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Globalisation (Response to tensions from some economic impacts (Economic…

- - - - Wealth & financial status dependent upon different economic activities such as trade and investments :arrow_right: when a country experiences economic growth, it's able to earn greater tax revenue with new jobs generated for its people overtime
        Trade: Buying and selling goods and services
        Investment: The action of putting money into a business/financial product with the expectation of profit.
        Tax revenue: Income generated by a country
      - Trading + Business expansion :arrow_right: increased tax revenue and empl. opp.s :arrow_right: increase in trade and business allows for increased consumption of goods and services :arrow_right: coutries leverage on this by taking part in the economy
      - E.g.
        Singapore
        1960s - Economic Development Board [EDB] aided establishment of Jurong Industrial Estate :arrow_right: initiated Singaporean industrialisation with factories producing wood, textiles and garments [GDP very low]
        1960s to 2000s - Industries :arrow_right: Employment opportunities :arrow_right: higher tax revenue :arrow_right: Economic growth
        2000s - EDB set up initiatives to stimulate entrepreneurship & expand R&D activities. Focussed on digital media industry and energy industry [GDP VERY HIGH]
      - Singapore has a small economy, thus it invests in other countries to remain relevant and competitive and encourages FDIs (investment in a local company by a foreign one) and FTAs (treaties establishing free trade w/o tariffs and hindrances.
        E.g. FDI-$800b, 2013; about 13% more than 2012
        FTA-USSFTA (eltrnics, info & tech, chemicals, petrochem, textiles)
    - - May affect other countries when one country faces a downturn.
        A country may withdraw its investments or reduce its demand for goods and services from other countries.
      - E.g.
        2008 Global Financial Crisis
        Slow down in US economic activity in years leading up to 2008 :arrow_right: fall of stock markets, decline in demand for goods & services and decrease in industrial production :arrow_right: Inability to repay bank loans leading to crisis involving financial institutions :arrow_right: unpaid loans and confiscation of property (cannot sell as no demand since people had more controlled spending) :arrow_right: Europe impacted as economic interconnections between them meant many were based on US investments :arrow_right: Govt. lend money to banks to prevent banks from going bankrupt
        Stock market: A market where financial products such as shares and bonds are traded
      - SG's response:
        Workers who lost jobs given help finding new ones and doing skills upgrading [Sgeans]
        New businesses and smaller companies granted tax exemptions [Businesses]
  - - - e.g. Jumad Husani, 39, graduating from NTU was headhunted to work in Dubai 4 years ago for triple his Singapore pay, and has thus emigrated there :arrow_right: less strssful, more leisure time, greater income
      - Globln facilitated mobility :arrow_right: easier for individuals to find overseas, encouraged by better job prospects and higher income
    - - E.g.
        Uniqlo moved overseas from Shenzhen, China, where initially there were low labour costs, which rose hence Uniqlo moved to Vietnam, where labour costs were half that of China's
      - Due to worker mobility, so adversely affected :arrow_right: due to increased competition :arrow_right: contend lower pay or risk losing job since companies get access to foreign markets having lower labour costs
        OR
        Jobs also lost when companies move elsewhere
        OR
        lose jobs, lowly skilled, lowly paid
        OR
        Highly skilled workers replaced by equally skilled workers who command lower wages
      - Solutions
        
        MOM came up with Continuing Education and Training Masterplan (CETM) to support sgeans to become more skilled and employable
        
        For older low-wage workers:
        Workfare Training Support Scheme (WTSS)
        upgrade skills, remain employable, higher pay with better jobs
        
        Enhanced Grant
        
        Workfare- Skill Up
        
        Training Commitment Award
  - - - E.g.
        American companies dominating the global companies because they have been able to leverage on opportunities due to globalisation
        PepsiCo.
      - Set up operations abroad :arrow_right: lower labour costs, cheaper resources & larger market along with companies that assemble in different locations where it is cheaper
        To support SG companies, SG govt offers loans, tax incentives and grants :arrow_right: companies take advantage of opportunities from globalisation
    - - Increased competition with other companies :arrow_right: trade-off of globalisation :arrow_right: need to constantly upgrade, reinvent and rethink strategies to stay relevant or risk losing market share :arrow_right: constantly introducing new features into products/services :arrow_right: by anticipating changes to ensure product/service relevance
      - E.g.
        Xiaomi, a smartphone maker, entered the market in 2011 with a nominal market share of 0.1%, and increased by 44 times in 4 years, its success due to its ability to meet its customers requirements by innovating.
      - Small and Medium Enterprises (SMEs) in Singapore
        
        50% SG economic output
        70% SG employment
        
        Hard for them to compete against MNCs selling similar products/services :arrow_right: challenges such as small domestic market, shortage of expertise & labour, insufficient profits & competition from bigger companies
        
        Solution (NOSE^2D :smiley:)
        Some incentives offered by Singapore govt.
        
