Globalisation

The world is becoming a much smaller place; the cultural, social and economic characteristics which once defined individual nationality are being removed. Preferences, lifestyles and cultures are becoming increasingly homogenised and as this happens it becomes easier and easier for different nationalities and races to work and live together.

The opening up of international trade has been a major catalyst for this merging of cultures and practices; it has also been one of the key factors in the explosion of the world economy in recent decades. As trade becomes easier and barriers are removed, companies are finding that they are not only competing with local rivals, but also with competitors from around the world.

This increased competition is evident in the UK manufacturing sector; parts of the country enjoyed a significant global advantage which was gradually eroded by the emergence of new low cost suppliers from emerging economies such as China and India.

Globalisation has come about through the free transfer of labour and capital between economies, as transport and communications infrastructure has improved they have torn down traditional geographical barriers. Increased global competition and access to new markets require companies to be dynamic and innovative in the ways they sell their products, those that are unable or willing to compete in this global environment are likely to be marginalised and will find growth difficult to achieve.

New opposition is emerging to the homogenisation of global culture and the influence of big business. Large multinational corporations and central governments now acknowledge that global economic growth must be balanced with a respect for local identity and more equitable distribution of opportunity.