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GLASGOW CALEDONIAN UNIVERSITY

DEPARTMENT OF BUSINESS MANAGEMENT

CHANGING PERSPECTIVES
IN MARKETING MANAGEMENT
MHN509385-15-A

Globalisation Assignment

Name: Jacopo Grazzi

Programme: International Fashion Branding

Seminar Tutor:
(Please mark ‘X’ beside the name of your seminar tutor)
John Connell ()
Brian Smith ()
Catherine Canning ( )
Joseph Docherty (x)
Mandy Sheridan ()

Day and Time of Seminar: Wednesday h1100

Approximate Word Length: 2,225

Declaration:

I declare that this coursework is an original piece of work and is not


based on previous coursework submitted as part of another module.

Signature
Jacopo Grazzi Globalisation Assignment S1228569

Contents
Introduction………………………………………………………………………………………………….…p. 3

Globalisation………………………………………………………………………………..............................p. 4

Conclusion………………………………………………………………………………………………………p. 8

References………………………………………………………………………………………………………p. 9

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Jacopo Grazzi Globalisation Assignment S1228569

Introduction
Globalisation is not a new phenomenon (Usunier & Lee, 2009). International trade has been
in place since the first recorded civilisations, the Silk Road was an ancient trade route creat-
ed in the 205BCE that connected the West to the East (Elisseeff, 2001), furthermore, Ro-
mans and Greeks traded goods with Asian populations as early as the 30BCE (Shaw,
2000).

Globalization has been described as “the ways in which the world is being knitted together”
(Cohen and Kennedy, 2000, p10). Although the term itself “has existed since the 1960s, the
protests against this allegedly new process, which its opponents condemn as a way of order-
ing people's lives, brought globalisation out of the financial and academic worlds and into
everyday current affairs jargon.” (Jeffery, 2000, p2). Global markets and products have pen-
etrated our daily lives (Van Raaij, 1997), however, the word ‘globalisation’ is often used as a
negative term to describe the negative impacts it has on society, economy, the environment,
and culture (Bauman et al., 2001; Wolf, 2003). Consumers nowadays increasingly use global
products in their everyday life (Granell, 2000), and humanities are being ‘knitted’ together to
form a “world culture” (Friedman, 1994; 2000). Consumers overnight in Hilton hotels, fly with
Virgin Atlantic, smoke Marlboro, drink San Pellegrino, eat Burger King, drive BMW, wear
GAP, smell of Chanel n.5, read Vogue, listen to Madonna, and watch George Clooney on
the big screen. The society is becoming more and more global, and products increasingly
standardised or adapted, hence the process of globalisation cannot be ignored (Levitt,
1983). Although globalisation is a term that is used often, it is difficult to define.

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Jacopo Grazzi Globalisation Assignment S1228569

Globalisation
Globalisation is a term that first appeared in the English language in the 1940s; however the
term came into the popular culture in the 1990s, when the first tangible steps in the globali-
sation process took place (Steger, 2013). Ritzer & Dean (2015) describe globalisation as
“trans planetary process(es) involving increasing liquidity and growing multidirectional flows
as well as the structures they encounter and create” (p2). In this definition of the term, the
authors intentionally did not theorise that global integration is part of the process as it can
lead to it but can also reduce the level of such integration. This definition entails many con-
cepts such as liquidity, flows, and structures.

