Globalisation has led to both positive and negative effects on the world. Positively, technology and services have advanced rapidly through globalisation. Movement of people has also improved with better transportation systems like trains, cars, planes and ferries providing more access. Common trade has increased trade between countries, though early abuse of cheap labor in developing nations led to fair trade agreements. Cost efficiency has improved through competition lowering prices of goods. However, globalisation has also weakened economies by moving manufacturing overseas. It has threatened cultural identity by spreading popular global brands. It has increased political challenges through rising consumer debt. Mass production has also harmed the environment through increased carbon emissions and disrupted communities.

1. Erika Louise Tolputt 03.11.10
Globalisation
The definition of globalisation is a growth to a global or worldwide scale. This basically means a
business or service that has grown to a worldwide scale from the smaller business that was originally
the starting points of their business. Globalisation could also be conceived as the process by which
regional economies, societies and cultures have become interrogated through a global network of
political ideas through communications, transportation and trade. The term is most closely associated
with the term economic globalisation; this basically means the integration of national economies into
the international economy through trade, foreign direct investment, capital flows, migration, the spread
of technology and military presence. However, globalisation is usually recognized as being driven by
a combination of economic, technological, sociocultural, political and biological factors. The term can
also refer to the translational circulation of ideas, languages or popular culture through acculturation.
An aspect of the world which has gone through the process can be said to be globalised.
There are both positive and negative aspects of globalisation that have affected the world in different
yet also similar methods as well. There are a few positive effects that I would like to focus on as I see
them as some of the most important aspects of globalisation, the first of the four points that I have
researched and chosen is the idea of technology and services that have dramatically changed
through globalisation. This means that the technology has dramatically changed since globalisation
started to appear, in other words the technology that was around years ago has improved in the
shortest amount of time and has changed the way live to a certain extent. For example the way that
computer technology has changed, so the technology has advanced from simple basic windows
software to the highest quality technologies. Now we can change and adapt a simple word document
to something that suits our criteria where as in the past we could only have a simple word document
and nothing was adaptable apart from perhaps the font and size of the font. This is a positive change
in the industry as having computer software change that drastically means that in the past all the
industries and businesses could only work at a snail pace and now creating a document is more time
and cost efficient as businesses can create a document in the quickest time and it doesn’t cost a
penny apart from when originally purchasing the software which comes at a bargain price considering
the amount of work and time you would be using that particular piece of software.
Another aspect of positive effects of globalisation is the idea of movement, in other words this means
travel and how the community can travel from place to place and this can be through public transport,
personal travel or further travelling. An example of public transport is that the trains were lacking in
technology in the past, the presentation of the trains, the amount of trains there are, the services of
the trains and the destinations in which train stations have been situated. This means that in the past
the presentation of the first great western trains showed that it was a poor quality and now just from
doing primary research and extra funding from the government the train services were able to change
this and they have adapted the trains to have seats and appropriate standards for travel. The amount
of trains has dramatically increased as again through extra government funding the trains were able
to at least triple the amount of trains they already had in use so that more people could travel around
the country. Another factor of the trains is that the quality of the train services has improved so for
example the actual train stations have improved in quality and improved the services that the trains
can offer. The final factor of importance is that the train services have been able to place train stations
in a lot of destinations so that the trains can be accessible for more customers and travellers. An
example of personal travel is the use of cars as in the past the use of cars were limited due to
technology and cost efficiency. This means that cars were so limited due to the fact that the
technology and mechanics of cars were limited as there were a limited amount of people that new the
skill and had the educational factor of manufacturing cars. This also means that the efficiency of
manufacturing was lack and the cost efficiency was also lacked because to manufacture these cars
was difficult as the technology was not around at that time and had not yet been developed and
therefore to gain the technology and mechanics for the cars such as the car manufacturers jaguar
cost an immense amount of money. Although when the technology and information was discovered in
how to manufacture and improve the general efficiency of the cars it started of a route in which the
technology of cars dramatically improved. Also there was a greater access to money as people and
industries noticed the market for cars and therefore the funding increased drastically in the years up
until now where the manufacturing of cars has extended to other industries that not only involve cars
but other areas as well.
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2. Erika Louise Tolputt 03.11.10
A final example of movement is further travelling which means planes and ferries, in the past there
were hardly any planes made at all due to the access of technology and the access to the amount of
money needed to run and manufacture this type of travel. As time had passed on the access to
planes such as virgin airways became greater as the industries started to develop an understanding
of planes and the services to run the planes, not only did the technology and manufacturing change
but the amount of money that the plane companies had access to changes dramatically and became
much more accessible. This is a positive change in the industry as from these changes and
adaptations travel and movement has become more accessible and more efficient for the entire
country and other countries as well.
