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Summary King, D; Lawley, S; Organisational behaviour - Chapter 15 Globalisation

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English summary of Chapter 15 'Globalisation' from the book 'Organisational behaviour' written by Daniel King and Scott Lawley.

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Chapter 15
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September 28, 2015
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Chapter 15 Globalisation

There is a feeling that the world is a lot smaller and more immediate

Individual national issues:
 The world is organised into nation states, but it is suggested that these are
becoming less relevant
 Despite trends towards globalisation, individual nations, and the
differences between them, are still important: laws, cultures, customs

Marshall McLuhan
The world is a global village

Roland Robertson
Globalisation: the compression of the world and the intensification of
consciousness of the world as a whole  shrinking of journey times, times for
communicating with people  more awareness of what goes on elsewhere within
the globe

Parker and Clegg
Six aspects that contribute to the multifaceted nature of globalisation or global
interconnectedness:
1. Economy: USA is the largest economy. Global economies are
interconnected
2. Politics: like EU, WTO
3. Technology: those technologies which contribute to the aforementioned
global village  allow barriers of geography to be overcome so that people
can travel the globe ro communicate globally
 Transport
 Communications technologies
 Media technologies
 Computer networks
4. Culture
5. Natural environment: commodities to be traded on a global basis
6. Business and industry

Globalisation:
 Physical space: actual land of the globe itself  early globalisation 
discovering new lands, physically moving products
 Intangible space: global connectedness without movement over actual
land  data in computer networks  global consciousness

Global technology has physical aspects and intangible aspects: transport
which crosses land, signals and data which are beamed through communication
Global economy has physical aspects: physical goods which are produced and
then exported across land and sea. Intangible elements: symbol economy of
financial transactions and data flow between financial institutions

Becoming global:
 Exporting: selling a product to another country and shipping it to that
country
 Overseas investment and expansion: setting up premises in another area.

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