Prof. Dr. Wolfgang Georg Arlt
International Tourism Management

 

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ITM Master 1. Sem.
8006: International Management I
           

 

Political Dimension of  Globalisation

 

From Münster to Brussels to Beijing

 

Empires were based on dynasties, trading empires on economics rather than politics (Hanse).

 

Nation states centralize power and establish (by force) an internationally established system of sovereign legal entities.

 

National governments lose power to TNCs, but international political institutions gain power

 

The globalization of world politics

• Over the last three decades the sheer scale and scope of global interconnectedness has become increasingly evident in every sphere from the economic to the cultural. Sceptics do not regard this as evidence of globalization if that term means something more than simply international independence, i.e. linkages between countries. The key issue becomes what we understand by the term 'globalization'.

• Globalization is evident in the growing extensity, intensity, velocity and deepening impact of worldwide interconnectedness.

• Globalization denotes a shift in the scale of social organization, the emergence of the world as a shared social space, the relative de-territorialization of social, economic and political activity, and the relative de-nationalization of power.

• Globalization can be conceptualized as fundamental shift or transformation in the spatial scale of human social organization that links distant communities and expands the reach of power relations across regions and continents.

• Globalization is to be distinguished from internationalization and regionalization.

• The contemporary phase of globalization has proved more robust in the aftermath of September 11th and the 2008/2009 global economic crisis than the sceptics recognize.

• Contemporary globalization is a multi-dimensional, uneven, and asymmetrical process.

• Contemporary globalization is best described as thick form of globalization or globalism.

• Globalization is transforming but not burying the Westphalian ideal of sovereign statehood.

• Globalization requires a conceptual shift in our thinking about world politics from a primarily geopolitical perspective to the perspective of globalized or global politics – the politics of worldwide social relations.

• Global politics is more accurately described as distorted global politics because it is afflicted by significant power asymmetries.

• Globalization creates a double democratic deficit in that it places limits on democracy within states and new mechanisms of global governance which lack democratic credentials.

 

 

Transnational actors and international organizations in global politics

• The concept of the 'state' has three very different meanings: a legal person, a political community, and a government.

• The countries and governments around the world may be equal in law, but have few political similarities. Many governments control less resources than many transnational actors.

• It cannot be assumed that all country-based political systems are more coherent than global systems, particularly as national loyalties do not match country boundaries.

• By abandoning the language of 'states' and 'non state' actors, we can admit the possibility of theorizing about many types of actors in global politics. By distinguishing government from society and nation from country, we can ask whether private groups, companies, and national minorities in each country engage in transnational relations.

• The ability of Transnational Companies (TNCs) to change transfer prices means that they can evade taxation or government controls on their international financial transactions.

• The ability of TNCs to use triangulation means individual governments cannot control their country's international trade.

• The ability of TNCs to move production from one country to another means individual governments are constrained in regulating and taxing companies.

• The structure of authority over TNCs generates the potential for intense conflict between governments, when the legal authority of one government has extraterritorial impact on the sovereignty of another government.

• In some areas of economic policy, governments have lost sovereignty and regulation now has to be exercised at the global level rather than by governments acting independently.

• Effective action against transnational criminals by individual governments is difficult for the same reasons as control of TNCs is difficult.

• Groups using violence to achieve political goals generally do not achieve legitimacy, but sometimes  they may be recognized as national liberation movements and take part in diplomacy.

• The transnational activities of criminals and guerrillas shift problems of the domestic policy of countries into the realm of global politics.

• Terrorism may be particular to individual countries, have transnational aspects or be carried out by groups in a transnational network, but it is not a single political force.

• Most transnational actors can expect to gain recognition as NGOs by the UN, provided they are not individual companies, criminals, or violent groups, and they do not exist solely to oppose an individual government.

• The creation of a global economy leads to the globalization of unions, commercial bodies, the professions, and scientists in international NGOs, which participate in the relevant international regimes.

• Governments can no longer control the flow of information across the borders of their country.

• Improved communications make it more likely that NGOs will operate transnationally and make it very simple and cheap for them to do so.

• NGOs from each country may combine in four ways, as international NGOs, as advocacy networks, as caucuses, and as governance networks.

• International organizations are structures for political communication. They are systems that constrain the behaviour of their members.

• Governments form intergovernmental organizations and transnational actors form international non-governmental organizations. In addition governments and transnational actors accord each other equal status by jointly creating hybrid international NGOs.

• A simple concept of power will not explain outcomes. Military and economic resources are not the only capabilities: communication facilities, information, authority, and status are also important political assets. In addition, an ability to use the interaction processes to mobilize support will contribute to influence over policy.

