Professional Documents
Culture Documents
AN INTRODUCTION
There is no agreed single understanding of the concept. Waters definition: social process in which the constraints of geography on economic, political, social and cultural arrangements recede, in which people become increasingly aware that they are receding and in which people act accordingly. Robertsons definition: Globalization as a concept that refers both to the compression of the world and the intensification of the consciousness of the world as a whole both concrete global interdependence and consciousness of the global whole.
DEFINING GLOBALISATION
McLuhans concept of globalization: The new electronic interdependence recreates the world in the image of a global village. Time has ceased space has vanished. We now live in a global villagea simultaneous happening. Today, electronics and automaton make mandatory that everybody adjust to the vast global environment as if it were his little home town. The electronic age has sealed the entire human family into a single global tribe. We can now live pluralistically in many worlds and cultures simultaneously. We are no more committed to one culture to a single ratio among the human senses any more than to one book or to one language or to one technology.
This globalisation of markets is evident, for example, in the worldwide availability of branded goods such as Nike trainers and Levi-Strauss jeans. Moreover, global capital markets mean that savings and profits from one country can be invested in other countries through stock exchanges or used to speculate on currency markets. In the face of such pressures, the modern nation state is powerless to control its economy. The power of the nation state to generate wealth used to depend on its military strength and its capacity to control natural resources, for example, by conquering territory to gain access to coal and oil. Now, the preservation of military strength is too costly and natural resources are no longer critical to economic growth. Nation states are dependent instead on foreign capital to invest in their economies. However, any attempt to influence the working of the domestic economy by raising taxes or controlling exchange rates, for example, will be punished by global capital markets. That is to say, if governments do anything more than guarantee that their markets are open for business, foreign investors will go elsewhere. All that states can do is to act as ports of entry to the global economy. This is exemplified by the European Exchange Rate Mechanism (ERM). This was a system introduced by the European Community in 1979 to limit the fluctuations in exchange rates between the currencies of Western Europe. The UK entered the ERM in 1990 but was forced to exit the programme in 1992 after its currency came under pressure from speculators, including George Soros. The UK government raised interest and spent billions of pounds trying to keep the currency at its target level but still could not resist the power of speculators. Also, the power of national governments decline since they can no longer control the economy, and are often overshadowed by international organizations (such as World Bank, UN, and G8). Many 3rd world
countries need money, and they thus forced to borrow from international organizations e.g. World Bank, resulting in them being debt-ridden and continuing to be in poverty a vicious cycle.
Also, as citizens realize the loss of power of their governments, they lose faith in the system. Ohmae also argued that the global flow of information is eating away the boundaries of between states. The broader term deteritorialization is used to describe the decline of distinct territories and of social organizations based on bounded units, from the nation states to the local community. It is argued that instead of being members of distinct units, people are linked by networks that spread across all boundaries. Proponents also advocated that countries will benefit from free trade and open competition (such as international organizations forcing others to comply with them through reduced tariffs). A common culture and the way of life (e.g. Macdonalds) as being commercially defined and driven by capitalism. An optimistic vision of future capitalist trade would bring prosperity through peaceful exchange, rule of law, liberal democracy.
D. GLOBALIZATION IN QUESTION
Skeptics like Hirst and Thompson (1999) who worked on Globalization In Question sees globalized economy as a myth. In their view, those who claim that globalisation is mew and all-pervasive have failed to produce enough evidence to support their claims. They identified 2 types of globalization: Type 1: International economy characterized by migration, flow of trade and investment, and international division of labour. Type 2: Globalised economy economy regulated by interdependent autonomous supra-national system. This unlikely happens. First, they argue that proponents of globalisation lack a clear definition of what distinguishes a global from an international economy. Second, they are selective in the evidence of economic activity they use to support their claims. Thirdly, that their analyses lack historical depth. Hirst and Thompson claim that if we look at economic activity over the last 150 years, we can see that The present highly internationalized economy is not unprecedented.
