2 driving forces have helped to contribute to globalisation:
- technological advancements in transportation and digital technology
- growth of multinational corporations (MNCs)
Definition
Globalisation refers to the process through which ideas and activities of different people living in different parts of the world become interconnected #SocialStudiesDefinitions
Interconnections are links created or established among people, businesses, and countries through the movement of goods, services, people, knowledge and resources
These
Interdependence where developments in the world (global) and developments in a specific place (local) affect one another. In other words, events in one part of the world may affect other parts of the world
Such interconnections can lead to
Interconnections and Interdependence relationships in a globalised world are seen in the production of iPhones ADDD IMAGE HERE
Globalisation is certainly not new. Movement of goods, services, knowledge, ideas across all continents took place even in 19th century.
- E.g. products from Britain like iron, textiles, manufactured goods were exported all over the world
However globalisation has been accelerating - causing world to become increasingly interconnected and interdependent
2 Key Forces driving globalisation:
flowchart TB Driving_Forces_Of_Globalisation --> Technological_Advancements Driving_Forces_Of_Globalisation --> Growth_Of_Multinational_Corporations Technological_Advancements --> Developments_In_Transporation Technological_Advancements --> Developments_In_Digital_Technology Growth_Of_Multinational_Corporations --> Amazon Growth_Of_Multinational_Corporations --> FedEx Growth_Of_Multinational_Corporations --> Microsoft
Technological Advancements
Growth of Multinational Corporations
Growth of Multinational Corporations
Technological Advancements and Growth of MNCs can reinforce each other in driving globalisation around the world
| Technological Advancements | Growth of MNCs |
|---|---|
| Developments in modes of land, sea and air transportation enable MNCs to move people, goods and services around world in larger volumes quickly and at lower costs | Need of MNCs to move their goods efficiently provides incentive for developments in transportation. Countries also continually develop and improve their transport infrastructure and services to attract MNCs |
| Developments in Digital technology have led to more efficient and reliable long distance communications across borders and time zones, facilitating the business activities of MNCs | The need for reliable communication tools to coordinate MNCs’ business activities across globe encourages developments in digital technology |