Globalization refers to the increasing interconnectedness of world markets due to rising international trade and cultural exchange. It involves the movement of investment funds, businesses, and cultural aspects beyond domestic and national markets. Some impacts of globalization include more efficient markets, increased competition, stabilized security, and greater wealth equality worldwide. While globalization offers benefits like greater market access, it also poses challenges such as rising income inequality and environmental damage. E-commerce, defined as business transactions conducted electronically, has grown due to globalization and allows for increased international trade opportunities.

1. Eileen Rose C. Quilon

2. WHAT IS GLOBALIZATION?
 It is the tendency of investment funds and
businesses to move beyond domestic and national
markets to other markets around the globe, thereby
increasing the interconnection of the world.
 Has the effect of markedly increasing international
trade and cultural exchange.

3. ACTIVITIES INVOLVED
IN GLOBALIZATION

4. IMPACTS OF GLOBALIZATION
ON WORLD ECONOMY
 More efficient marker – the sign of an efficient market is where there is an
equilibrium between what buyers are willing to pay for a good or service and
what sellers are willing to sell for a good or service.
 Increased competition – with more competitors to fight over market share,
each company has to constantly look to improve their goods or services or
create more value for their customers.
 Stabilized security – when you economy depends largely on another country’s
economy, it’s hard to imagine either one of the countries attacking the other. In
a weird sort of way, globalization helped heighten world security.
 More wealth equality throughout the world – globalization may have stopped
you from buying another flat screen TV, but it also helped countless people in
developing countries put food on their table for their families.

5. NEGATIVE AND POSITIVE
EFFECTS OF GLOBALIZATION
Negative Positive
The growth of international trade is exacerbating income
income inequalities, both between and within industrialized
industrialized and less nations.
It creates greater opportunities for forms in less
industrialized countries to tap into more and larger markets
markets around the world.
Global commerce is increasingly dominated by
transnational corporations which seek to maximize profits
profits without regard for the development needs of
individual countries or the local populations.
This can lead to more access to capital flows, technology,
technology, human capital, cheaper imports and larger
larger export markets.
Competitions among developing countries to attract foreign
foreign investment leads to a “race to the bottom” in which
which countries dangerously lower environmental
standards.
It allows businesses in less industrialized countries to
to become part of international production networks and
and supply chains that are the main conduits of trade.

6. EXAMPLES OF GLOBALIZATION
Globalization in Economics
• Multinational corporations operate
on a global scale, with satellite
offices and branches in numerous
locations.
• Outsourcing can ass to the
economic development of a
struggling country, bringing much
needed jobs.
• Some automobiles use parts from
other countries, as in a car being
assembled in the US with the parts
coming from Japan, Korea, or
Germany.
Globalization in the Blending Cultures
• Colonization all over the world was
a major cause of globalization.
• Improved travel facilitated the
growth of globalization, as people
moved for a better job, a better life,
or fled from danger or oppression.
• Satellite television allows shows
from one country to be broadcast
in many others, adding to cultural
globalization.
Globalization in Technology
• The Internet is a major contributor
to globalization, not only
technologically but in other areas
as well, like cultural exchanges of
the arts.
• Cell phones connect people all over
the world like never before. Around
60% of all people in the world use
cell phones.
• Military cooperation between
countries adds to globalization,
such as the Strategic Arms
Reduction Treaty or anti-terrorism
agreements.

7. WHAT IS E-COMMERCE?
 A term for any type of business or commercial
transaction that involves the transfer of information
across the Internet.
 It covers a range of different types of businesses,
from consumer based retail sites, through auction or
music sites, to business exchanges trading goods
and services between corporations.

