MODULE 1: Introduction to Globalization

SOCIAL GLOBALIZATION
GLOBALIZATION

 It refers to the increasing interconnectedness  It refers to the increased movement of people

and interdependence of countries, societies, around the world, including migration,
and economies around the world. tourism, and the spread of diaspora
communities,
 It can be driven by advances in technology,
transportation, communication, as well as by  This can lead to greater cultural exchange
economic, political, and cultural factors. and understanding, as well as to greater
economic development and educational
opportunities.

SECTION 1: CONCEPTS OF GLOBALIZATION  However, it can also lead to increased

competition for jobs and resources, as well as
to increased xenophobia and racism.
ECONOMIC GLOBALIZATION

 It refers to the increased integration of global IN SUMMARY!

markets for goods, servicer, and capital.
Globalization can bring both opportunities and
 This can lead to increased trade and challenges, and its effects can vary depending on a
investment, as well as greater competition country's level of development and the policies it
and efficiency. adopts to manage the process.
 However, it can also lead to job loss and wage
stagnation for workers in developed ADDITIONAL INFOS!
countries, as well as exploitation and
environmental degradation in developing
ECONOMIC INTEGRATION
countries.
 global trade
CULTURAL GLOBALIZATION  international investment

CULTURAL EXCHANGE
 It refers to the spread of ideas, values, culture,
and, customs around the world.
 exchange of ideas, values, and cultural
 This can lead to increased understanding and practices
appreciation of different cultures, as well as to
greater diversity and creativity. TECHNOLOGICAL ADVANCEMENT

 However, it can also lead to homogenization  innovation of communication

and loss of cultural identity. as well as to  usage of internet
increase conflict and misunderstanding.
POLITICAL COOPERATION

POLITICAL GLOBALIZATION  global institution - Ex. UN

 security, human rights, and environmental
 It refers to the increased cooperation and
inter- dependence of countries. on issues and ENVIRONMENTAL IMPACT
global concerns, such as security, human
rights, and the environment.
 addressing environmental challenges such as
climate change, flooding. etc.
 This can lead to greater stability and
prosperity, as well as to more effective
responses to global challenges. SOCIAL IMPACT

 However, it can also lead to loss of  social interaction

sovereignty and democratic accountability, as  job displacement
well as to increased inequality and injustice.
 MODULE 2: The Structures of Globalization

SECTION 1: THE GLOBAL ECONOMY  It is an indicator that explains how much

different markets are related to each other
THE GLOBAL ECONOMY
 Market integration is the fusing of many
markets into one.
 It refers to the interconnected worldwide
economic activities that take place between
multiple countries.
THREE TYPES OF MARKET INTEGRATION
 These economic activities can have either a
positive or negative impact on the countries 1. HORIZONTAL INTEGRATION
involved.
 This occurs when a firm or agency gains
 It also referred to as "world economy" control of other firms or agencies performing
similar marketing functions at the same level
 It refers to the international exchange of in the marketing sequence.
goods and services.
 It helps companies grow in size and revenue,
 It may also mean as the free movement of expand into new markets, diversity product
goods, capital, services, technology, and offerings, and reduce competition.
information.
 If a company owns every bit of a production
 The advance of communication and process, then it is known as a horizontal
technology has changed many of the basic monopoly.
features of the global economy.
 Horizontal integration was made famous by
JOHN D. ROCKEFELLER'S STANDARD OIL
BENEFITS OF GLOBAL ECONOMY COMPANY

 Economies of scale/lower prices  Some well-known recent examples of

 Increased global investment horizontal integration include WALT DISNEY
 Free movement of labor COMPANY'S acquisition of 21ST CENTURY
 May reduce global inequality FOX, MARRIOTT INTERNATIONAL
 Environmental costs acquisition of STARWOOD HOTELS AND
 Tax competition and avoidance RESORTS, and the FACEBOOK (META)
 Brain drain from some countries acquisition of INSTAGRAM.
 Less cultural diversity
 DISNEY, FACEBOOK, AND COCA COLA
FACTORS AFFECTING THE GLOBAL ECONOMY are good examples of horizontal integration:
they merged with their competitors and
 Natural resources smaller companies from the same niche to
 Infrastructure gain a bigger market share.
 Population
 Labor
 Human Capital
 Technology
 Law

SECTION 2: MARKET INTEGRATION

MARKET INTEGRATION

 It occurs when prices among different

locations or related goods follow similar
patterns over a long period of time.

