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Globalisation can be defined as the growing interdependence of the world economies (Homayounnejad), but in more detail it can also be defined as the process of interaction and integration among the people, companies, and government from different countries, and it is motivated by international trade and investment and aided by information technology(especially the discovery of the internet). This process has an impact on environment, on culture, on political system (therefore the implementation of policies), on economic development the Third world countries in a particular way and prosperity, and on human physical well-being in societies around the globe (globalization101.org)

We can all agree that these days globalization is changing the world rapidly, radically and in ways that might be profoundly equilibrating, but there is a strong debate in what are the interests of this on going phenomena (Keohane 1971).

Globalisation have been taking place for hundreds of years, but has speeded up in an amazing way after the end of World War II, and resulted in the world we have today, that is: increased international trade, a company is now able to easily operated in more that one country, an increased dependence on the global economy, recognition of companies such as McDonald’s and Starbucks in LDC as well as the freer movement, of capital, good, services and people, which explains the strong migratory flows that have characterized our world in the last couple of decades. In order to understand this phenomena it is necessary to have in mind the key factors that accelerated the process of globalisation. First of all, the improvement in transportation can be considered the most important one as it means that people and goods can travel quicker and cheaper. Secondly there is more freedom of trade, which its promoted by international organisation like World Trade Organization (WTO); its main aim is to remove barrier within countries. A third factor is the improvement of communication, this was allowed by the invention of internet and IT. Lastly, the availability of cheap skilled labour made multinationals, like clothing companies, take advantage of that and set up sweat shops in LDC where the cost is less and reduced legal restrictions. Having said that a lot of people might argue that globalisation operates mostly on the interests of rich countries which continue to dominate the world trade at the expense of developing countries. The role of less developed countries in the world marked is to provide the North and West which labour and raw material with no gain (BBC 2014). In my opinion, this is all related and caused by Neocolonialism, which is backed up by the Modernization and Dependency theory. Neocolonialism can be defined as the continuation of the economic model of colonialism after a colonized territory has achieved formal political independence. This concept was applied in Africa in the second half of the twentieth century. The idea of neocolonialism, however, suggests that when European power granted nominal political independence to colonies in the decades after World War II, they continued to control and manipulate the economies of the new African countries. This still exists due to the success of colonialism as a hegemonic organisation of international production relations which had permitted a vast accumulation of wealth and progress to occur in nations of Western Europe (Hoogvelt). What we are witnessing in a “globalised” world today is very similar to the first new colonial phase which lasted from about 1950 to 1970. During those couple of decades the costs of the energy subsidized by the oil-producing countries was really low, the average price of crude oil went from US$4 per barrel to US$1.60 (1974). At that time it proved that the lost in trade to the developing region constituted to the imperialist profits to the advanced world which subsidized the Fordist way of life (Hoogvelt). Today it might not be in the oil industry any more but a similar process is happening in the clothing or shoe industry where multinationals set sweatshops in developing countries, by offering poor working conditions, unfair wages, extremely long hours, child labour, and lack of benefits for the workers due to the fact that these countries are corrupt and lack regulations.

Globalisation works hand in hand with capitalism, as there is no globalisation without capitalism. Some “dependent development” writers went further in analysing the dynamic unfolding of the global capitalism. They argued that each phase of capitalism creates new form of economic dependency, therefore globalism can also create a form of dependency of third world countries. Globalisation is also successful due to the strong, and still existing ties between colonizers (Western europe) and colonies (today’s LDC), that’s why is easier for them to get exploited.

Referencies:

“Facts about sweatshops” Available at: https://www.dosomething.org/facts/11-facts-about-sweatshops

“What is Globalization” Available at: http://www.globalization101.org/what-is-globalization/

“Neo colonialism” Available at: http://www.encyclopedia.com/topic/Neocolonialism.aspx

Hoogvelt, A. (2001): “Globalisation and the post colonial world – The new political economy of development”. 2nd ed. Baltimore: The Johns Hopkins University Press

Homayounnejad, M. (2015): “What factors have contributed to globalisation in recent years?” Queen Elizabeth’s School, Barnet. Available at: http://redbornecommunitycollege.com/_files/Curriculum/5F173131A1478B73B9D918395207B05C.pdf

JESSICA OBAH

M00482176

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