the syllabus says |
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7. Global interactions at the local level
- Defining glocalization: Distinguish between the terms globalization and glocalization.
- Adoption of globalization: Examine the extent to which commercial activities at a local scale have become globalized. Examine the reasons why the level and rate of adoption varies from place to place.
- Local responses to globalization: Evaluate the relative costs and benefits of local commercial production to the producer, the consumer and the local economy, compared with the costs and benefits of globalized production.
defining glocalization
Glocalization is defined by the Oxford Course Companion for Geography (p398, 1st ed. 2011) as:
"a term invented in order to emphasise that the globalization of a product is more likely to succeed when the product or service is adapted to the specific locality or culture in which it is marketed".
A simpler definition might be:
"The adaptation of a globalized product or process to local conditions."
McDonald's is often given as an example of a TNC that recognises the value of 'glocal' - through its British-only beef in the UK, no-beef burgers in India, spicier burgers in Mexico, and the use of halal meat in Islamic countries. However, it's clear that McDonald's uses an international standard and only slightly adapts to it's local context (see below - For Globalization: Limited Locality). The debate about how much the global is influencing the local, and vice versa, is ongoing.
"a term invented in order to emphasise that the globalization of a product is more likely to succeed when the product or service is adapted to the specific locality or culture in which it is marketed".
A simpler definition might be:
"The adaptation of a globalized product or process to local conditions."
McDonald's is often given as an example of a TNC that recognises the value of 'glocal' - through its British-only beef in the UK, no-beef burgers in India, spicier burgers in Mexico, and the use of halal meat in Islamic countries. However, it's clear that McDonald's uses an international standard and only slightly adapts to it's local context (see below - For Globalization: Limited Locality). The debate about how much the global is influencing the local, and vice versa, is ongoing.
Picture source: http://www.coca-colacompany.com/coca-cola-unbottled/is-your-name-on-a-coke-bottle-find-out-here
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The term glocalization is extended to also refer to global products that have been made more 'local' through marketing. For example, in North America, Coca Cola is associated with family, security, Christmas and the American Dream. In Asia, where the economy is in rapid development, Coca Cola uses eye-catching campaigns such as the 'Share a Coke' campaign where names appeared on bottles and cans of the drink. The promotion was a huge hit and was then extended into other markets, including the US.
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The debate can be seen through a wider lens by discussing three views - hyperglobalist, sceptic, and transformationalist. These are discussed here.
for glocalization: the benefits of local - civil society and slow food
The concept of 'local' is ill-defined, but fundamentally it requires that the production of resources occurs in a location that is physically near to the point of consumption. This generally operates within nation states, and often at a regional level - that is, a provincial level in most countries.
Slow Food is a civil society movement that originated in Italy in 1986. The movement was born from a protest against a McDonald's at one of Rome's most famous historical tourist attractions. The movement identified that local producers were losing out, and that the ability of consumers to buy locally grown, seasonal, traditional, climatically appropriate, and high quality food was being lost. It's mission is to preserve traditional and regional cuisine and encourages farming of plants, seeds and livestock characteristic of the local ecosystem. Today it has thousands of members in over 160 countries.
It can be seen that the slow food movement is therefore global, but that the adoption of slow food differs in each location. |
The benefits of slow food
The following information is taken from the University of Michigan's webpage on the benefits of eating locally grown food.
The following information is taken from the University of Michigan's webpage on the benefits of eating locally grown food.
- Locally grown food is full of flavor. When grown locally, the crops are picked at their peak of ripeness versus being harvested early in order to be shipped and distributed to your local retail store. Many times produce at local markets has been picked within 24 hours of your purchase.
- Eating local food is eating seasonally. Even though we wish strawberries were grown year round in Michigan, the best time to eat them is when they can be purchased directly from a local grower. They are full of flavor and taste better than the ones available in the winter that have traveled thousands of miles and picked before they were ripe.
- Local food has more nutrients. Local food has a shorter time between harvest and your table, and it is less likely that the nutrient value has decreased. Food imported from far-away states and countries is often older, has traveled and sits in distribution centers before it gets to your store.
- Local food supports the local economy. The money that is spent with local farmers and growers all stays close to home and is reinvested with businesses and services in your community.
- Local food benefits the environment. By purchasing locally grown foods you help maintain farmland and green and/or open space in your community.
- Local foods promote a safer food supply. The more steps there are between you and your food’s source the more chances there are for contamination. Food grown in distant locations has the potential for food safety issues at harvesting, washing, shipping and distribution.
- Local growers can tell you how the food was grown. You can ask what practices they use to raise and harvest the crops. When you know where your food comes from and who grew it, you know a lot more about that food.
Case study: Local agricultural food production in Cuba
Cuba's historical isolation from the USA and much of the western global economy resulted in a potential food crisis. The result is that there are many gardens in Havana and across Cuba which grow food for the local population in a sustainable way.
A 'huerto' is a small urban garden producing food for locals. An example is the Vievero Organoponico in Alamar, a suburb of Havanna. It is included in the video below. It is a clip from the BBC's "Around the World in 80 Gardens" (2008).
A 'huerto' is a small urban garden producing food for locals. An example is the Vievero Organoponico in Alamar, a suburb of Havanna. It is included in the video below. It is a clip from the BBC's "Around the World in 80 Gardens" (2008).
