This Slide is only for educational purposes only

1. Globalization
PREPARED BY:
MOHD FARID BIN MD YUNOS (MB123034)
NADZIRAH BINTI HOSEN (MB133015)
RABIATUL ADAWIYAH BINTI ABD KHALIL (MB133011)
YEOH WEI CHERNG (ME131053)

2. •
•
•
•
•
Introduction
Globalization & Survival of the Fittest Theory
Overall Benefits
Gains & Losses
Conclusion

3. What is GLOBALIZATION??
Proto-worldwide
 Is Globalization inevitable?
 Are overall benefits
Globalization positive?
Inter-national
of
 What are the gains and
losses from Globalization?
Globalized
Three Types of International Economic
Mechanism

4. GLOBALIZATION AND SURVIVAL
OF THE FITTEST THEORY
What is Survival of the Fittest?
"It is not the strongest of the
species that survives, nor the
most intelligent that survives. It
is the one that is most
adaptable to change"
"In the struggle for survival, the
fittest win out at the expense of
their rivals because they
succeed in adapting
themselves best to their
environment“
Charles Darwin

5. GLOBALIZATION AND SURVIVAL
OF THE FITTEST THEORY
Is Globalization Survival of the Fittest?
• In the globalized world, not all countries are During periods of economic
stagnation, the winners will do
equal in terms of their competitive strength.
• Globalization is, in essence, world capitalism.
Capitalism is the system in which the theory of the
survival of the fittest is applicable - Capitalism
means competition, survival of the fittest.
• Therefore, this theory also applies to globalized
model of development - only the fittest benefit
from globalized development.
• The less developed countries, which at their
current level of development cannot be as
competitive as the highly developed capitalistic
countries, are likely to find themselves in a
position of free chicken close to a free fox.
what it takes to survive, even if it
means encouraging policies that
redistribute wealth from the poor
to the rich, from the old to the
banks, from the young to the
old.
“the law of competition, be it
benign or not, is here; we
cannot evade it; no substitutes
for it have been found; and
while the law may be
sometimes hard for the
individual, it is best for the
race, because it ensures the
survival of the fittest in every
department”
Andrew Carnegie

6. IS GLOBALIZATION INEVITABLE?
YES!
• Globalization is an "inevitable" or "relentless"
process, which will be difficult or impossible
to reverse.
• Thomas Friedman describes globalization as
"brakeless train wreaking havoc" - the idea
that suggest it has a relentless force, which is
difficult to slow, stop, or reverse.
• The
liberalization
of
investment, trade, production and democracy is
not a cyclic process (one that comes and goes)
but a secular process (one that grows
stronger and endures).
"I now fear that the
untrammeled intensification of
laissez-faire capitalism is
endagering our democratic
society. Unless it is tempered
by the recognition of common
interest.. Our present system is
liable to break down. The
collapse in the 1990s of
economis in
Mexico, Thailand, Indonesia
and Russia, which threatened
to spread economic disaster
around the world, was proof
that globalization is prone to
failure, critics contend.“
George Soros

7. IS GLOBALIZATION INEVITABLE?
BUT WE HAVE POWERFUL INSTITUTIONAL SUPPORT, DON’T
WE?
•
It is true that globalization has powerful institutional
support, which has given it weight, momentum and
authority.
•
But these institutions – e.g: TNCs, the North Atlantic
Treaty Organization (NATO), IMF, WTO - unable to
anticipate, fully appreciate, or successfully
manage the course of globalization in many respects
- due to in part to their own institutional constraints.
•
Historically, these institutions were created to address
a particular set of problems - many of which no longer
exist. - they were shaped by ideologies that
express the views of some, but not all social
groups.
These
ideologies
do
not
easily
accommodate the views and needs of groups that are
important stakeholders in any durable solution to
problems associated with globalization.
EXAMPLE:
When they negotiated a
global warming accord in
Kyoto, Japan, they were
unable to accommodate
divergent
interests
(North vs. South; US vs.
European)
and
implement real solutions
– Even when these
institutions
are
proactive,
open-minded
and willing to address
change
in
a
collective,
democratic
manner