Another aspect of the positive effects of globalisation is common trade, this basically means how the
industries began to trade with other countries as labour and materials were cheaper in other countries
therefore having them imported to this country would mean that the entire system is cheaper than if
we had not have began common trade. An example of common trade is how when the world began
the method of common trade in the past and through common trade the first world countries began
abusing the idea that it was cheaper to have products made in third world countries as they were
cheaper to employ and there hard working nature, for example gap abused this right and began
underpaying and abusing the employees working conditions. Once industries and government heads
were realising that this method of common trade was unfair and needed to be changed otherwise we
would have possibly lost alliance with the countries that were manufacturing our products so therefore
something had to be improved otherwise the world would lose its common trade. This means that the
world had to come up with a solution so they could keep their manufacturers so they could in effect
keep their businesses or services up and running, therefore they created a system called fair trade
which is an adaption of the common trade. Fair trade is the idea that the manufacturers in third world
countries were paid equally for their work and we had to improve their working conditions so that it
was fair that for the price we paid for their particular service was not unreasonable as long as the
workers and employees had a fair outcome to the work they produce for our countries and
businesses. Therefore this was a positive outcome of globalisation as the businesses and products
needed their services to grow along with the rate of globalisation so that they did not lose business. It
was also a positive outcome as the manufacturers were able to produce products at a more time
efficient rate and therefore for our businesses we were able to sell at a faster rate to compete with
other businesses and as it was still cheap to trade with other countries the businesses could expand
and adapt to improve their businesses.
The final positive outcome of globalisation that I found of somewhat importance was the factor of cost
efficiency; this basically means that the effects of cost efficiency have dramatically changed especially
in branding. An example of how cost efficiency has changed in a positive light is that if you had
bought a particular product such as a television in the past it would have cost a substantial amount of
money which is almost unaffordable except for those who were earning enough money at the time to
afford such luxuries or so they were at the time. Since the time in which those sorts of luxuries were
basically unaffordable until globalisation started to increase pricing but also began increasing the
employment salary as well which made products such as televisions affordable. Cost efficiency has
improved along with the common trade which is the reason for pricing becoming more affordable, now
to purchase a television from a business such as Sony would of cost an unaffordable amount of
money until it started to become affordable due to other aspects in the industry improving such as the
common trade, the government funding and the globalisation of the world. It is also down to the idea
that as in the past there were only a select few businesses or not even that just perhaps one
particular business that were selling their own particular product that was essential such as televisions
and technology and then when technology and money started to become more available, industries
and other people started to invest in that area of the business industry therefore more businesses that
were selling the same product but had their own unique twist on their brand started to become more
and more by the day and then eventually we had multiple businesses that were producing the same
brand but putting a particular outlook on their own products therefore when it came down to
purchasing this particular product there were multiple choices therefore all the businesses in that
industry were in competition with each other therefore lowering their prices and perhaps offering
certain discounts. This is a positive aspect of globalisation as this competition in cost motivated other
businesses and kept all the businesses on edge so that they could always improve and adapt as they
have in the past to get to the stage that their at now. This would keep the business going and that
particular industry going the more people that invested into that particular area of interest.
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3. Erika Louise Tolputt 03.11.10
Although there are positive aspects of globalisation there are also negative aspects as all positive has
a bad effect to follow it. In globalisation there are four important areas of interest that I found had a
particular hold on describing how globalisation has negatively affected the world and the industries in
it. The first of these four that I found particularly interesting was the idea that globalisation had
negatively impacted the economy, the economy used to be a structured format in which it was a
strong economy because to have a strong economy we would need a lot of businesses manufacturing
in our own country which at the time we had as there was no other way that we could manufacture as
the common trade was not introduced until further into the manufacturing industry. When he had a
strong economy the common trade was introduced which meant that having our products
manufactured in another country meant that manufacturing was in effect a lot cheaper as it was being
produced in a place which made the manufacturing a lot cheaper. Once a couple of businesses had
begun transferring to common trade other businesses followed and as globalisation grew bigger so
did the amount of businesses participating in the common trade and therefore the economy is weak
as there almost no businesses in the united kingdom that manufacture their own products in their own
country. An example of how our economy is weaker as jobs that were involved in manufacturing in the
United Kingdom have been terminated as the manufacturing companies closed down due to
movement in other countries that are manufacturing for businesses in the United Kingdom at a much
cheaper rate, therefore the economy is weaker than it had been in the past and has adapted into a
weaker form of what it had been. An example of the economy becoming weaker is a business called
Bradford and Bingley who crashed due to common trading with the united states when their economy
started to crash because of the manufacturing trade so did our economy. This is a negative aspect of
the effects of globalisation as when the economy crashes then we begin to lose business and jobs
that are desperately needed to keep the system flowing accordingly.