 Groups of goods often move proportionally to

each other and when this relation is very clear
among different markets it is said that the
markets are integrated.
THREE PRIMARY FORMS OF HORIZONTAL  This type of integration makes it possible to
INTEGRATION exercise control over both quality and quantity
of the product.
MERGERS
 It reduces the number of middlemen in the
 It is the joining of two similar sizes, marketing channel.
independent companies to make one joint
entity.  The most famous vertical integration
examples are APPLE, MCDONALD'S, and
 In recent years, there have been notable AMAZON.
mergers of large banks. These include: the
BANK OF THE PHILIPPINES, FAR EAST  A good example of vertical integration is
BANK, and TRUST Co. merger in 2000, APPLE, which keeps controlling the whole
BANCO DE ORO and EQUITABLE PCI manufacturing process. Having used to
BANK merger in 2007; and PHILIPPINE outsource producing some parts before, the
NATIONAL BANK and ALLIED BANKING company now manufactures basically
CORPORATION merger in 2012. everything: from chipsets to cases.

 In the Philippines, fast food JOLLIBEE, is the

ACQUISITIONS epitome of efficient vertical integration as the
brand controls the manufacture of its primary
 It is the purchasing of another company. products, logistics, and sale of the products
through retail outlets.
 JOLLIBEE FOOD CORPORATION acquiring
MANG INASAL for ₱3 billion with 30% being
retained by the original owner.

INTERNAL EXPANSIONS

 It is a strategy businesses use to grow

organically, focusing on enhancing existing
operations, products, and market.

 It is about leveraging core strengths to

innovate and increase market share without 3. CONGLOMERATION
merging with or acquiring other companies.
 It is a type of multi-industry company that
 Among the benefits are an increase in market consists of several different and unrelated
share, reduced competition, and increases in business entities that operate in various
other synergies. industries under one corporate group.

 There are disadvantages, such as antitrust  For some firms, the formation of a
issues and legalities, a reduction in flexibility, conglomerate enables them to stay afloat and
and destroying value rather than creating it. increase profitability by being able to lean on
the combined efforts and resources of
multiple companies.

2. VERTICAL INTEGRATION  Examples of conglomerate are BERKSHIRE

HATHAWAY, AMAZON, ALPHABET, META
 It is a business arrangement in which a (FORMERLY FACEBOOK), PROCTER &
company controls different stages along the GAMBLE, UNILEVER, DIAGED, JOHNSON
supply chain. & JOHNSON, and WARNER MEDIA

 Instead of relying on external suppliers, the  In the Philippines, AYALA CORPORATION is

company strives to bring processes in-house another prominent conglomerate. Its diverse
to have better control over the production business portfolio includes real estate
process. development, banking and financial services,
water utilities, telecommunications, and
 This occurs when a firm performs more than power generation.
one activity in the sequence of the marketing
process. It is linking together two or more  SAN MIGUEL CORPORATION SM
functions in the marketing process within a INVESTMENTS, BDO, PLDT, ABOLITZ,
single firm or under a single ownership. JOLLIBEE, and many more.
  Conglomeration allows a company to diversify SECTION 3: GLOBAL INTERSTATE SYSTEM
its revenue stream, reduce its market risk, and
the possibility of a takeover. GLOBAL INTERSTATE SYSTEM

 It is the whole system of human interactions.

The modern world-system is structured
politically as an interstate system – a system
of competing and allying states.

 Political Scientists commonly call this the

international system, and it is the main focus
of the field of International Relations.

INTERNATIONAL ECONOMIC INSTITUTIONS  World-systems are defined by the existence

of a division of labor. The modern world-
1. THE INTERNATIONAL MONITARY system has a multi-state political structure
FUND (IMF) – It would oversee the international (the interstate system) and therefore its
division of labor is international division of
monetary system. IMF lends money to members
labor.
having trouble meeting financial obligations to other
members, but only on the condition that they
 The division of labor consists of three zones
undertake economic reforms to eliminate these
according to the prevalence of profitable
difficulties for their own good and that of the entire
industries or activities: core, semi-periphery,
membership.
and periphery nations.