        Overseas venture
        
        Air tickets etc. provided by EDB & GIC (Government Investment Corporation); To expand market share and to establish local brand-> to provide job opportunities for Singaporeans; expertise of companies & govt, cooperation beneficial to involved countries & promotes development in the region
        
        E.g. BreadTalk, Charles & Keith
        
        Support SGeans
        
        Support Singaporeans during Economic Downturn; To help companies and individuals to overcome the challenges of globalisation; tax exemptions, lowered interest rates, rental rebates for low income sgeans, retraining jobless age and w/WTSS & CETM (all esp for 2008)
        
        Nurture SMEs
        
        To ensure SMEs to be relevant and competitive; Opportunities to develop
        
        Provide financial assistance
        
        E.g. Govt grants tax exemption for first $100000 for new companies for up to 3 years
        
        Equip workforce
        
        CETM (Continuing Education and Training Masterplan), SkillsFuture credit & workforce initiative; To equip Singaporeans with skills so that they can stay relevant and competitive
        
        Economic cooperation
        
        FDIs & FTAs (e.g. USSFTA); To promote trade and job opportunities for Singaporeans
        
        Diversify economy
        
        To ensure all the industries stay relevant in the changing world of globalisation
        different revenue streams & provides nations with the ability for sustainable growth because there is not a reliance on one particular type of revenue. This diversification provides nations with the security and reliability that they need so that if one economic revenue stream should fail, the nation knows that they have several other options for revenue.
- - - - Hackers/Cyber criminals want to gain access to info abt countries, companies and people :arrow_right: cause harm by breaking into networks using malicious software to infect :arrow_right: gain secret info about a country, company, individual or their dealings :arrow_right: could extort lots of money, create widespread crisis & vulnerability
        E.g Heartbleed bug (2/3 websites had compromised security
    - - National Cyber Security Masterplan 2018, under Cyber Security Agency (CSA)
        
        Increasing efforts to promote the adoption of cyber security measures among businesses and individuals
        
        Enhancing the security of cyber infrastructure
        
        Growing Singapore's pool of cybersecurity experts
      - Asia Pacific Computer Emergency Response Team (APCERT)
        
        Maintain a network of computer security experts among member countries, improving region's competency in responding to threats
      - ASEAN CERT Incident Drill [ACID] (Association of South East Asian Nations Computer Emergency Response Team Incident Drill)
        
        Strengthen cybersecurity-related cooperation between ASEAN members and other countries
      - Individual (Protecting self online)
        
        Create strong passwords that are used effectively and changed regularly
        
        Be smart about how and where you surf
        
        Ensure computer defended against tech threats
        
        Never be complacent about maintaining online privacy
  - - - Social: Loss of lives and injuries (9/11 Attacks: 3000 deaths, 80mins, 19 terrorists)
        Political: Invasive legislation [No-Fly List]-> leads to tradeoffs
        Economic: Tourism and investor's confidence
        Intensified due to tech advances of globalisation (improved speed of communication, travel, trade) -> attacks easier to coordinate
        2003 - 2005 >4300 terrorist-related websites
      - Organised terror and lone-wolf (self-radicalised ideologues)
        Lone wolves are radicalised by media from organised groups, to join their cause
    - - Preventive
        
        Vital in reducing country's vulnerability; (deter attacks and prevent fatalities)
        
        Effective border controls
        Immigration and Checkpoints Authority (ICA) fortifies our borders (biometric technology (people) and radiographic image analysis (vehicles)) -> monitoring and regulating movement
        No-Fly List & The Passenger Protect Program
        Collab with other countries (as transnational)
        United Nations Security Council Resolution -> sharing terrorism intelligence and coop with govts to counter them
      - Protective
        
