Chapter 2

Glocal - combines the words “global” and “local” to

create a new word that expresses how the global and the
local are related. It sums up the idea that things that
happen at a global level, such as international trade, affect
things that happen at a local level.

Forces of Globalization
Trade - People trade with one another to obtain goods and
services that are
● not available in their own region

● better quality or less expensive

● different from goods produced at home

Transnational Corporations and International Trade
● A transnational corporation is a company that is
based in one country while developing and
manufacturing its products, or delivering its goods
and services, in more than one country.
● Companies like McDonald’s, Coca-Cola, and Nike
sell fast food, soft drinks, and shoes around the
world.

● Outsourcing is a form of economic

globalization. It allows a company in one
country to hire a subcontractor (another
company) to do part or all of its production.
 ● Outsourcing can reduce costs drastically.

Transportation as a Globalizing Force

● Transportation is essential for trade.
● Today, products can be moved farther and faster than
ever before.
● Because of Containerization Shipping goods has
become cheaper, more efficient, and more reliable
than ever before.

Communication Technology as a Globalizing Force

● Digital communication has revolutionized the speed
and quality of humans abilities to communicate in a
timely manner
Media as a Globalizing Force
● News and world events are now known minutes after
they occur due to the speed with which media can
communicate information around the globe.

4A
Media concentration
● Media ownership has been concentrated in the hands
of fewer corporations which may jeopardize
neutrality of the media and reduce the number of
reporters able to report the facts on the ground.
 ● Media Convergence refers to the use of electronic
technology to integrate media such as newspapers,
books, TV, and the Internet. It enables print and
broadcast media to work together to develop stories
and create content for their web sites.

Why Are Bananas the cheapest fruit in Edmonton?

● Economies of Scale - savings that come from

producing, using, and buying things in large
quantities.
● Use of Technologies such as Fertilizers and
Pesticides transnationals also reduce their costs by
controlling many of the ships, containers, and
warehouses that are part of the banana distribution
network

● Labour in Central and South America is cheap, and

few workers are protected by union agreements and
this helps deflate wages.
Political Dimensions of Globalization

● political globalization the process by which

political decisions and actions are becoming
increasingly international

Economic Dimensions of Globalization

· economic globalization the process of expanding
world trading networks
· Advances in communication and transportation
technology, combined with free-market ideology, have
given goods, services, and capital unprecedented
mobility.

Social Dimensions of Globalization

 ● Social/cultural— the impact of globalization on
the life and work of people, on their families, and
their societies. Concerns and issues are often
raised about the impact of globalization on
employment, working conditions, income and
social protection.

How do some forces of globalization present challenges

to identity?
● Some people believe that globalization is reducing
diversity — and leading to cultural homogenization.
Homogenization erases the differences among
peoples, and as a result, they become more and more
similar.
● When people from different cultures come into
contact, acculturation often occurs. “Acculturation”
refers to the cultural changes that occur when two
cultures accommodate, or adapt to, each other’s
worldview and often leads to the eventual
assimilation where one group adopts the cultural
traits of the dominant group. For example, the Inuit
going from living in igloos to living in homes, and
driving snowmobiles, and speaking English.
● Accommodation involves accepting and creating
space rival groups with which there may have been
past conflicts. The conflict may or may not be sorted
out but the two groups come an understanding of
their differences and agree to get along for the time
being. Accommodation may affect the customs,
traditions, technologies, values, beliefs, and
languages of both cultures.
● Acculturation and accommodation may lead to
assimilation, which occurs when the culture of a
minority group is absorbed by another culture. In this
process, the cultural identity of the minority group
disappears as its members take on the identity of the
other culture.
 ● The overwhelming power of English has endangered
the Inuit language and few children in western
Nunavut now speak, or even understand, Inuktitut.

The Métis and Cultural Revitalization

● As Métis people and others became aware that the
distinct Métis culture was in danger of disappearing,
individuals and groups began to take steps to ensure
that this did not happen. As a result since the 1990’s
membership in the Métis Nation of Alberta has
grown by more than 300 percent. The group stages
many events and celebrations designed to promote
and revitalize Metis collective Identity.