2. WORLD BANK (WB) – It would provide loans DIVISION OF LABOR

for European reconstruction but later expanded its
activities to the developing world. Multinational CORE NATIONS
financial institution established at the end of World
War II (1944) to help provide long-term capital for the  The high income nations in the world
reconstruction and development of member countries. economy. This is the manufacturing base of
it provides much of the planning and financing for the planet where resources funnel in to
economic development projects involving billions of become the technology and wealth enjoyed
dollars. by the Western World today.
 They are dominant capitalist countries that
exploit peripheral countries for labor and raw
3. THE GENERAL AGREEMENT ON materials.
TARIFFS AND TRADE (GATT) – It would
oversee multilateral trade agreements. For about 30 SEMI-PERIPHERY NATIONS
years, this system remained in place and provided
economic stability and prosperity to Western nations.  These are the middle-income countries, such
as India and Brazil. These are considered
semi-periphery due to their closer ties to the
4. WORLD TRADE ORGANIZATION global economic core.
(WTO) – It focuses on trade places it at the heart of  Semi-peripheral countries share
economic globalization and has made it a magnet for characteristics of both core and peripheral
those opposed either to the broader process of trade countries.
liberation and promotion.
PERIPHERY NATIONS
REASONS FOR THE MARKET INTEGRATION
 Also called as the low-income countries,
 To remove transaction cost whose natural resources or labor support the
 Foster competition wealthier countries, first as colonies and now
 Provide better signals for optimal generation by working for multinational corporations
and consumption decisions under neocolonialism.
 Improve security of supply  Peripheral countries are dependent on core
countries for capital and have
underdeveloped industry.
 SECTION 4: CONTEMPORARY GLOBAL
GOVERNANCE
THE GLOBAL GOVERNANCE

 Global governance or world governance is a

movement towards political integration of
transnational actors aimed at negotiating
responses to problems that affect more than
one state or region.

 It tends to involve institutionalization, and

these institutions — the United Nations, the
International Criminal Court, the World Bank,
etc. — tend to have limited or demarcated
power to enforce compliance.

 It is concerned with issues that have become

too complex for a single state to address
alone. Humanitarian crises, military conflicts
between and within states, climate change
and economic volatility pose serious threats to
human security in all societies.

 Global governance can be thus understood as

the sum of laws, norms, policies, and
PRINCIPLES OF INTERSTSTATE SYSTEM institutions that define, constitute, and
mediate trans-border relations between
Globalism vs. Globalization states, cultures, citizens, intergovernmental
and nongovernmental organizations, and the
Globalism, at its core, seeks to describe and explain market.
nothing more than a world which is characterized by
networks of connections that span multi-continental FIVE FORMS OF GLOBAL GOVERNANCE
distances. In short, consider globalism as the
underlying basic network, while globalization refers to 1. TOP-DOWN GOVERNANCE
the dynamic shrinking of distance on a large scale.
 A top-down approach to governance presents
Internationalism vs. Globalism a clear divide between top-level policy
formulation and the subsequent
Internationalism is political, economic, and cultural implementation of these preset goals by
cooperation between nations while globalism is an administrators and service providers.
ideology based on the belief that people, goods and
information ought to be able to cross national borders  The process of enacting policy is viewed as
unfettered. an implementation chain where links must be
forged between various agencies.
Internationalism vs. Nationalism
2. BOTTOM-UP GOVERNANCE
Internationalism is political, economic, and cultural
cooperation between nations while nationalism is  The bottom-up implementation approach
patriotism; the idea of supporting one's country and initiates with the target groups and service
culture. deliverers, because they find that the target
groups are the actual implementers of policy.

 It is a clear-cut system of command and

control-from the government to the project,
which concerns the people.
3. MARKET GOVERNANCE  The United Nations was established after
World War II with the aim of preventing future
 Market governance mechanisms (MGMs) are wars, succeeding the ineffective League of
formal or informal rules, which have been Nations (LON).
consciously designed to change the
behaviour of various economic actors.  In 1945, representatives of 50 countries met
in San Francisco at the United Nations
 This includes actors such as individuals, Conference on International Organization to
businesses, organizations and governments draw up the United Nations Charter.
who in turn encourage sustainable
development.  The Charter was signed on 26 June 1945 by
the representatives of the 50 countries.
Poland, which was not represented at the
4. NETWORK GOVERNANCE Conference, signed it later and became one
of the original 51 Member States.
 Network governance is "interfirm
coordination" that is characterized by organic  There are 193 UN member states with the
or informal social system, in contrast to addition of South Sudan on July 14, 2011.
bureaucratic structures within firms and
formal contractual relationships between  The Philippines joined the UN on October 24,
them. 1945, under the administration of Sergio
Osmeña.
5. COMPLEX WEB GOVERNANCE
PURPOSE OF THE UNITED NATIONS
 Web governance is the process of
maintaining and managing an online  Maintaining worldwide peace and security
presence in an organized way. The idea is to  Developing relations among nations
set certain standards for your website and  Fostering cooperation between nations in
hold yourself to them. That can include both order to solve economic, social, cultural, oг
your own organization's standards and humanitarian international problems
external regulations or compliance standards.  Providing a forum for bringing countries
together to meet the UN's purposes and goals
 The ultimate goal is to provide the best user
experience possible for your website visitors
MAIN BODIES OF THE UNITED NATIONS
by ensuring quality, consistency, accessibility,
searchability, and more. GENERAL ASSEMBLY (GA)