In some respects, the international economy is less open and integrated than in the period 1870-1914, due to the growth of tariffs, quantitative restrictions, exchange controls and then war. They also stress the control of states and argue that TNCs still have national headquarters and national culture. Genuinely transnational companies are rare. Most companies that trade overseas are based in one country where their assets are based, where production is carried out and where most of their sales are made. Foreign Direct Investment is highly concentrated among advanced industrial economies: trade, investment and financial flows are concentrated in Europe, Japan and North America. Global markets are not beyond regulation and control. The major economic powers of Europe, Japan and North America have the capacity, especially if they coordinate their efforts, to control financial markets, global trade, and so on. So a global economy has yet to emerge, according to Hirst and Thompson. If that is the case, they argue, then propositions about the globalisation of politics and culture cannot be sustained: the emergence of global politics and a global culture depend on the emergence of a globalised economy. There are still areas of the world that have a different system, such as North Korea or Cuba, and other countries not able to join the world economy for different reasons (e.g. political reasons/ economic sanctions).
U.S. HEGEMONY
Ikenberry(2007) claims that USA has played an important role since 1945 in establishing and sustaining an open world economy. The USA has been decisive in promoting greater international economic integration through its military alliance and its support for multilateral institution such as the International Monetary Fund. By establishing open markets after the Second World War, the USA sought o advance its global political hegemony (dominance). With the end of the cold war, the USAs influence has waned. However, by establishing the foundations of a globalised economy, other states as well as firms and individuals now have interests in preserving interdependence, a stable and open economy.
GLOBAL SCAPES
Appadurai (1996) offers a theory of five types of cultural flows. These flows of culture take place over what Appadurai refers to as global scapes. The point of this is that together the 5 make up a framework within which we can analyze the different moments of culture. These are as follows: 1. Ethnoscapes: flows of people 2. Mediascapes: flows of images 3. Technoscapes: flow of machinery 4. Finanscapes: flow of money 5. Ideascapes: flow of ideas
RISK SOCIETY
Beck claims that what distinguishes contemporary society is the emergence of a set of potentially devastating man-made risk. In the risk society (1992), we face the possibility of economical disasters, nuclear war and international economic breakdown. These new problems cannot be dealt with by purely technical solutions. They cannot be dealt with as solution. They cannot be dealt with as scientific issues. Instead, they must be dealt with as moral issues. The result is a transformation in popular attitudes to expertise accompanied by the spread of knowledge. Expert knowledge cannot provide authoritative means of eliminating or reducing these new risks as what counts as risky is a matter of popular belief. The monopoly on claims to the truth by a scientific elite is brought to an end.
ECONOMIC GLOBALISATION
GLOBALISATION: WHAT HAS CHANGED?
Processes of globalisation do not happen evenly and at the same time around the world, and so people do experience it in different ways. It is important to keep a global perspective and consider people not just in one country or part of the world. Many argue that globalisation represents one of the most important and rapid changes in human social life, and it is one that we are currently witnessing.
KEY DEBATE: TO WHAT EXTENT HAVE WE SEEN THE EMERGENCE OF A GLOBAL ECONOMY?
Not all academics accept that we live in a globalised world. There has been a great debate about whether we have seen the emergence of a truly global economy.
The economic: the main institution is the transnational corporation (TNC). The political: the main unit is the transnational capitalist class (TCC). The TCC concept refers to a group of people from around the globe who share an interest in the progress and success of the global capitalist project. Four types of people belong to the TCC executives of TNCs, globalising bureaucrats and politicians who want to promote globalisation for reasons apart from the development of their own country, globalising professionals, such as academics who work to promote this type of globalisation and merchants and the media. The cultural: the most important factor being consumerism and its ideology.
REGIONAL INTEGRATION
Colin Hay (2000) examines both trends in economic processes and economic institutions. Hay claims that far from a convergence towards a single model of economic growth, economic integration exists at the regional level. Hay acknowledges that international trade and capital mobility have increased significantly in recent years. Nevertheless, this does not imply that firms and states operate in a single global economy. Hay looks at two cases of greater integration: Liberalisation within East Asia in recent years has been the consequence of political not economic pressures. In Europe, The European Union has driven integration among member states.
Despite common incentives to operate across state borders, Dicken argues that there remain distinct differences between TNCs. He suggests that national factors prevent convergence towards a single organisational form. The cultural, social, political and economic characteristics of a companys nation influence its form and strategy.
INTERNATIONAL BUSINESS
Hirst and Thompson (1999) do not observe a clear trend towards a single TNC model of business organisation. They suggest that international firms predate the era of globalisation and rarely resemble the ideal-type transnational corporation. Hirst and Thompson deny that international businesses are a phenomenon of post-Second World War world. Rather than draw a simple distinction between the TNC and national or local firms, Hirst and Thompson claim there are different kinds of international firm. Multinational corporations (MNCs): firms that have most of their functions located in their country of origin but maintain a strong local presence in several countries through which trade is conducted. Transnational corporations (TNCs): the distinctive feature of TNCs is the geographic dispersal of their activities to specialised units.
