particularly in manufacturing and other low-skilled jobs Increased mobility → It is easier for workers to move between countries created the opportunity for workers to find better-paying jobs New job opportunities →new jobs were created in industries such as technology and services Changes in skill requirement → Language skills and technical skills became more valuable on the labour market Increased inequality →workers with high skilled jobs have seen their wages raised, while those with low skilled jobs have seen their wages stagnate or decline THE TWO GROUPS OF...
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GLOBALISATION Winners politicians, rich people, multinational companies, newly industrialised countries (,,new middle class") like India, Brazil and China companies can operate around the world without any problems earn a lot of money CULTURE global products etc. destro cultural diversity some people return local and regional cultural customs Tourism lack of diversity because of global standard and popular western culture that becomes dominant getting to know more people LOSERS third and developing world countries, exploitation of workes people got poorer and only saw the negative aspects about globalisation their life didn't improved in the last 20 years no education, suffer because of lack of food the rich people are richer and the poor are poorer ENVIROMENT Increased trade → More and more goods where transported around the world, which led to increased emissions from transportation which contributes to climate change and air pollution Increased consumption → Particularly in developed countries increased the consumption of goods → increased use of resources, including water, energy and raw materials which can contribute to environmental degradation PEOPLE Increased economic opportunities →it has led to the growth of international trade and investment, which has led to create new jobs and industries in many countries Improved standards of living → Particularly in developed countries → increased access to goods and services, including healthcare, education and technology Increased cultural exchange → increased exchange of ideas and cultures and people around the world. this led to increased travel and tourism Increased inequality → concentration of wealth and poor in the handy of a few -> many people struggle with poverty and unemployment GLOBALISATION FAST FASHION • Fast Fashion is the production of low-costs is designed to be quickly and cheaply produced • increased outsourcing of production to countries with lower labour costs growth of garment manufacturing industries in countries like Bangladesh, China and Vietmam, where wages are often lower and labour standards may be weaker than in developed countries workers often get los wages and work in poor conditions they work in sweatshops ignore safety regulation, regulations about working time, laws about wages etc. Ethical concerns Problems of fast fashion industry Environmental impact Fast Fashion has a high levels of waste and pollution Production of fast fashion involves a lot of water, energy and other resource the disposal of clothing at the end of it's lifecycle can contribute to environmental problems such as landfill waste and water pollution Labour practices 2.495 1 H₂O unethical practices such as child labour, forced labour and exploitation of workers Lack of transparency Fast fashion brands don't disclose information about their supply chains or production processes Short-lives products new styles introduces at a rapid pace → this leads to a culture of disposability -> clothes/products are quickly discarded and replaced with new ones contributing to the problem of waste and pollution Health risks use of toxic chemicals in the production of fast fashion products Child labour One of the main drivers for child labour is poverty As global trade has expanded - low wage jobs have been outsourced to developing countries, where labour costs are lower increased competition among workers, driving down wages and making difficult for families to earn a living wage ➡result many families are forced to send their children to work and to support the family Because of the increase of demands for cheap goods, the production of goods increased to produce the products cheap companies outsourced their production in countries, where child labour is more common. Globalisation made it easier for companies to outsource their production to countries with much weaker laws for child protection Use of water for an single T-shirt! Fair Trade Globalisation made it easier to trade goods across borders, but it had also led to concerns about unfair trade practices →Fair Trade is a repose to these concerns, aiming to create a more equitable and sustainable training Fair Trade is a certification system that ensures that products are produced and traded correctly → according to social, environmental and economic standards Fair Trade products are produced by small farmers and artisans. Their products are spelled high-priced to consumers in developed countries The need for fair trade is that the globalisation led to unequal distributions of economic benefits -Workers and Producers are traditionally paid low wages and work in poor conditions -Profits from their labour went to multinational companies -Fair trade aims to address the inequality by providing fair wages and fair working conditions Also for fair trade is transparency important the consumers know every step of the supply chain etc. GLOBALISATION Opportunities and risks for employers because of the globalisation Opportunities Risks Access to new markets Increasing their customer base and grow of their business Cost savings Give employers to access lower-cost labour, which can bring diverse skills and experience to their organisation Can help them to innovate and compete more effectively Innovations Globalisation increased competition, which can drive innovation as companies seek to develop new products Opportunities Increased job opportunities Opportunities and risks for employees because of the globalisation Risks more jobs or new jobs for specific markets also growth of multinational companies with many locations, which can offer the opportunity to work in some parts of the world Higher wages Labour standards increased in the western world Skill development Globalisation enable workers to gain new skills and gain new experience ADVANTAGES travelling improved mobility development of planes, ships and trains fast transportation new communication make the collaboration between business partner easier Labour standards globalisation led to concern of labour standards in some part of the world Companies are in the risk of loosing a good reputation, when they practice worse labour standards companies have braches all over the world labour laws can be standardised if several countries work together (EU) minimum wage buying goods which come from far away increased property and higher living standards supply chain disruption Trough globalisation they are complex supply chain which can be easily disrupted caused natural disasters or political instability Intellectual property theft Through rising competitions more companies try to steal newer technology from their competitive Job displacement people have been replaced by machines cost effective Exploitation Workers in developing countries may be paid low wages and work in poor conditions DISADVANTAGES people in developing countries suffer from hunger or die of disease individual culture could blend into a single global culture some people work under cruel conditions, producing goods which will be shipped to and sold in 'industralized countries (SHEIN) low pay, bad health conditions diseases can easily spread all around the globe (COVID) unique thing can get lost