• TNCs gain influence through the control of economic resources. NGOs gain influence through possessing information, gaining high status and communicating effectively. TNCs and NGOs have been the main source of economic and political change in global politics.

 

 

Global Political Decision-Making: Example United Nations

• The United Nations was established to preserve peace between states after the Second World War.

• In a number of ways, the institutions of the United Nations reflected lessons learned from its predecessor, the League of Nations.

• The institutions and mechanisms of the United Nations reflect both the demands of Great Power politics (ie. Security Council veto) and universalism.

• After the cold war, it became more difficult for states and diplomats to accept that what happened within states was of no concern to outsiders.

• It became more common for governments to see active membership in the United Nations as serving their national interest as well as being morally right.

• By the mid-1990s the UN had become involved in maintaining international peace and security in three main ways: by resisting aggression between states, by attempting to resolve disputes within states (civil wars), and by focusing on conditions within states, including economic, social and political conditions.

• Operations of the United Nations were justified in the traditional way: as a response to a threat to international peace and security.

• Any relaxation of the traditional principle of non-intervention had to be treated very cautiously, and new methods of approval in the UN could be advisable.

• The number of institutions within the UN system that address economic and social issues has significantly increased. Several Programmes and Funds were created in response to Global Conferences.

• Coordination between the various economic and social organisations has been problematic.

• Despite a shortage of funds and coordination problems, the UN has done important work in key economic and social areas.

• In the late 1990s under the leadership of then Secretary-General Kofi Annan, the UN embarked on an overarching reform effort, which however was not very successful until now and not actively supported by the new Secretary-General Ban Ki-Moon.

 

Example United Nations peacekeeping missions today:

Current Operations

Africa

Americas

Asia and the Pacific

Europe

Middle East

 

Based mainly on: Baylis & Smith: The Globalization of World Politics

 

 

2010: The western political models meets a new rival:

 

THE ECONOMIST

Ethiopia and China

Looking east

Meles Zenawi’s new best pal

The EPRDF won all but two of the 547 parliamentary seats in a general election in May.
So much for its promotion of plurality. Government supporters point to wider ethnic
diversity within the party, with support said to be growing among the Amharas and
Oromos, two ethnic groups. But the security apparatus remains in the hands of Mr
Meles’s Tigrayan minority. Mr Meles has been in power since 1991. Ethiopia has no term
limits, but he says he will step down in 2015.

Mr Meles’s contempt for what he calls the “neoliberalism” of the West is as plain as his
admiration for “generous” and “dependable” China. Chinese Communist Party officials
were feted at a recent EPRDF conference. Hailemariam Desalegn, the new foreign
minister and deputy prime minister, has been conspicuous in urging Ethiopia to follow
China’s model.

Mr Meles argues that the free market has cost Africa decades of development. By siding
with China, this will never happen again. The Europeans and Americans find this galling,
since they continue to pay for many of Ethiopia’s hospitals and schools, as well as handing
out free food. But trade between Ethiopia and China is increasingly what matters. It was
worth $800m in the first six months of this year, up by 27% on last year.

China has invested $2.5 billion in Ethiopia, mostly in infrastructure. Mr Meles wants China
to take a lead in building a new railway network. He has also promised to use Chinese
loans to build a controversial dam on the Omo River in the south. And China has decided
to lend Ethiopia $234m so that nine vessels are built in Chinese shipyards for the
Ethiopian Shipping Line, which operates out of Djibouti.

Mr Meles’s ambitious plans to pep up his country of 85m people do not include a stock
exchange. Enterprise, skills, and connectivity are years behind neighbouring Kenya. But
Mr Meles is shrewd. He hopes Ethiopia’s massive trade deficit will narrow as his country’s
new factories export goods under preferential trade terms. Last year exports to China
rose by 140%.

 

 

 

 

 

 

 

 

Case study: Tourism

 

 

 

Global tourism has strongly developed, outperforming the growth of global economy.

 

Tourism is an agent of change, but also a recipient of change in the economic and political system of globalisation.

 

 

 

Please form three groups and discuss in which ways tourism development is

- on the one hand a cause or a catalyst of globalisation and

- on the other hand a recipient of globalisation

Please give some examples for both "sides of the coin" after 30 min.

 

 

 

 

 

 

 

 

 
 

 

  Contact: Prof. Dr. Wolfgang Georg Arlt FRGS
Bachelor and Master Program International Tourism Management
arlt@fh-westkueste.de, Office 2.018, Tel. 0481 8555-513
Consultation hours (during lecture period): Monday 16.00 - 17.00 h

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