The most common kind of international firm is the multinational and not the transnational corporation.
Sklair (2000) has also pointed to the role of globalised management practices. In particular, executives and professionals of the transnational capitalist class use forms of benchmarking to measure the performance of corporations. Benchmarking is designed to provide systematic comparisons with best practice in other organisations.
RECAP
The existence of a truly global economy, and one in which business is organised on a transnational basis, is central to the claim that we have entered a new stage of social development. Hirst and Thompson are sceptical of such a claim; Castells believes we have a new economy and new age. New technologies underpin global financial markets and business models. Sklair argues that the expansionary dynamic of capitalism is behind globalisation. Hay puts greater emphasis on politics in the emergence of regional economies. Clegg and Carter identify the role of culture in the global convergence of business activity.
Increased competition means that firms need to improve their products and production processes on a continual basis, as well as ensure an increased supply of skilled workers. International competition threatens to destabilise key sectors of the economy, most prominently, agriculture. States have devised new policies and forms of regulation to protect these sectors.
POWER SHIFT
Matthews (1997) argues that there has been a redistribution of power away from the states. Mathews believes that governments increasingly share power with non-governmental organisations (NGOs) and international organisations. This redistribution has been driven by new ICTs. The principle cause of the decline of states and the rise of non-state actors in the information revolution. ICTs have ended governments monopoly on the collection and management of information. Wider access to information has increased the number of political actors with influence at the expense of state authority. The influence of NGOs is evident in the size of their resources, the impact on governments and their formal political roles. The finances and expertise of NGOs is greater than those of small states or international organisations. Major international organisations were, for the most part, established by states. But they have gained considerable autonomy from nation states. These organisations entail a professional constituency of scientists, lawyers, diplomats, NGOs and international civil servants, all of whom depend on the organisation in question. They have an interest in the expansion of soft law, that is, non-binding resolutions, guidelines, etc that shape the conduct of states.
Waters identifies 3 theoretical arguments about new global political actors: The emergence of a new world order constitute a highly differentiated but relatively consensual family of nations that keep things right. USA won cold war and dominate the world. The emergence of multi-polar world, constitute differentiated pattern of international relations with chaos and uncertainty. New political actors: Transnational corporations (TNCs): The globalising of the economy has caused a rapid increase in business organisations which are based in, trade and are owned in several countries. Sklair (2002) for example, argued that corporations have an immense impact on our lives and are, in many cases, more powerful and hold more wealth than many countries. TNCs are able to bargain with countries to gain tax-free conditions and can dictate policy to some governments. Regional governance: Good examples of this are European Union, and regional blocs like the North American Free Trade Agreement (NAFTA). International institutions: The importance of international institutions has been growing in the last few decades, quite possibly because they have more of an influence on peoples lives and also as globalisation allows us to be more aware of this influence. Examples include the United Nations (UN), World Trade Organization (WTO) and World Bank. Global governance: Refers to a framework of rules necessary to tackle global problems. These rules are supported by individual governments, regional government and trading blocs like OPEC,APEC, NAFTA and international institutions such as the UN and WTO. Civil society
CIVIL SOCIETY
Civil society Broadly defined as the sphere of social life which is outside of the family, the market and the government, and within which people are working towards a purpose. For example, charities, international non-governmental organisations (INGOs), religious groups, environment conservation groups, international organisations, and campaigning coalitions. Members of global civil society work beyond their own country and are interconnected. Global civil society has been growing with globalisation, and has been helped by all the technology that has promoted globalisation. Best known INGOs are Greenpeace, WWF, Medicins Sans Frontieres, International Red Cross, and Amnesty International. The case of the World Social Forum A good example of the relationship between global civil society and global governance.
RECAP
Like the existence of a global economy, the power of the state and the rise of new forms of politics are key indicators of the extent to which we have entered a new, global era. Moreover, they have us to examine the causes of globalisation. The emerging international norms identified by Held and the diffusion of protest tactics described by Tarrow provide examples of Appadurais global scapes. Strange and Sklair point to the effects of capitalism. Weisss analysis suggests that political processes are critical while Matthews underlines the significance of technology.