Many authors, such as Bauman (2000), Cartier (2001), and Ryoko (2012), agree that global-
isation, metaphorically, changes form (solid, liquid, gaseous) in different epochs and envi-
ronments. The concept of solidity, which can be applicable to the era before globalisation, is
explained by Ritzer & Dean (2015) as “people, things, information, and places ‘harden’ over
time and therefore have limited mobility” (p3). Examples of this solidity form of globalisation
can easily be found in recent history. Solid structures like The Berlin Wall was built to keep
the West (USA, UK, France) out of the East (USSR), the Gaza Wall to keep Palestinians out
of Israel and the fence between the USA and Mexico to prevent illegal immigrants coming
from the latter (Glenn, 2007). Solidity is still present in the contemporary world (e. g. nation-
state, border and customs controls) (Ritzer & Dean, 2015), and many European countries
are enhancing it, especially nowadays with the refugees’ crisis, where countries are closing
borders accordingly and the EU open-borders policy – Schengen – is on brink (Reuters,
2015). Although solidity is still relevant in the modern society, globalisation has moved to-
wards its liquid form, therefore towards the “ease of movement of people, things, information
and places” (Ritzer & Dean, 2015, p5). Trainer (2002) argues that it “is essentially the break-
through that capitalism had to eventually come to in order to enable continued accumulation
and growth in production sales, consumption, trade and investment” (p7). According to many
authors, globalisation has been fuelled by technological empowerment, cross-border trade,
financial innovations, and removal of political barriers (Levitt, 1983; Baumann et al., 2001;
Doole & Lowe, 2005; Baumann & Di Mauro, 2007; Lane & Milesi-Ferretti, 2008; Kotabe &
Helsen, 2011). The liquid form of globalisation not only moves quickly but it is also difficult to
halt (Ritzer & Dean, 2015). According to Trainer (2002), globalisation is “an outcome of the
build-up of enormous pressure on the part of the corporations and banks and their interna-
tional agencies to get rid of these barriers so that they can gain better access to the many
fields of activity previously blocked to them” (p4). This is supported by Baumann & Di Mauro
(2007) who argue that “globalisation means that national boundaries for goods, services and

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Jacopo Grazzi Globalisation Assignment S1228569

production factors are becoming less important in economic terms” (p7). Globalisation is an
ever-changing element, pressured by international factors and environments, it changes its
metaphorical form into gaseous very quickly. Bauman’s (1998, 2000, and 2001) ideas of
globalisation are in line with its gaseous form, therefore the “hyper-mobility of people, things,
information, and places” (Ritzer & Dean, 2015). This form of globalisation can easily be
seen in how we exchange information; the increased use of the internet and satellite signals
are the main drivers of hyper-mobility in today’s world (Budde, 2015). As positive as globali-
sation in the modern era sounds, there are negative aspects linked to the mobility of such
things. The struggle in halting the international flow of guns, drugs, pornography, undocu-
mented migrants, and organised crime are some of the negative aspects linked to the un-
stoppable power of globalisation (Ryoko, 2012). However, like all liquids and gases, globali-
sation too can revert back to its solid form (Ritzer & Dean, 2015). The recent tragedy in Paris
will have a great impact on the way the European Union and France first, deals with refu-
gees, undocumented immigrants and foreign affairs (Foster, 2015; Dati, 2015; Hewitt, 2015);
creating solid barriers, therefore slowing the process of globalisation.

Many of today’s literature about globalisation focus on the concept of flows (Bauman, 1998;
Freeman, 2006; Payaro, 2008; Ritzer & Dean, 2015). Freeman (2006) argues that flows of
capitals, goods, and especially people, are essential to form a global economy. Ritzer &
Dean (2015) defines flows as “movement of people, things, information, and places due to
the increasing porosity of global barriers” (p6). A clear example of this could be the food in-
dustry: sushi has become a global dish not just available in Japan (Beston, 2005), Asian
food in Glasgow, and Haggis will soon be consumed in the US (BBC, 2015). Furthermore,
nowadays people from several countries can live everywhere in the world (Michie, 2011),
financial services and capitals are global (Dadush et al., 2000), and outsourcing and offshor-
ing have become common practices between western businesses (Feenstra & Hanson,
1996), especially in the fashion industry (Payaro, 2008; Crippa et al., 2015; Shen & Li,
2015). However, due to the global interconnectedness (Dimitratos et al., 2003; Gannon &
Pillai, 2012), such flows can be harmful to societies. The concept of interconnectedness is
explained by Bauman et al. (2001) as “what we do may influence the conditions of life of
people in places we will never visit and of generations we will never know” (p4). The 2008
credit crunch that happened in the US due to risky lending affected the global economy dra-
matically (Turner, 2008). Moreover, according to Arsenault (2015), “poor countries in sub-
Saharan Africa and Asia are seeing the fastest increases in unhealthy food consumption”
due to the westernisation of their diets.