The video largely suggests that there are major benefits to growing food locally. There are, however, problems. The following information is selected from the World Food Programme (note: it is highly selective so for the full information visit the site).
• Sustainability of food-based safety nets
Food-based social safety nets include a monthly food basket for the entire population, school feeding programmes, and mother-and-child health care programmes.
Although effective, these programmes mostly rely on food imports and strain the national budget. The policy review announced in 2011 aims to streamline them, emphasizing the most vulnerable groups along “no one left behind” lines.
• Addressing anaemia and other micronutrient deficiencies
With few vegetables consumed and low food diversity, the diet of the average Cuban family is poor in micronutrients.
At the end of 2015, the Food Security and Nutrition Monitoring System (SISVAN) indicated a persistently high prevalence of anaemia in the five eastern provinces: 31.6 percent among children aged 23 months, and up to 39.6 percent among children aged six months.
• Low agricultural productivity
Farming technology is obsolete, making for low productivity and high post-harvest losses. There is also limited technical capacity and poor access to inputs and credit, particularly in the eastern provinces. Investment in new technology and enhanced coordination along value chains is essential for a more sustainable agricultural model that meets local needs.
• Natural disasters
Over the last eight years, climate hazards have caused more than USD 20 billion in losses, damaging the economy in general and food security in particular.
Between 2014 and 2015, a severe drought caused water shortages for 1.2 million people. Food supplies dwindled; prices rose. Since the beginning of 2016, by contrast, food production has been hit by heavy rains blamed on El Niño.
• Sustainability of food-based safety nets
Food-based social safety nets include a monthly food basket for the entire population, school feeding programmes, and mother-and-child health care programmes.
Although effective, these programmes mostly rely on food imports and strain the national budget. The policy review announced in 2011 aims to streamline them, emphasizing the most vulnerable groups along “no one left behind” lines.
• Addressing anaemia and other micronutrient deficiencies
With few vegetables consumed and low food diversity, the diet of the average Cuban family is poor in micronutrients.
At the end of 2015, the Food Security and Nutrition Monitoring System (SISVAN) indicated a persistently high prevalence of anaemia in the five eastern provinces: 31.6 percent among children aged 23 months, and up to 39.6 percent among children aged six months.
• Low agricultural productivity
Farming technology is obsolete, making for low productivity and high post-harvest losses. There is also limited technical capacity and poor access to inputs and credit, particularly in the eastern provinces. Investment in new technology and enhanced coordination along value chains is essential for a more sustainable agricultural model that meets local needs.
• Natural disasters
Over the last eight years, climate hazards have caused more than USD 20 billion in losses, damaging the economy in general and food security in particular.
Between 2014 and 2015, a severe drought caused water shortages for 1.2 million people. Food supplies dwindled; prices rose. Since the beginning of 2016, by contrast, food production has been hit by heavy rains blamed on El Niño.
for globalization: the benefits of global
Using globalised products does have some advantages over the negative side of glocalised production.
Glocalised production can be limited because:
- Activities are spread around the world, reducing the impact of local disasters such as crop failure
- Each location specialises in its most appropriate activity (comparative advantage)
- Manufacturing and other companies are able to produce more, and more cheaply
- Uniform standards mean that some problems with locally produced goods are less likely to occur
- Seasonality is no longer a limitation to consumers
- Allows much larger production, so demand can be quickly fulfilled
Glocalised production can be limited because:
- Costs are generally higher
- Seasonality limits supply
- Quality might be higher (for non-standardised products) but this often increases the price
for globalization: limited locality
In reality, most products are 'glocalised' to some extent. The variation in the availability of special editions of Kit Kat bars is a good example, along with the variation in coca cola bottles seen earlier.
Case study: Tesco, the UK's largest supermarket, goes to China
Tesco is the UK's largest supermarket.
Initially, the supermarket was a popular addition to the Chinese retail environment, as can be seen in the video (below right). However, as the video (below left) shows, the romance was short lived. This short article suggests that Tesco did not adequately make efforts to understand the Chinese culture. This longer article makes clear that the importance of localisation was not appreciated.
This detailed article gives a good comparison between Tesco's approach and other global outfits. |
Picture source: http://www.tescoplc.com/index.asp?pageid=290
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The company's website states:
"On 29 May 2014 we completed the formation of a joint venture with China Resources Enterprise, Limited to create the leading multi-format retailer in China.
"China is a strategically important growth market for Tesco. The joint venture combines our best in class retail practices, international sourcing and multi-channel capabilities with CRE’s strong local knowledge and brand, to create a business which is the country's largest food retailer. We will bring together our stores, located on the Eastern Seaboard, into the new venture."
Source: http://www.tescoplc.com/index.asp?pageid=290
"On 29 May 2014 we completed the formation of a joint venture with China Resources Enterprise, Limited to create the leading multi-format retailer in China.
"China is a strategically important growth market for Tesco. The joint venture combines our best in class retail practices, international sourcing and multi-channel capabilities with CRE’s strong local knowledge and brand, to create a business which is the country's largest food retailer. We will bring together our stores, located on the Eastern Seaboard, into the new venture."
Source: http://www.tescoplc.com/index.asp?pageid=290