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research collaboration - globalisation facilities trade / global communication better access to highly qualified people for companies - more open information flows (Information from anywhere in the world) Globalisation - cheaper prices for products and services (economic) - access to new cultural products ( art, Entertainment, education) - smaller countries can work together and gain more influence internationally Globalisation 1.0: Cons missed family time - more taxing - non-stop international communication - cross time zones - coordination is difficult and expensive - some countries struggle to compete - dangerous or violent ideals can also spread faster - dominance of foreign industries - exploitation of poor developing countries - increase in migration - global financial crisis situation -dependence on other countries regarding specific goods or services -global health issues and spread of pandemics - increase in average pollution The three eras of Globalisation - 1492-1800 - Columbus set sail, opening trade between the Old World and the New World - shrank the world from size large to a size medium - about countries and muscles ‚- dynamic force driving the process of global integration, muscles, horsepower, windpower and later steam power - countries and governments breaking down walls and knitting the world together (inspired by Religion, Imperialism or combination of both ) - GLOBAL INTEGRATION Where does my country fit into global competition and opportunities? - How can I go global and collaborate with others through my country? - primarly driven by European and American individuals and businesses - the world size Western countries competing with each other (for colonies) dynamic force = countries globalizing Globalisation 2.0: - 1800-2000 - interrupted by the Great Depression and World War I and II - shrank the world from a size medium to a size small - key agent of change = multinational companies = dynamic force went global for markets and labor - spearheaded by the expansion of the Dutch and English companies, Industrial Revolution 1. powered by falling transportation costs (thank to steam engine and railroad) - 2. by falling telecommunication costs (diffusion of telegraph, telephones, PC, satellites, fiber optic cable and the World Wide Web) - birth and maturation of global economy (movement of goods and information from steamships and railroads to telephones and mainframe computers Where does my company fit into the global economy? - How does it take advantage of the opportunities? How can I go global ad collaborate with others through my company? - break through in hardware - dynamic force = companies globalizing Globalisation 3.0: - shrank the world from size small to size tiny - dynamic force = individuals collaboration and globally competition - people realising they had more power to go global - more opportunities to work, not just compete - Where do I as an individual fit into the global competition and opportunities of the day? How can I, on my own, collaborate with others globally ? - empowered individuals - Western companies, countries, explorers doing the most of it - driven not only by individuals, but also by much more diverse groups of individuals (non Western, non white) - struggling profit to globalisation Globalisation and work-life balance - flying a lot around the world and working as long as it is office hours - missing family time - long conference time - too much time flying back - seeing yourself forced to stay in place and save time, money, even you are far away from your family - calls for several hours, long time of working, working late - world wide trade - good produced in local countries and transported by ship to faraway destination - Globalisation more taxing - Businesses more complex - global trade increased = more need of communication and interaction - production and delivery become more team based and knowledge based = more people are needed to interact - global business = more people interacting for more time across more countries - cost and ecological considerations encourage to reduce travel and adopt video- conferencing - companies recognizing they need to set boundaries around working hours, personal time and holidays we need to separate work and home - we need to hold family time sacrosanct - interface standards, across work packages, will minimize the need for expensive communication and interaction Globalisation world wide change on an economic, technological and cultural level - growing interaction between cultures and economics = global village increasing global mobility of people (tourists, immigrants, refugees, business travelers) -> global flows of money and goods between international markets and production sites - global spread of ideas and values - global distribution of information ( computer, television, newspaper, radio) - process of globalisation made possible by technological process (after WW II ) -> communication and production methods - growing influence of international organisations Global Challanges Basic global trends Economic globalisation existence of global players -> multinational companies -> produce labour and sell throughout the global marketing, thus miximising their profits and expandig trade - increase in mergers between international companies = huge corporations world wide -> international trade and foreign direct Investment - capital flows around all over the world more easily encouraged by the World Bank and International Monetary Fund -> give loans to finance infrastructure projects and other development programmes Technological globalisation - rapid technological change over the last 30 years · microelectronic revolution changed human contact on earth - information spreading faster - Internet, World Wide Web and communications satellies -> make possible to communicate easily and efficiently across national boundaries Cultural Globalisation - new channels of communication helped to spread commercial culture - Hollywood & Bollywood movies - American style youth culture -> attract millions of people world wide - spread of fast foos chains and ethnic restaurants Effects on industrialised countries Growing competition - constant pressure to cut costs in a free market economy - hiring and firing or privatising state-owned companies -> priority of efficiency, speed and profits Changes in working conditions and job opportunities - longer working hours and fewer holidays - lower wages with poorer working conditions - rising unemployment and early retirement demand for greater flexibility - higher mobility and better qualifications - more part time and temporary work instead of jobs for life Advantages and hopes In the developing countries - population hopes for new jobs -> local branches of multinational companies - businessmen expect new opportunities and markets - market economy seen as successful economic system, hopefully rising living standards and less poverty In the industrial world - hope through international trade and new business opportunities, able to preserve national social standards and income levels - spread of freedom, democracy and human rights -> hope for fewer wars and other conflicts worldwide For humankind as a whole - increasing opportunities for exchange on personal level may lead to greater understanding and friendship amog world citizens -> peaceful, borderless world of shared universal values Criticism and fears In the developing countries - people fear an increasing dependence on foreign support, investment and credits - warn against danger of foreign investors suddenly pulling out their capital - political danger: corrupt governments - negative cultural influences - manipulation through the mass media In the industrial world erosion of national cultures in Europa - massive illegal immigration - power of economic companies can no longer.be controlled by elected governments For Humankind as a whole - fear that majority of people will not profit from globalisation - uncontrolled economic activities are expected to increase inequality and growth in regional and ethnic tensions or in pollution - warn against cultural diversity and destruction of local cultures - Americanisation is predicted to widen the gap between rich and poor GLOBAL CHALLENGES Poverty - bridging the gap between the rich and the poor - poor people do not have access to employment, basic health care, education and essential commodities (food, clothing, shelter and water) -> narrow this gap through economic development and fair trading conditions for developing countries