In what ways has globalisation become both a positive and negative force in modern societies?

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Dan Grist
In what ways has globalisation become
both a positive and negative force in
modern societies?
Globalisation is the increased interconnectness of the world and the greater independence
that results from this (the `shrinking' world.)The process of globalisation has been increasing
at an exponential rate and this is due to
several factors which involve improved
communications and transport.
Removing trade tariffs and quotas have
promoted easier and faster trade,
satellite and fibre optic communications
have led to growth in the internet and
mobiles, and containerisation and cheap
air travel has revolutionised transport.
The map to the right shows the places that the social networking site `Facebook' dominates
the internet and the connections between countries and individuals it creates.
There are several different types of globalisation which reaches all the corners of our modern
society. Economic globalisation includes the growth of transnational corporations (TNCs),
the global spread of foreign direct investment (FDI) and growth in world trade. Cultural
globalisation is creating a global `village' where people share tastes, for example McDonalds
is present in 120 countries, ensuring that people
eat similar food (hybridisation). The increasing
interconnectness of politics has shaped the
dominance of western democracies (G8) and
the growth of political organisations e.g. UN.
Globalisation has also formed the realisation
that global environmental threats e.g. global
warming requires global solutions.
Demographic globalisation results form increasing migration and the mixing of populations.
All the different forms of globalisation have both positive and negative impacts.
The emergence of TNCS is one of the main agents of globalisation ­ accounting for 70% of
world trade. They often have a higher turnover than individual LDCs! They have a spatial
division of labour ­ high level jobs e.g. the headquarters are in MEDCs e.g. USA and basic
assembly work is in newly industrialising countries (NICs) e.g. China. Therefore, they are
creating the global `shift' of manufacturing ­ jobs are being outsourced to cheap labour

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Dan Grist
pools in NICs and LEDCs. This creates several positives and negatives for both the host and
source countries:
Benefits to the source country (the developed world) -
TNC growth leads to higher profits and more taxes are being paid.
Environmental pollution is being `exported' over seas.
It secures headquarters and design jobs for the source country.
Costs to the source country:
The global shift has created deindustrialisation for more developed countries, e.g.…read more

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Dan Grist
is creates jobs and wealth, plus a return for the investor. FDI into China increased from $4
billion in 1991 to $64 billion in 2006, mainly due to the emergence of TNCs.
Some say that globalisation has encouraged unsustainable economic growth, excessive
resource and energy use; therefore it has negative environmental impacts.…read more

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Dan Grist
as you would have to consider NICs such
as China, which was once an LEDC and
quickly becoming one of the main
economies in the world. However,
evidence of this inequality may be found
in Lloyd and Dickens Spatial division of
labour ­ where rich MEDCs are leaking all
the profits. Some may say that ordinary
people feel like `pawns' that are
exploited by rich TNCs and governments.…read more


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