THE TWO TYPES OF INTERNATIONAL  Main deliberative, policymaking and

ORGANIZATIONS representative organ of the UN
 All 193 Member States
Universal Membership: United Nations (UN),  Decisions on important questions (peace and
security) require a two-thirds majority
Bretton Woods Institutions and World Trade  Decisions on other questions are by simple
Organization (WTO) majority
 The General Assembly, each year, elects a
Limited Membership: European Union (EU) and GA President to serve a one-year term of
the North Atlantic Treaty Organization (NATO) office (incumbent: Volkan Bozkır)

SECURITY COUNCIL (SC)

THE UNITED NATIONS
 Responsible for the maintenance of
 Coined by US Pres. Franklin D. Roosevelt international peace and security
when representatives of 26 nations pledged
 15 Members (5 permanents and 10 non-
their Governments to continue fighting permanent members).
together against the Axis Powers.  Takes the lead in determining the existence of
a threat to the peace or act of aggression
 The Security Council has a Presidency, which
rotates, and changes, every month.
ECONOMIC AND SOCIAL COUNCIL  Domestic politics creates tight constraints on
international cooperation and reduces the
(ECOSOC)
scope for cooperation.
 Principal body for coordination, policy review,
policy dialogue and recommendations on  Diverse perspectives on and suspicions about
economic, social and environmental issues, global governance, which is seen as a
as well as implementation of Internationally Western concept, add to the difficulties of
agreed development goals. effectively mastering the growing number of
 54 Members, elected by the General challenges.
Assembly for overlapping three-year terms The challenges of new governance in the 21st century
entail multiple trajectories of change within states,
INTERNATIONAL COURT OF among actors inside and outside nation-states:

JUSTICE  Within states, the first trajectory or path is the

depoliticization (To remove something from
 The International Court of Justice is the political influence) which can be observed in
principal judicial organ of the United Nations. the form of delegating decisions to
 Its seat is at the Peace Palace in The Hague Independent regulators and experts, central
(Netherlands). banks, or judiciaries
 Settle, in accordance with International law,
legal disputes and to give advisory opinions  A second trajectory is the rescaling of
on legal questions economic and social relations well beyond the
territorial boundaries of nation states,
facilitated by transnational legal
SECRETARIAT arrangements that have their roots in national
law.
 Comprises the Secretary-General
(Incumbent: Antonio Gutierrez) and tens of
thousands of international UN staff members THE ROLE OF THE NATION-STATE IN
 The Secretary-General is chief administrative GLOBALIZATION
officer of the Organization, appointed by the
General Assembly on the recommendation of  Since nation-states are divided by physical
the Security Council for a five- year, and economic boundaries, reduced barriers in
renewable term. international trade and communication are
considered their potential threat.
 Sovereignty of individual nations is not
TRUSTEESHIP COUNCIL abolished by expanded trade among
countries, instead globalization is a force that
 The Trusteeship Council was established in changed the way nation-states deal with one
1945 by the UN Charter, to provide another, particularly in the area of
international supervision for Trust Territories international trade.
that had been placed under the administration
of Member States, and ensure that adequate Nation-states has potential effects to globalization:
steps were taken to prepare the Territories for  Favoring Westernization which means that
self-government and independence. other nation-states are at a disadvantage
when dealing with the Americas and Europe,
most especially in agriculture and industry, in
CHALLENGES OF GLOBAL GOVERNANCE IN which nations face competition from Western
THE 21st CENTURY Companies.

 Issues that involve interwoven domestic and

foreign challenges include threats at the
beginning of the century which include ethnic
conflicts, infectious diseases, and terrorism
as well as a new generation of global
challenges including climate change, energy
security, food and water scarcity, international
migration flows and new technologies.
GLOBALIZATION'S IMPACT ON THE STATE
MODULE 3: A World of Regions
Factors which lead to the increase and acceleration of
movement of people, information, commodities and
capital:
LATIN AMERICA
1. Lifting of trade barriers
2. Liberalization of world capital markets  This refers to countries that were colonized by
3. Swift technological progress Spaniards in the American continent.