        Counter transnational terrorism and increase vigilance
        
        Enhanced surveillance
        Jurong island made secure by SAF, SPF & Police Coast Guard. More CCTV cameras, more patrols. (US) Full body scanners.
        Indefinite detainment
        SG's Internal Security Act (ISA) - people suspected of terrorism, racial and religious extremism, subversion and espionage and other threats are detained - detain without trial
        US's Patriot Act- Easier to apprehend people suspected of terrorism and raids their homes
      - Responsive
        
        Deal with damages or harm brought about by such acts
        
        Emergency Preparedness Exercises
        Exercise Heartbeat: Home Team agencies and community works together to be prepared for threats
        [Larger Scale] Exercise Northstar
        Whole govt works with people to emphasise vigilance, raise awareness and be prepared
        Collab with other countries on CBRE
        SG's DSO National Laboratories works with counterparts like the US, France and Sweden on chemical, biological, radiological and explosive (CBRE) related R&D to handle their dangers
  - - - In a globalised world, the challenges extend beyond a country's borders.
- - - - Facilitates the communication and exchange of information around the world
      - E.g.
        Mobile Phones
        The first mobile phone by Motorola [1973] :arrow_right: Apple iPhone [2007]
    - - Facilitates the process through which people's activities and ideas become interconnected
      - E.g.
        Air Transportation
        Wright 1903 Flyer (1 passenger) [1903] :arrow_right: Airbus A380 largest commercial airliner (853 passengers) [2005]
    - - Increase the economic interconnections between people and goods which lead to interdependent relationships & facilitates the communication and exchange of information across the world
      - E.g.
        37000 [1990s] :arrow_right: 77000 [2000] :arrow_right: 88000 [2014]
        Starbucks Supply Chain
        Outsourced from 27 countries :arrow_right: Transported to roasting facilities in USA and India :arrow_right: Transported to 21000 stores in >65 countries :arrow_right: millions enjoy/day
- - - - Process by which local cultures are changed by foreign cultures to become more and more similar with aspects of foreign cultures. It also leads to the foreign culture becoming more dominant.
        
        Sometimes rejected; perceived threat as it may undermine cultural, moral and religious values
        
        E.g.
        China pulled out 2D Avatar from theaters, 2010, to reduce competition against local films
    - - Process by which local and foreign cultures are blended, resulting in unique combinations containing aspects of both cultures to produce new cultural products.
        
        New cultural products not containing all aspects of their origin, leading to changes of local cultures' nature
        
        E.g. Salsa is derived from Afro-Carribean and North-American jazz's music
    - - Areas:
        Entertainment
        Food
        Language
        Music
        Tensions & Trade-offs
        Etc.
        
        Entertainment
        
        American influence
        
        Hybridisation:
        Promotes individuality and independence; Asian middle class women watch American soap operas-> possibility to love marry or live independently
        Homogenisation:
        Generate nearly 30% of global entertainment revenue; >150 countries; seen in millions of homes
        France voiced concerns; put French entertainment mandate at atleast 40% of tv programmes
        
        Korean influence
        
        Hybridisation:
        Certain entertainment products are hybridised
        Homogenisation:
        Popular music, food, fashion, language, computer games, tourism known collectively as the Korean Wave, Hallyu
        Facing resistance due to perception as an "invasion" of Korean culture & politics (tensions with South Korea)
        E.g.
        K-pop groups like Shinee & Girls Generation
        August 2011, thousands of protestors rallying against Fuji Television about the Korean Wave
        
        Food
        
        Offers greater variety of food options and has provided locals with easier access to foreign flavours without needing to travel.
        However, there is some resistance as perceived threat to local cultures
        
        Hybridisation: Local cultures can maintain their influences when hybridisation takes place;foreign fast food menus are modified by local tastes. Both foreign and local influences are incorporated into the food.
        E.g.
        Laksa Pesto Linguini by Chef Willin Low
        Burger King's Beef Rendang Burger
        
        Homogenisation: Fast food outlets criticised as promoting the homogenisation of food landscapes in the world, reducing cultural diversity. These can lead to resistances & protests as they impose a foreign culture onto locals.
        E.g.
        Italy, 1986. Italians, with bowls of pasta in their hands, protested against McDonald's plans to build the first fast food restaurant in Italy, against what they callled "Americanisation" of Italian culture.