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Jacopo Grazzi Globalisation Assignment S1228569

Bauman et al. (2001) argues that “globalisation might be described as the ‘second seces-
sion’” (p7). The argument it is made is that globalisation may be comparable to what hap-
pened during the industrial revolution. Two centuries ago, roughly half of the western popula-
tions worked in agriculture (Hudson, 1992), nowadays that had fallen under 2% (Mok et al.,
2014). The industrial revolution that took place then, marked the first secession of business
from the household: mass production took over artisanal manufacture (Rothkopf, 2012).
Bauman et al. (2001) views on globalisation are clear. Globalisation is out of control and no
one can stop it, “business has escaped the household’s confinement again” (p7). The
‘household’ is closely tied to moral concerns, legal constraints and nation states. Bauman et
al. (2001) argue that the problem is the fact that business nowadays “can freely sweeping
aside minor hurdles erected by weak locals and steering clear of the obstacles built by the
strong ones, pursue its own ends and ignore and bypass all other ends as economically ir-
relevant” (p7), like it did in the first secession (Hudson, 1992), however, back then “people in
charge had to adjust” (Rothkopf, 2012, p88) to a “fairer, equitable and just society” (Bauman
et al., 2001, p8). Nowadays some businesses are global (Bremmer, 2013), therefore regula-
tory bodies and nation state laws have been put in place to avoid economic and labour ex-
ploitations by international companies operating in foreign countries (Bremmer, 2014). The
concerns that Bauman et al. (2001) raised about the lack of “global democratic control” (p6)
do not take into account international regulatory bodies that operate in mostly every country
in the world. The International Labour Organisation, for example, is a UN organisation deal-
ing with labour-related issues and standards around the world (ILO, 2015). The ILO has writ-
ten a bill to “prohibit the import, export, and sale of goods made with sweatshop labour, and
for other purposes” (GPO, 2007). Furthermore, Bremmer (2014) illustrates that developing
countries such as Brazil, Russia, India, China, and South Africa (BRICS) have been placing
regulations to control the power of such international organisations. Bremmer (2014) men-
tions several examples of such regulations; the author argues that “in the aftermath of the
recent global recession, we’ve entered a different phase, which I call guarded globalization”
(p2). According to Bremmer (2014), multinational organisations need to be more strategic in
their global tactics as they “must often compete with companies that have the financial and
political support of their home governments” (p4). However, Siddiqui (2012) argues that
transnational corporations will pressure local governments in order to access special deals
and increase profits by promising growth and job opportunities. Furthermore, Woods (2000)
argues that developing countries will compete to each other to attract the highest number of
foreign investors in a “race to bottom, as government dismantle regulatory structures ensur-
ing that wages and taxes and remain low” (Hartungi, 2006, p732). This is in line with Bau-
man et al. (2001) ideas of the erosion of local sovereignties, both in developing and devel-
oped countries. Moreover, globalisation is lowering the employment of unskilled labour force

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Jacopo Grazzi Globalisation Assignment S1228569

in most high-income countries (Feenstra & Hanson, 1996; Baumann & Di Mauro, 2007; Wolf,
2015). Steger (2013) shows proofs of movements for global justice: groups and Green politi-
cal parties around the world aim to narrow wealth and well-being disparities, some of them
“want to tear the whole thing down, in the same way that the original Luddites attacked
mechanised spinning machines” (Jeffery, 2002, p2), “with the selective use of violent means”
(Steger, 2013, p118).

