Globalisierung einfach erklärt (explainity® Erklärvideo) - YouTube

[rock music]

Globalization is a heavily discussed topic and is therefore not easy to put into simple terms.

Let's begin with globalization's backstory.

Technical inventions like smartphones, planes, phones and the Internet

enabled easier transport and communication.

Today, people and countries can exchange information and wares more easily and more quickly.

This is called: Globalization.

Globalization comes from the word "globe"

and means that nations (countries) are getting closer.

An example:

Previously, businesses would make products in their own countries.

Like the companies Pro TV and Super-Color, that both produce TVs in their country, Buckland.

Their products are competing against each other, but they have to pay the same wages and other related costs for them.

They have the same customers, similar suppliers and sell at similar prices.

The same basic conditions apply to both of them.

So far so good.

Through technical, cultural and economical advancements within globalization,

other businesses can also produce under different basic conditions,

and offer their products in Buckland.

A company from an economically weaker country can sell their TVs for less,

because they can also produce the TVs more cheaply.

The companies Super-Color and Pro TV must react.

Otherwise they'll lose the competition against companies from other countries.

And so the world grows closer and there is much exchange between countries.

Now more people can get and pay for more products.

Products and economic goods are not the only things being traded,

services, knowledge, culture and even languages are too.

All of these individual points come together and influence each other.

Globalization doesn't only have its good sides, but also its bad ones as well.

Globalization and the intense trade often harm people or the environment.

When a corporation moves its production to a country with a poor economy,

then people from industrialized states lose their jobs.

At the same time, many people in economically poor countries get jobs.

Compared to the industrial states, people here work for very little money.

Because of this, they often stay poor.

They usually have no social or medical insurance whatsoever.

A further con of globalization are ecological issues, such as Global Warming.

The ever-increasing usage of airplanes, freighters and trucks for transport is taking its toll.

More and more carbon dioxide gets released, which happens to be the main contributor to the Earth's warming. [Earth coughs]

The national environmental regulations are not respected in some countries.

In the global competition between countries, this is another

price factor that should be kept as insubstantial as possible,

in order to attract corporations.

Globalization is therefore complex, and applicable to almost all areas of life.

The chain of positive and negative effects continues on.

What matters is that globalization in and of itself is not good or evil.

It all comes down to what people do with new possibilities in the future.

[music] cc by Lucija Punda