8. CLASSIFICATION OF E-COMMERCE BY
THE NATURE OF THE TRANSACTIONS
 Business-to-Business (B2B) – Most E-
Commerce is currently implemented B2B
type. E-Commerce transaction type
includes iOS described earlier as well as
inter-organizational transactions
conducted in the electronic market.
 Business-to-Consumer (B2C) – This is a
retail transaction with individual buyers.
 Consumer-to-Consumer (C2C) – A
consumer sells directly to another
consumer.
 Consumer-to-Business (C2B) – Included in this
category are individuals who seek sellers and
individuals who sell products or services to the
organization interact with them and agree on a
transaction.
 Nonbusiness E-Commerce – Nonbusiness
organizations such as academic institutions,
nonprofit organizations, religious organizations,
social organizations, and governmental agencies
are using various types of E-Commerce to reduce
costs or to improve operations and services
public.
 Intrabusiness E-Commerce – Are included in this
category are all the internal activities of the
organization, the bias is run on the Internet which
involve the exchange of goods, services or

9. BENEFITS OF E-COMMERCE
 The primary benefits of e-commerce revolve around
the fact that it eliminates limitations of time and
geographical distance. In the process, e-commerce
usually streamlines operations and lowers costs

10. SPECIALIZED FORMS OF E-COMMERCE
 M-Commerce(Mobile Commerce) – the
rapid penetration of mobile devices with
Internet has opened new avenues of e-
commerce for retailers.
 F-Commerce(Facebook Commerce) –
the immense popularity of Facebook
provides a captive audience to transact
business.

11. EXAMPLES OF E-COMMERCE
 Online Shopping
 Electronic Payments
 Online Auctions
 Internet Banking
 Online Ticketing

12. E-COMMERCE TRENDS FOR
ONLINE GROWTH IN 2017
 Digital Payment Types
 The Rise of Fast Delivery
 E-Commerce Personalization, Big Data and AI
 Loyalty Schemes
 Even More Omni-Channel
 Mobile Commerce
 Introducing Chatbots

13. EFFECTS OF GLOBALIZATION
TO E-COMMERCE
 Increased high standard of living - Education  Increased high standard of living - Economical
 Increased high standard of living -
Ecological

14. CONT…
 Increased high standard of living -
Technological
 Increased high standard of living - Political
 Increased high standard of living - Cultural

15. SYNTHESIS
 Stated by Manshady et. al., globalization and technological change have
created a new global economy “powered by technology, fueled by
information and driven by knowledge.”
 The development of globalization builds new challenges and prospects in
many areas of the industry. It has various constructive, inventive, and
dynamic phases. And it has been one of the most prominent occurrence of
the 20th century that molded the world economy vividly.
 Since that globalization has its own special developments, these days in the
competition field, those companies and countries are successful which by
the use of the information technology and mainly E-Commerce, have
improved their competence, dynamism, and speed in the process of export
and by lessening the processes of work, make it straightforward and
profitable.

16. REFERENCES
 Investopedia. “Globalization”. 2017. Retrieved from http://www.investopedia.com/terms/d/development-economics.asp
 Boundless. “Negative and Positive Effects of Globalization for Developing Country Business”. 2016. Retrieved from
https://www.boundless.com/users/235420/textbooks/business-fundamentals/international-business-for-the-
entrepreneur-14/globalization-opportunities-and-threats-to-developing-country-business-55/negative-and-positive-
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 TheCollegian. “4 Positive Impacts of Globalization to World Economy”. Retrieved from
http://www.kstatecollegian.com/2013/05/07/4-positive-impacts-of-globalization-on-world-economy/
 Network Solutions. What is E-Commerce. 2014. Retrieved from http://www.networksolutions.com/education/what-is-
ecommerce/
 TheBalance. “Let’s Ask the Basic Question: What is Ecommerce?”. Retrieved from https://www.thebalance.com/let-s-
ask-the-basic-question-what-is-ecommerce-1141599
 E-Commerce: Advertising Strategy of World Companies. “Classification of E-Commerce”. 2013. Retrieved from
http://jackecommerce.blogspot.com/2014/09/classification-of-e-commerce.html
 YouDictionary. “Examples of Globalization”. 2017. Retrieved from http://examples.yourdictionary.com/examples-of-
globalization.html
 SmartInsights. “7 Ecommerce Trends for Online Growth in 2017”. 2017. Retrieved from
http://www.smartinsights.com/ecommerce/ecommerce-strategy/7-ecommerce-trends-online-growth-2017-paid-
marketplace/

17. THANK YOU.