CULTURAL GLOBALISATION
KEY DEBATE: HAS GLOBALISATION LED TO CULTURAL HOMOGENISATION?
Global trade and production have made Western goods available in non-Western societies. This is often taken as a sign of cultural homogenisation (the condition in which cultural practices around the world are increasingly alike). Is the presence of McDonalds, Starbucks and other global brands in every major city sufficient evidence of a worldwide convergence of lifestyles?
McWORLD
Barber (1996) believes that the spread of consumer goods, especially US branded goods, across the world threatens to lead us into a McWorld, a homogenised global culture modelled on popular US tastes. Barber argues that market integration and new technologies produce uniformity. The integration of national economies into the global market place has taken place alongside the development of ICTs that escape the control of nation states. These 2 trends have left national and local cultures exposed to new cultural influences conveyed through consumer goods. These goods are predominantly US in origin and they are marketed through globally recognised logos, advertising slogans, celebrities, etc. For consumers, they symbolise the adoption of a higher status lifestyle. According to Barber, that lifestyle and the brands that are central to it make for an increasingly homogenised and commodifed world culture.
JIHAD
Barber (1996) claims that one reaction of the spread of McWorld has been the rise of jihad. Jihad refers to any variety of dogmatic and violent belief in the value of a single group. It is not exclusive to one religion. These jihadi (separatist) campaigns strongly reject the modern world. Instead they seek to preserve the tribal group through violent conflict. Such campaigns may begin from a desire to preserve local identity in the face of modernisation and consumer capitalism. Separatist movements seek to assert subnational identities through force. These forces of traditionalism cannot escape modernity. In the long run, McWorld is likely to win out. Western states are sufficiently powerful to assure political stability in most part of the world. Under this stability, trade will grow and Western consumer goods will find new markets.
CLASH OF CIVILISATIONS
Huntington (1993) argues that the major conflicts of the future will take the form of a clash of civilizations. It is conflicts between the cultural blocs that will dominate world politics. Major economic and social changes are increasing the salience of civilisational identity, particularly religious identity. The increased contact between people from different parts of the world due to technological and economic transformations has had the effect of raising our civilisational consciousness, i.e. making us more aware of the differences between and similarities within civilisations. At the same time, those transformations associated with globalisation, and modernisation in general, have weakened local and national identities. Religion, particularly fundamentalist forms of religion, has filled that gap. The growth of civilisational consciousness is unintentionally aided by the West. Western countries are at their most historically powerful relative to non-Western countries. The dominance of the West and its willingness to assert its power provokes a reaction from the non-West. The civilisations of Asia, Africa and the Middle East and Latin America are mobilising on the basis of their own cultures against Western supremacy. But why should cultural differences lead to violent conflict? Huntington claims that differences between civilisations are deep-seated. Cultural affiliations, particularly religious affiliations ,cannot be regulated. Conflicts between civilisations will occur on both a small and large scale. At the micro-level, groups living at the borders of civilisations will struggle for the control of territory. At the macro-level, states from different civilisations struggle for military and economic pre-eminence.
MULTIPLE IDENTITIES
Sen (2006) claims that the idea of a clash of civilisations exaggerates the homogeneity of individuals and of countries, and it overlooks the long and influential history of interactions between cultures. Sen notes that people belong to various groups. Multiple identities often cuts across religious groupings. To focus on only one identity is to ignore the bases of many other forms of collective action. The concept of civilisation ignores the diversity within societies. Countries often contain more than one religious community. Far from being self-contained communities, so-called civilisations have interacted with one another for hundreds of years.
RECAP
Cultural homogenisation would provide evidence that globalisation is new and real. But so would hybridisation the strenghtening of national identities and a clash of civilisations. The question is whether there is something new about contemporary cultural transformations, or whether history has always witnessed such transformations. The key to answering that question may lie in identifying the causes of cultural change. The new technologies that underpin modern communications and the dynamics of capitalism that drive global trade are critical factors in spreading cultural practices. They help to create the forms of global consciousness. But politics need not passively follow these trends. Religious movements and nationalist politicians can attempt to preserve traditional ways of life by closing their societies to outside influences.
Their chances of success depend in part on the capacity of the state to exercise its authority. In turn, that capacity depends in part on economic trends. The culture, politics and economics of globalisation are interlinked.