Definition - What does Globalization mean?
Globalization is the interaction and integration of countries, governments and peoples throughout the world from all different nations. Globalization is driven by international trade, investment, migration, and technological and cultural interchange. Globalization can impact economic development, prosperity and the well-being of civilizations throughout the world.
The idea of globalization is not new. For thousands of years civilizations from Asia have been travelling across the world to sell their goods to other parts of Europe and later the Americas, although recent decades have seen world trade increase by 20 times.
Early globalization efforts differ significantly from what many consider globalization today. According to author Thomas Friedman, globalization is simply "farther, faster, cheaper, and deeper" than it has been historically. The increase in globalization has been impacted dramatically by the adoption of free-market economic systems, which have improved the productive potential and opportunities for international trade and investment. These free market systems have seen an increase in international industrial and financial business structure.
Opponents of globalization claim it benefits multinational corporations in the Western world and hurts local people, cultures and enterprises. Proponents argue globalization has allowed poor countries to substantially raise their standard of living and improve their economic development.