WEST AND EAST IN 1494

Problems afflicting the world today which are
increasingly transnational in nature, those that cannot  This is when the newly discovered lands
be solved at the national level or State to State outside Europe were divided into two – the
negotiations: West belonging to the Crown of Castile (now
part of Spain) and the East belonging to the
1. Poverty
Portuguese Empire.
2. Environmental pollution
3. Economic crisis
4. Organized crime and terrorism

Effects of greater economic and social

interdependence to national decision-making
processes:

1. It calls for a transfer of decisions to the

International level
2. It requires many decisions to be transferred to
local levels of government due to an increase
in the demand for participation WORLD DIVISION DURING COLD WAR

The Cold War between US and USSR created the

Decision making processes in globalization is division between the Capitalist/Democratic states and
complex as it takes place in various levels such as the Communist states.
sub-national, national, and global which lead to the
growth of a multi-layered system of governance The capitalist economists were considered First World
and communist economists were referred to as
The State has the role in operating the intricate web of Second World.
multilateral arrangements and inter-governmental
regimes, entering into agreements with other States,
and making policies which shape national and global
activities. FIRST WORLD

This indicates political leverage of some States in  The First World encompassed all
shaping the International agenda while developing industrialized, democratic countries, which
countries have fewer active roles. were assumed to be allied with the United
States in its struggle against the Soviet Union.
Though State is required by globalization to improve Finland and Switzerland maintained strict
its capacity to deal with greater openness, it must neutrality.
remain central to the well-being of its citizens and to
the proper management of social and economic
development
SECOND WORLD
The following can be guaranteed only by the States
through independent courts:  The Second World was anchored on the
industrialized, communist realm of the Soviet
 Respect of human rights and justice Union and its Eastern European satellites, yet
 Promote the national welfare it often included poor communist states
 Protect the general Interest located elsewhere.
THIRD WORLD  Home to all the members of the G8 and P5
members of the United Nations Security
 This refers to countries that did not belong to Council
either types of formal economies.
 The Third World was defined as the non-  95% has enough food and shelter
aligned world and as the global realm of
poverty and underdeveloped.  Economy: industries and major businesses,
commerce, and finance

 controls 4/5 of the income earned anywhere

in the world

 90% of the manufacturing industries are

owned by and located in the North

 Low Poverty

 Low Child Mortality

 High Economic and Educational

Development
NORTH AND SOUTH DIVIDE
 Advance Technological Advancement
 After the Cold War, many see primary global
division as being between North and South.  Stable Governments

 Low Fertility Rates

 Low Gender Related Illiteracy

THE GLOBAL SOUTH

 It refers to then developing countries which

represents mainly agrarian economies in
Africa, India, Latin America, and others that
are not as economically sound and politically
stable.
SECTION 1: THE GLOBAL DIVIDES: THE
NORTH AND THE SOUTH  Tend to be characterized by war, conflict,
poverty, and tyranny.
THE GLOBAL NORTH
 Global South are countries that are less
 It refers to the developed societies of Europe
developed and characterized by low level of
and North America, which are characterized
economic development, large inequalities in
by established wealth, technological
living standards and low life expectancy such
advancement, political stability, zero
as Africa, Latin America and developing Asia
population growth and, dominance of world
including the Middle East.
trade and politics.
 Third World
 Global North are considered as the high
income countries such as Norway, Australia,
 Poor and less developed region
New Zealand, Canada, US, Belgium, Iceland,
Japan, Sweden, Netherlands, and most of
 5% has enough food and shelter
Western Europe.
 Source of raw materials of the North
 First World and Second World
 has access to 1/5 of the world's income
 Richer and developed region
  as nations become economically developed, Most people in the Third World lived far from
they may become part of the "North", global sources of economic, political, and military
regardless of geographical location power. Most were subjugated, most illiterate, even
then, they formed a majority of the world population.
 any nations that do not qualify for "developed" But such awareness was growing among leaders
status are in effect deemed to be part of the within these poor countries, many of whom had been
"South" educated. This awareness and exposure to Western
culture raised hopes and inspired many Third World
 High Poverty leaders to try to improve colonial living conditions and
win political independence.
 High Child Mortality
Opposition to domination by the First World
 Low Economic and Educational Development (colonization) also grew through increasing migration
and travel, including that stimulated by the two World
 Low self-consumption of natural resources Wars. Many troops who had participated in these wars
were from what soon to be called the Third World.
 Vulnerable to exploitation by large
corporations and industrial nations
SECTION 2: ASIAN REGIONALISM
 Less technological advancement
WHAT IS REGIONALISM?
 Economy are dependent on developed
countries  a political ideology that favors a specific
region over a greater area
 Unstable Governments
 it usually results due to political separations,
 High Fertility Rates religion, geography, cultural boundaries,
linguistic regions and managerial divisions
 High Gender Related Illiteracy
 It is the theory or practice of regional rather
than central systems of administration of
economic cultural or political affiliation
Global divides are not purely of a geographical
division but rather focused on socio- economic and
political affiliations and status. REGIONALIZATION