In the era of globalisation, ‘moral guilt’ – the feel after having harmed a human being – is
closely connected to ‘metaphysical guilt’ – the feel after a human being is harmed when such
harm has been caused indirectly (Bauman et al., 2001). Whenever a human being is harmed
or victim of indignity, the global society cannot be sure of its moral innocence (Bauman et al.,
2001). In November 2012, a fire broke out in a garment factory in Bangladesh, killing 124
people (Farid, 2012). In April 2013, the collapse of the Savar building, which housed gar-
ment production facilities contracted by global brands - such as Primark, Benetton, and H&M
- caused 1,129 deaths, and 2,515 more people were injured (Butler, 2013; Deutsche Welle,
2014). Both disasters are caused by the failure of respecting basic health and safety
measures from both the factory owners and the contractors (Farid, 2012; Butler, 2013;
Deutsche Welle, 2014). The disasters caused an international discussion about corporate
social responsibility across global supply chains (Fox, 2013). Consumers around the world
felt metaphysically and morally guilty because the clothes they have been buying may have
been produced in such factories (Fox, 2013; Deutsche Welle, 2014). In reaction to that, sev-
eral multinational retailers signed a pact, initiated by Gap Inc. and Wal-Mart, to increase fac-
tory and workers well-being (Zain Al-Mahmood, 2013) and to boost corporate social respon-
sibility (McPherson, 2014). Although Bauman et al. (2001) applied the concept of guilt to
human conditions; it is argued that guilt can be associated with the harm of the environment
as well as humans (Bedford et al., 2011). Uncontrolled globalisation, due to trade liberalisa-
tion (Beladi, 2011), is extremely polluting for the environment (Jackson, 2006), and due to
the increased use of plastic in today’s manufactured products (Moore, 2014) – even used as
an ingredient in face scrubs and toothpaste (Knauf, 2015) – a floating garbage patch, formal-
ly known as ‘Great Pacific Garbage Patch’, has formed in the North Pacific Ocean (Moore,
2014) and contains plastic fragments that can be dated back to the 1950s (Knauf, 2015).
Many international bodies are tackling the issue of global pollution (Yanase, 2010). One of
the main ones is the ‘Kyoto Protocol’: an accord between 146 nations to reduce emissions of
CO2 into the atmosphere (Santilli et al., 2005).

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Jacopo Grazzi Globalisation Assignment S1228569

Conclusion
To sum up, “globalisation can be seen as a positive, negative or even marginal process. And
regardless of whether it works for good or ill, globalisation's exact meaning will continue to
be the subject of debate among those who oppose, support or simply observe it.” (Jeffery,
2002, p2). Globalisation is a perfect tool to fight poverty (Siddiqui, 2012), to bring the world
closer together (Cohen and Kennedy, 2010), and to create a new global society (Levitt,
1983). However, it needs to be monitored and controlled (Bauman et al., 2001), therefore
international organisations, such as the UN, and cross-country treaties such as NATO and
the Commonwealth of Nations, have been created. Bauman (1998, 2000, et al. 2001) argues
that globalisation negatively affects human conditions, however, his works are very theoreti-
cal, schematic, and pessimistic (Brigham, 2015), and do not present a tangible solution to
the problems stated (Dumerzier, 2002). Globalisation can be very beneficial to developing
countries as well as developed ones (Samuelson, 2006). Smaller players – such as Bangla-
desh, Sri Lanka, Indonesia, Kenya, and Dominican Republic – would have never been able
to develop without global sourcing (International Textile, Garment and Leather Workers’
Federation, 2003). Developed countries benefits from it by acquiring skills and minds thank
to the free movement of people and capitals, and become more specialised (Hartungi,
2006). Some countries have enormously benefitted from it. Without foreign investments, ad-
vances in technology, processes and infrastructures brought in by the western economies,
and demand for cheap labour, China would not be the largest economy in the world (Carter,
2014). Overall, globalisation is part of everyone’s everyday life, it has become part of some-
thing bigger, and it is infused in every single individual. The global society of the modern ag-
es cannot be torn apart, nor by the Black Bloc, nor by terrorists. Populations around the
world have never been closer together, and live for a common goal: building a better future
for everyone.

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Jacopo Grazzi Globalisation Assignment S1228569

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