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What is Globalization?
Globalization can be defined as a process of rapid economic, cultural, and institutional

integration among countries. This unification is driven by the liberalization of trade, investment
and capital flow, technological advances, and pressures for assimilation towards international
standards. Globalization makes the world more accessible to everyone.
It is a common belief that globalization plays a role just at international levels of trade
and commerce, but the fact is that it has played an important role in making our lives much
more comfortable too. The phones, apparels, gadgets or accessories that we use in our day-to-
day life are being available to us through globalization. Knowingly or unknowingly, we are all
under the impact of globalization, and more importantly it has helped in bringing international
peace and justice to mankind. Today, the economies of most countries are so interconnected that
they form part of a single, interdependent global economy.
Globalization” can mean: The formation of a global village - closer contact between
different parts of the world, with increasing possibilities of personal exchange, mutual
understanding and friendship between "world citizens".
Types of Globalization
1. Economic. Countries that trade with many others and have few trade barriers are
economically globalized.
2. Social. A measure of how easily information and ideas pass between people in their own
country and between different countries (includes access to internet and social media networks
3. Political. The amount of political co-operation there is between countries.
Globalization in the Philippines

The country is taking part in the process of globalization ever since the country signed
agreements with World Trade Organization in 1995. Now, globalization is very effective in the
Philippines, it has allowed major changes in the nation like more labor, and more Filipino and
foreign companies has emerged in the nation in order to help the country’s developing economy.
Globalization can make the Philippines into a better nation if the Philippine leaders to
make their economy more advance through global trading and allowing more foreign investors
to the help boost the economy. And by accomplishing those goals, the Philippines should be able
to reduce the poverty level as well as increase labor force for job opportunities for those that are
in need for a living. However, since the poverty level is still increasing, most Filipinos has
managed to find work overseas and they have managed to seek better living than in the
Philippines. The most effective factor in the Philippines is education. The society’s mentality is
to be educated and it’s with education that people in the nation see their opportunity for a better
life in the future.
Signs of Globalization
1. Increase in international trade at a faster rate than the growth in the world economy
2. Increase in international flow of capital including foreign direct investment
3. Greater trans border data flow, using such technologies such as the Internet, communication
satellites and telephones
4. Greater international cultural exchange, for example through the export of Hollywood and
Bollywood movies.
5. Some argue that even terrorism has undergone globalization. Terrorists now have attacked
places all over the world.
6. Spreading of multiculturalism and better individual access to cultural diversity, with on the
other hand, some reduction in diversity through assimilation, hybridization, Westernization,
Americanization or Sinosization of cultures.
7. Erosion of national sovereignty and national borders through international agreements
leading to organizations like the WTO and OPEC.
Advantages of Globalization
1. Peaceful Relations- most of the countries have resorted to trade relations with each other
in order to boost their economy, leaving behind any bitter past experiences if any.
2. Employment- considered as one of the most crucial advantages, globalization has led to the
generation of numerous employment opportunities. Companies are moving towards the
developing countries to acquire labor force.
3. Education- a very critical advantage that has aided the population is the spread of
education. With numerous educational institutions around the globe, one can move out from the
home country for better opportunities elsewhere.
4.Product Quality- the product quality has been enhanced so as to retain the customers.
Today the customers may compromise with the price range but not with the quality of the
product. Low or poor quality can adversely affect consumer satisfaction.
5.Cheaper Prices- globalization has brought in fierce competition in the markets.
6. Communication- every single information is easily accessible from almost every corner of
the world. Circulation of information is no longer a tedious task, and can happen in seconds.
The Internet has significantly affected the global economy, thereby providing direct access to
information and products.
7. Transportation- considered as the wheel of every business organization, connectivity to
various parts of the world is no more a serious problem. Today with various modes of
transportation available, one can conveniently deliver the products to a customer located at any
part of the world.
8.Free Trade- Free trade is a policy in which a country does not levy taxes, duties, subsidies or
quota on the import/export of goods or services from other countries. There are countries which
have resolved to free trade in specific regions. This allows consumers to buy goods and services,
comparatively at a lower cost.
9. Travel and Tourism-globalization has promoted tourism to great heights. International
trade among different countries also helps in increasing the number of tourists that visit
different places around the world.
10.External Borrowing- with the help of globalization, there is opportunity for corporate,
national, and sub-national borrowers to have better access to external finance, with facilities
such as external commercial borrowing and syndicated loans.
11. Cultural Diversity: Increased movement of labor leads to an increase in the spread of
different cultural ideas.
Disadvantages of Globalization
 Health Issues Globalization has given rise to more health risks and presents new threats
and challenges for epidemics. - the dawn of HIV/AIDS. Having its origin in the wilderness of
Africa, the virus has spread like wildfire throughout the globe in no time. - Food items are also
transported to various countries, and this is a matter of concern, especially in case of perishable
items.
 Loss of Culture With large number of people moving into and out of a country, the culture
takes a backseat. People may adapt to the culture of the resident country. They tend to follow the
foreign culture more, forgetting their own roots. This can give rise to cultural conflicts.
 Uneven Wealth Distribution It is said that the rich are getting richer while the poor are
getting poorer. In the real sense, globalization has not been able to reduce poverty.
 Environment Degradation The industrial revolution has changed the outlook of the
economy. Industries are using natural resources by means of mining, drilling, etc. which puts a
burden on the environment.
 Disparity Though globalization has opened new avenues like wider markets and
employment, there still exists a disparity in the development of the economies. Structural
unemployment owes to the disparity created. Developed countries are moving their factories to
foreign countries where labor is cheaply available.
 Conflicts It has given rise to terrorism and other forms of violence. Such acts not only cause
loss of human life but also huge economic losses.
 Cut-throat Competition Opening the doors of international trade has given birth to
intense competition. This has affected the local markets dramatically. The local players thereby
suffer huge losses as they lack the potential to advertise or export their products on a large scale.
Therefore the domestic markets shrink.
Globalization Theories
Homogeneity – refers to the increasing sameness in the world as cultural inputs, economic
factors, and political orientations of societies expand to create common practices, same
economies, and similar forms of government.
Homogeneity in culture is often linked to cultural imperialism.
Heterogeneity- refers to the differences because of either lasting differences or of the hybrids
or combinations of cultures which can be produced through the different transplanetary
processes.
Contrary to the cultural imperialism, heterogeniety in culture is associated with cultural
hybridization.
Origins and History of Globalization

Epoch -
Six Great Epochs of Globalization
1. Globalization of Religion (4th-7th Centuries)
2. European colonial conquests (late 15th Century)
3. Intra- European wars (late 18th- early 19th Centuries)
4. Heyday of European imperialism (mid-19th Century to 1918)
5. Post-World War II period
6. Post- Cold War Period

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What is Globalization?

Globalization can be defined as a process of rapid economic, cultural, and institutional

Globalization in the Philippines

Origins and History of Globalization

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