 a process of dividing an area into smaller

HOW THE "THIRD WORLD" BECAME THE segments called regions
GLOBAL SOUTH: THE ORIGINS OF THE THIRD
WORLD  the division of a nation into states or provinces

The world was largely divided into several empires in

the 19th century. Each empire possessed a "civilized" GLOBALIZATION
central that were more or less primitive or even
"barbaric".  a process by which the people of the world are
unified into a single society and function
 Third World was coined in 1952 by Alfred together
Sauvy, a French demographer,
anthropologist, and economic historian who
compared it with the Third Estate, a concept WHY DO COUNTRIES FORM REGIONAL
that emerged in the context of the French ORGANIZATIONS?
Revolution.
They form regional organization as a way of
✓ First Estate refers to the clergy and the monarch
coping with the challenges of globalization.

✓ Second Estate refers to the nobility

ASIAN REGIONALISM
✓ Third Estate refers to the balance of French  It is a product of economic interaction
population as contrasted the poor countries to the First between Asian countries
World and the Second World
  Asian economies have grown not only richer, As for AID, the globalized international community is
but also closer together. also more willing to come to the aid of a country
stricken by a natural disaster but, a regionalized
 New technological trends have further system does not get involved in the affairs of other
strengthened ties among them, as have the areas.
rise of China and India and the region's
growing weight in the global economy.
As to TECHNOLOGICAL ADVANCES, globalization
 The 1997/1998 financial crisis dealt a severe has driven great advances in technology but
setback too much of the region, highlighting advanced technology is rarely available in one country
Asia's shared interests and common or region.
vulnerabilities and providing an impetus for
regional cooperation.
FACTORS LEADING TO THE GREATER
 In the early stages of Asia's economic takeoff,
INTEGRATION OF THE ASIAN REGIONS
regional integration proceeded slowly. East
Asian economies focused on exporting to
developed country markets.
 Regional integration is a process in which
 The Japanese economist Akamatsu (1962) neighboring states enter into an agreement in
famously compared this pattern of order to upgrade cooperation through
development to flying geese. In this model, common institutions and rules.
economies moved in formation not because
they were directly linked to each other, but  The objectives of the agreement could range
because they followed similar paths. from economic to political to environmental,
although it has typically taken the form of a
 Now, Asian economies are becoming closely political economy initiative.
intertwined.
 Regional integration has been organized
 Interdependence is deepening because either via supranational institutional structures
Asia's economies have grown large and or through intergovernmental decision-
prosperous enough to become important to making, or a combination of both.
each other, and because their patterns of
production increasingly depend on networks  Regional integration has often focused on
that span several Asian economies and removing barriers to free trade in the region,
involve wide ranging exchanges of parts and increasing the free movement of people,
components among them. labor, goods, and capital across national
borders, reducing the possibility of regional
armed conflict and adopting cohesive regional
stances on policy issues, such as the
Regionalization Vs. Globalization environment, climate change and migration.

As to NATURE, globalization promotes the integration  Intra-regional trade refers to trade which
of economics across state borders all around the focuses on economic exchange primarily
world but regionalization is precisely the opposite between countries of the same region or
because it is dividing an area into smaller segments economic zone.

 In recent years, countries within economic-

As to MARKET, globalization allows many companies trade regimes such as ASEAN in Southeast
to trade on international level so it allows free market Asia for example have increased the level of
but in regionalized system, monopolies are likely to trade and commodity exchange between
develop themselves which reduces the inflation and
tariff barriers associated with foreign markets
resulting in growing prosperity.
As to CULTURAL AND SOCIETAL RELATIONS,
globalization accelerates multiculturalism by free and
inexpensive movement of people but regionalization
does not support this.