NCERT Summary: Globalization and Social Change (Class 12) | Old & New NCERTs for IAS Preparation (Must Read) - UPSC PDF Download

Introduction

• Globalization refers to the interrelation and interdependence between local and international markets. The purpose of this chapter is to provide an explanation of globalization, its various dimensions, and the social implications they generate.
• In contemporary times, it is not possible for sociologists and social anthropologists to examine society in isolation. The contraction of space and time has altered this scenario. Sociologists must acknowledge the global interconnectedness while studying aspects such as villages, families, movements, child-rearing practices, work and leisure, bureaucratic organizations, or castes.
• Globalization has profound and extensive impacts, affecting all of us in different ways. While some may experience new opportunities, others may lose their livelihood.
• There are divergent opinions regarding the effects of globalization on society. Some individuals believe it will result in a better world. Conversely, others fear that different groups will experience the effects of globalization differently. They argue that while the affluent segment may benefit, the situation of a significant portion of the already marginalized population may deteriorate.

Understanding Globalisation

• Globalization refers to the growing social and economic interconnectedness between individuals, communities, and nations across the globe.
• It would be inaccurate to state that globalization is solely driven by economic forces, although they do play a crucial role.
• Rather, globalization has progressed primarily due to the development of information and communication technologies, which have accelerated the speed and extent of human interaction across the world.

Different Dimensions of Globalisation

The Process of Liberalization:

• Liberalization refers to political choices made by the Indian government since 1991 to open up the Indian economy to the global market. It involves relaxing trade and financial regulations and obtaining loans from international organizations like the IMF.

Transnational Corporations (TNCs):

• TNCs are businesses that operate across borders, ranging from small factories to large international corporations like Coca-Cola and Mitsubishi. They play a significant role in driving economic globalization.

The Digital Economy:

• The digital economy refers to the use of electronic transfers to conduct international financial transactions. While it has made transactions easier, it comes with significant risks, such as foreign investors causing unexpected dips in the stock market.

The Weightless Economy:

• The weightless economy is based on information, such as internet-based services and computer software, and has replaced the traditional industrial and agricultural economies.

Globalization of Finance:

• Global financial markets conduct transactions worth billions of dollars in seconds, and major trading hubs include New York, Tokyo, and London. Mumbai is India's financial hub.

Global Communications:

• Technology and communication have revolutionized communication across the world, with multiple connections available, including telephones, cell phones, fax machines, digital and cable television, email, and the internet.

Globalization and the International Division of Labor:

• Globalization has led to the dispersion of manufacturing and employment across numerous nations, with MNCs setting up shop where there is a strong infrastructure, inexpensive labor, and resources.

Globalization and Employment:

• Globalization and the IT revolution have created new job opportunities, particularly for urban middle-class youth, with jobs available in call centers and BPOs after graduation.

Political Dimension

• The fall of the former socialist world facilitated the acceleration of globalization through various means. Moreover, it provided a particular economic and political perspective that supported globalization-promoting economic policies.
• The development of global and regional structures for political cooperation is a significant political aspect of globalization. Examples of such structures include the European Union (EU), the South Asian Association for Regional Cooperation (SAARC), and the Association of South East Asian Nations (ASEAN).
• Another political factor contributing to globalization is the emergence of international governmental organizations (IGOs) and international non-governmental organizations (INGOs). An intergovernmental organization is a body established by participating governments with the responsibility of controlling or monitoring a specific area of activity with global significance.

Cultural Dimension

• Concerns have been raised about the potential disappearance of indigenous cultures due to significant cultural changes that have occurred over the past decade.
• One of the main arguments put forth is that all cultures will eventually converge and become homogenous. However, others argue that culture is becoming more "glocalized," which refers to the blending of local and global influences.
• Foreign businesses often employ glocalization as a strategy to accommodate regional traditions and enhance their marketability. For instance, McDonald's in India only offers chicken and vegetarian options instead of their usual beef options. During the Navaratri festival, McDonald's transforms into a vegetarian restaurant.

Culture of consumption

• Cities grew where industries did prior to 1990, and people migrated to cities due to infrastructure changes associated with industries. Shopping centers, multiplexes, and amusement parks have also contributed to the allure of cities. Today, shopping is no longer done out of necessity, and money-related aspects have changed.

Gender and Culture

• Globalization can be used as a shield for unfair practices against women. India's democratic tradition and culture offer an opportunity to define culture in a more inclusive and democratic manner.

Corporate culture

• Every business has a unique corporate culture to stand out, and each has its own strategy to take care of its employees. Businesses aim to keep their workers happy, motivated, and productive, and may use methods like taking them to a movie or organizing holiday parties. Marketing and sales methods also vary among businesses.

Emerging professions

• Globalization has led to the emergence of many new professions such as fashion design, banking, art, dance, diet, and theatre. While professionals in these industries earn more money, they are also subject to a greater degree of stress.

Craft

• Due to competition and the availability of cheaper alternatives, many traditional goods in India are under threat, both domestically and internationally, as a result of globalization.

Knowledge System

• India is home to many valuable food and health products, such as turmeric, sandalwood, tulsi, and haldi, which have been marketed as products of India. However, it is important to protect the country's indigenous knowledge system from attempts by multinational corporations to patent the use of these products, including Tulsi, Haldi, Rudraksha, and Basmati rice. Yoga is a popular knowledge system that has gained worldwide recognition.

Globalisation and India

The Early Years

• India's connectivity with the world can be traced back to two thousand years ago, as the famous Silk Route connected India with China, Persia, Egypt, and Rome. Throughout India's history, people from different places have settled down here for various reasons.

Global Connection and Colonialism

• The colonial system required new sources of money, raw materials, energy, markets, and a global network. While large-scale migration is often seen as a characteristic of modern globalisation, the migration of Europeans to the Americas and Australia may have been the largest human movement in history.

Independent India and Globalisation

• India's post-independence perspective was global, influenced by the Indian nationalist movement's emphasis on solidarity with people worldwide and commitment to global liberation struggles.
• Since independence, trade in goods, technologies, and raw materials has played a significant role in India's development.