8. IS OVERALL BENEFIT OF
GLOBALIZATION POSITIVE?
YES!
• Advantages of globalization are all-pervasive and a lot
of developing countries are benefiting from it.
• The most benefit parties are coming from business
communities and from those who see globalization is an
opportunity.
• Larger volumes of sales and exchange, larger growth
rates in GDP, and more empowerment of individuals
and political systems through acquiring additional
resources and capital.
• One can safely conclude that it definitely has brought
the world a lot closer in terms of economic cooperation
and trade.
 Increase
competition.
 Investment and
capital flow.
 Employment.
 Spread of culture.
 Spread of education
 Legal and ethical
effects.
Globalization has changed us
into a company that searches
the world, not just to sell or
to source, but to find
intellectual capital - the
world's best talents and
greatest ideas.
- Jack Welch

9. Classical & Modern Cycles of Growth of Capitalism
Reform
Recovery
Depression
Classical
Cycle
Poverty
Expansion
Income
Inequality
Crisis
B
Globalization Process
Income Inequality
Poverty
Reform
Capitalistic Expansion
Modern
Cycle
+
A
Capitalism
Crisis
Depression
Recovery
Globalization
Globalization

10.  Opportunities
Globalization led to the increased market access, capital & technology. GDP of India
increased from 3 % to 5.6% from 1970 to 1991 because of liberalization & to the peak at
7.8% in 1996-97 that improved 8th position in 1991, 4th in 2001. Last 5 years economic
improvement is been of 8% and recent year 8.98%.
YEAR
GROSS DOMESTIC PRODUCT
1990-91 TO 1994-95
6.14%
1995-96 TO 1999-00
6.12%
2000-01 TO 2003-04
6.40%
2004-05 TO 2007-08
8.98%
Per capita income sharp increase of 7.2% from 2003-04 to 2007-08.

11.  Inequality
• Rising inequalities in income & wealth.
• Evidence : Rise in Gini-coeeficient & a growing rural-urban divide in countries such as
China, India, & Brazil.
• George Kaplan, Director of the Center of Epidemology, “Stress, emotional
responses, economic disadvantage and beleaguered neighborhoods are inter-related
with health changes…. That’s part of how social inequalities become health inequalities.”
 Global Burden of Disease
• All countries must deal with the international transfer risks – whether
microbes, unregulated distribution of drugs, or tobacco marketing.
• Due to 107 diseases, accidents and sibling sequels, disaggregated with respect to
cause, sex, age & geographical region.
• Environmental Threat
• High degree & intensity of environmental pollution, degradation of ecobalance, deforestation.

12.  Globalization as a concept ultimately turned into a process.
Is it then a reality or merely a knowledge-economy???
 Globalization should not be thought of as a solution to
everything.
 Those who take advantage, they flourish and those who do
not they sink. Thus, globalization is not supposed to produce
equality of outcome but it produces equality of opportunity for
those with right mindset.

13.  Belinda Bennett. (2006). Health, Rights and Globalisation. The International
Library of Medicine, Ethics and Law.
 Samir Dasgupta, Ray Kiely. (2006). Globalization and After. Sage Publications.
 Bergman, J. (2001). Darwin’s Influence on Ruthless Laissez-faire Capitalism. Vital
Articles on Science/Creation.
 Friedman, T. L.. (2000). The Lexus and the Olive Tree: Understanding Globalization.
New York. Picador.
 Md. Mizanur Rahman. Impact of Globalization on Rural Development. Scholarly
Research Paper. Grin
 Schaeffer R. K. (2003). Understanding Globalization: The Social Consequences of
Political, Economic. New York. Rowman & Littlefield Publishers Inc.
 “Millions for Viagra. Pennies for Diseases of the Poor”, Ken Silverstein
(1999)