Another aspect of globalisation that has had a negative effect on the world is the social features; this
basically means that how each country had their own particular identity and culture in which that the
countries represented them. An example of how the identity and culture of each country has changed
is how with the United Kingdom where we had a history of culture and a history of substance, where it
has changed due to globalisation as through the country the history and culture has been faded out
with business and industries and engulfed with globalisation. When the culture wasn’t engulfed with
business and the forums of the industries our countries had a history and substance that has been
drowned out through the marketing. Businesses that were encouraging the deterioration of the
heritage is other businesses that have immigrated and businesses that have grown so much that they
have began having stores and other services in this country. These businesses grow in numbers such
as a clothing company called Hollister which originated from the states and grew into having stores
and services in other large clothing economies. This is a negative effect of globalisation as loosing
heritage due to globalisation means that we lose what our country and what other countries represent.
This is also considered a negative effect of globalisation as from the heritage being ruined we will
continue to have a past of business and business history instead of what we had had in the past
heritage.
Another aspect of globalisation that has had a negative effects on the world is the political views; this
basically means that since the world has changed through globalisation so has the statuses in the
houses of parliament and other governments, this is because all the businesses and industries have
changed dramatically and have caused problems for the economy and now the government have to
pick up the pieces where the businesses and industries have been careless and left lose threads that
have caused our economy to trip up and cause problems that are proving solve less. An example of
how the government are struggling with the changes of globalisation is the idea that the government
aren’t coping with the amount of people that have fallen into serious debt where people have
purchased items or products that they could not afford to purchase but where the business industry
have convinced the public that they need a certain product or brand in which they could not afford to
purchase at the time. Therefore from the debt that these people have bought upon themselves and
have been unable to pay the original pricing back as well as the interest that follows the late
payments, following this the government offer housing, money benefits and other benefits that will
potentially help those struggling with debt, this is a huge strain on government funding. The debt for
many people is getting worse as the globalisation of brands and globalisation in general is increasing
so is the debt for many others as this creates even more problems for the government which they will
have to continue in trying to potentially solve this problem. The brands that are creating some of these
problems is brands such as heart, the estate agency that forces people to get a loan from the bank
otherwise their houses and property are almost unaffordable so therefore people go in to debt for the
mortgages that the majority of the population potentially cannot make the payments to. This is a
negative effect of globalisation as when the government start having issues with people that do not
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4. Erika Louise Tolputt 03.11.10
stick up to payments they have to start making cuts which effects the entire population not only the
percentage of the population that are in debt. Also when it effects the entire population it will then
potentially affect the businesses that are involved around this debt which will potentially affect other
businesses as well.
The final negative aspect of globalisation is the idea of the biological factors, this basically means that
the through the changing world of globalisation the industries have grown stronger and larger and
more manufacturing companies have grown in mass. This means that businesses such as virgin
airways that started off as a small business who intended to grow along with the globalisation of the
world and as they had grown they began affecting the biological outlook of the world and started
producing mass amounts of carbon emissions and other elements that began effecting the
environment. As they had started to ruin the environment they also began disturbing other elements
of nature which was the communities that have had to of been induced with the terminals that have
been built around neighbouring areas which we sourly affected with this business and their service or
services, virgin airways were created plenty of drama when they began to create terminals which
affected the neighbouring areas, they also began creating more planes and transports which were
affecting the environment which was unnecessary as the environment was already deteriorating with
other businesses enlarging which meant they needed to increase their manufacturing statuses and
factories so that they could carry on increasing their businesses and industries along with the effects
of globalisation. This is a negative effect of globalisation as it has affected many areas in life instead
of just one particular area, this has a huge impact on the countries and communities instead of the
industries and other businesses, although it will motivate other businesses to improve further than
virgin airways and therefore creating more potential problems and as these businesses continue in
competition the communities around them will be heavily affects more and more as these businesses
continue to improve. This will not only cause more problems for the communities but it will also cause
problems outside of the countries but into the world where it will begin to affect other countries and
the environment around them. This could potentially be a huge problem as these businesses are not
the only ones that continue to improve as in every industry all the businesses are in permanent
competition who are causing further problems.
In conclusion to this question there have been positive and negative aspects of globalisation and
there are varied opinions on globalisation but the points that have been made in this essay are
general factors that are obvious to anyone that offers out some form of an opinion. In the world there
are countries and economies that are benefiting from globalisation that were not benefiting in the past
and they will continue to benefit as globalisation grows stronger and stronger every day, the countries
that have been positively affected is countries such as China who have benefited as they have one of
the biggest manufacturing responsibilities in the world although having benefits from globalisation
they have also suffered some negative aspects as having such a huge market for manufacturing will
come at a price. Whereas other countries such as the united kingdom are suffering from the effects of
globalisation as manufacturing has weakened the economy and the other downbeat effects are not
only effecting the public and businesses but its reached higher and has affected the government
because the public and businesses could not solve the situation without financial and structured help
from the leaders of the country. All together globalisation will continue to grow and affect many people
and many industries, its how each country and economy can cope and adapt to the changes that will
handle the changing effects and potentially benefit from the changes, although there will be downfalls
and it’s how the industry can pick itself back up after being shot down due to the affects of
globalisation.
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