Causes of Globalisation Short Essay

The Causes of Globalisation

Globalisation can be defined as the “physical expansion of the geographical domain of the global… the increasing impact of global forces of all kinds on local life”. This involves the many factors that have led to the current economic, cultural and geographical state of the world that we live in today. Historically, some of the major causes that have accelerated globalisation on a large scale include global trade, the Industrial Revolution and technological change. Trade among countries increased the demand of goods and services in its production. This increased the economic capital of countries involved in trade and has further impacted the expansion of the global market and its accessibility to foreign products. Naturally, trade and foreign investment have changed the dynamics of culture and world geography through the colonisation and trade agreements of countries for the purpose of trade and its vast improvement of transport. In correlation, the improvement and ability of transport is due to the rise of the industrial revolution which saw a major advancement in the development of technology, agriculture and machinery. Thus, the impact of trade, the Industrial Revolution and technology have caused the globalisation and as a result has changed the geographical, economic and cultural life of today.

Trade is an ancient system that has been practiced in most, if not all civilisations. Early modern trading saw the exploration in sea routes and agreements between nations for the exchange of their goods and services. In 1621, the Charter of the Dutch West India Company released a charter of privileges explaining that those “may, in our name and authority, within the limits herein before prescribed, make contracts, engagements and alliances with the princes and natives of the countries comprehended therein, …in like manner for the promoting of trade” (pg.2). This text is relating to the occupation of the Dutch in the West Indies and their trade agreement highlighting the early contracts

. The expansion in the international trade market and it’s recent rapid growth has been a primary cause for globalisation, as its effect involves the rise in income, boost in job opportunities, and increase in workers etc. Further, through trade agreements many nations would not have had the economic opportunity and capital they have and due to the advancement in transport trade companies are effectively able to reach routes previously restricted. Therefore, trade has immensely impacted the geographical, economic and cultural status of many nations.

The Industrial revolution is the process of change from an agricultural economy to one based on industry and machine-driven manufacturing. The industrial revolution occurred in the 18th century Britain and later spread to other parts of the world. In ‘The Condition of the Working-Class in England’ an English industrial worker describes his surroundings at the time, “Manchester… rapidly rose from obscurity to become the premier centre of cotton manufacture in England. This was largely due to geography. Its famously damp climate was better for cotton manufacture than the drier climate” (pg.1) During this time Britain’s geographical landscape and climate was ideally in favor of the agricultural revolution. The increase in food production meant lowering its overall cost. More farmers began to shift jobs in search of wage-labor in the new industries. Capitalist values were becoming the virtue and many financial institutions provided the support to finance new factories. The growth in cotton plantation gave Britain an economic advantage and new inventions to process it, such as the ‘spinning jenny’, a multi-spindle spinning frame began accelerating its production and time efficiency. The emergence of new industries proved profitable and many British entrepreneurs began taking risks on the chance that they would be financially rewarded in future. During this time an advancement in new technological innovations saw transportation becoming more efficient and the ability to extract coal became easier. Once transport improved so did the demand for coal which resulted in its ability to reach global markets. Coal became popular and more industries used coal as it became more cost-effective than other fuels and wood. These innovations created a powerful growth in the economy of Britain and sparked industrial revolutions in other nations contributing to globalisation.