1.2 Globalisation and related concepts
Globalisation is the 'process of increasing interconnectedness between societies such that events in one part of the world more and more have effects on peoples and societies far away' (Bayliss and Smith 2001, p. 9). Globalisation has enabled the production and distribution of products and services on a worldwide basis. It is a consequence of the phenomenon of convergence , which is the tendency for the tastes and preferences of people in different countries to become similar.
Convergence is encouraged by global linkages, that is, networks of individuals, institutions and countries which tie together trade, financial markets, technology and living standards more closely than at any other time in human history (Czinkota et al. 2005). Linkages in the network are facilitated by TV, radio, movies, the Internet, by music and by air and sea transport. Global linkages result in people in many countries wearing jeans, drinking cola and eating pizza and hamburgers. Cultural linkages result in the growth of large shopping centres, two income families and the like.
In this chapter we are concerned about the relationships between globalisation and markets, production, jobs, the environment and national sovereignty. Before getting too far into our discussion of globalisation, turn to the following reading that examines globalisation from the perspectives of seven political leaders.
Reading 1.1
James, D. 2002, 'Globalisation perspective', Management Today , May, pp. 6-7.
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