PAD3800 RVC 1198 Module 13 Meta-Themes Paper MS

PAD3800 RVC 1198 Module 13  Meta-Themes Paper MS

PAD3800 RVC 1198 Module 13 Meta-Themes Paper MS

Globalization effects

Globalization is a topic that is prevalent in society; this is due to the world becoming more globalized from advancements, specifically in technology and transportation (Abrahamson, 2004, p. 71-72). Through globalization some cities have gained an unprecedented amount of wealth, power, or both and have become known as global cities. The paper will demonstrate that there are unintentional adverse or beneficial effects of globalization. Thus strong leadership is important to manage a city, an international company, or any other entity. 

Labor and Capital

“New York banks, especially BNY, were able to obtain most Russian business… The BNY money laundering scandal was a criminal corruption of the international banking system and a deviant exception to the way the system normally operates” (Abrahamson, 2004, p. 77-78). The economy of the United States, especially, New York City is good with several reputable and international banks. New York City is considered a global city that manages a lot money and is very influential. However, as seen with the BNY scandal it is important as a manager, public administrator, or leader of a city that policies are set in place to protect the city and the companies that work internationally. While being an advisor or an intermediary for other business, banks and other financial institutions can unintentionally help perpetuate illegal activities. Thus it is important to create policies that will help organizations within the city minimize adverse consequences for human beings in general.

VF is a global brand. In its goal to maximize profit, VF became global not only is its products’ distribution, but also in its products’ production. In doing so Pisano and Adams (2009) notes that there are two unintentional effects an increase in competitors and inefficiency as seen by the following:

PAD3800 RVC 1198 Module 13 Meta-Themes Paper MS

Fraser noted that while tariffs and quotas had come down over the past two decades, those barriers had left the industry with a highly fragmented and often illogical supply chain. In recent years, Li & Fung, like other supply chain intermediaries, had begun to integrate forward into their own brands and retail chains (p. 4).

While expansion is good from the business perspective. The various chain supplies can create and overproduction in products, causing a waste of resources. The construction of temporary companies, which need to be built is inefficient and contributes to climate change. It is important for cities to properly manage the construction and development of buildings, especially for commercial uses. 

Bulter and Lees states that “As more and more middle-class people moved into Barnsbury, property prices rose year on year” (2006, p. 473); the trend continues. Now Barnsbury is currently experiencing the phenomena of super-gentrification due to the higher income that people are receiving from international or global companies. The personnel that are receiving higher capital can afford more luxuries and more so isolate themselves from the other echelons, causing a disparity and polarizing views with others within the community such as employees or people in neighboring, but lesser valued areas. Strong leadership is important for the continuous prosperity of the city, for a common meeting ground for the citizens, and to ensure that all citizens are treated equally, regardless of their capital gains. 

The transportation industry plays a major role in globalization. There are some places like Honk Kong that limit car uses through various policies. There are other places like the U.S. that promotes car usage because the automotive industry is important to the economy. However, a side effect is that the transportation industry plays a significant role in gas emission, which affects climate change. In order to make a significant change in any city and for the transportation industry, “Leadership and strong governance structures are essential, so that longer term priorities are matched up with short term gains, and that investment and positive actions can be taken consistently over time” (Banister, 2011, p. 1545). Creating a more efficient public transportation system and more environmentally friendly transport policies will assist decrease greenhouse gas emissions and climate change. 

Inequality

PAD3800 RVC 1198 Module 13 Meta-Themes Paper MS

“The largest transnationals are, in fact, richer (and probably exert more influence in the world) than many moderately well-off nations” (Abrahamson, 2004, p. 81). The fact that globalization has allowed not just cities, but companies hold that much power is daunting. It is gross display of financial inequality due to globalization. It is easy for global companies and cities to exploit or harm others simply because of the amount of power that they have acquired. It is the duty of the government, local or national, to ensure that said entities behave in a legal and responsible manner, both now and in the future. 

Super-gentrification is a phenomena that can occur due to globalization. Some may believe that being global entail moving, but many people with global networks do not need to move to another country or travel a lot. They simply move to an area of a higher tax bracket. According to Butler and Lees, “The growing inequality that is occurring is the result of the very large increases in individual earnings and household income at the top” (2006, p. 477). The major difference in earnings can a rift in the community due to different perspective decreasing the cohesion of a city. Strong leadership will be needed to ensure that the needs of both the haves and have nots are met. 

According to Sivam, “Forty-seven percent of the population lives in the informal housing sector” (2003, p. 135). There are about 13.8 million people in Dehli and counting (Sivam, 2003, p. 135). It is an urban area, but the government cannot maintain the housing for the rapidly growing population due to people seeking employment and family expansions. The government does not provide adequate assistance to the underprivileged, which could be in forms of loans or other assistance. The capital growth of the city has caused many to live in poor and unsanitary habitations. The government needs to take a more active leadership role in this situation and create better housing policies so that housing can be provided more efficiently and there are more competitors for fairer pricing on products.

Dharavi is another area where major inequality can be witnessed due to influx of people searching for work. International companies and foreign investment in cities like Dharavi is what causes people to come looking for a better life. Due the rapid increase in population many people live in the slums; even businesses may be found there. Iyer, Macomber, and Arora say, “Dharavi was the largest slum in Mumbai, and by most estimates, the largest in Asia as well” (2011, p. 2). The middle class is finding it difficult to find better housing as well. The government is trying to ways to redevelop the area through the aid of foreign investments. Through a government plan and through more effective policies slums can be completely removed from Dharavi.

Global Influence and Local Control

PAD3800 RVC 1198 Module 13 Meta-Themes Paper MS

“The district governments have even been authorized to negotiate with foreign investors on the transfer of land use rights  and to offer incentive packages including the alteration of ‘pre-determined land use particulars’ specified in the urban land use plan” (Wu, 2011, p. 517). In order revitalize different areas, China allows foreign investments and changes to a more lenient policy; this is actually a beneficial effect of globalization. While China allows more progress to occur, by loosening their housing and foreign investment policies, they actually still maintain a lot of control. They allow local government to have more control as well so that the areas of development can proceed more fluidly. Additionally foreign investor can find cheaper labor and make more profits on investment properties. China has a strong political leadership making it easier to implement their policies. 

Dharavi is another area that will be redeveloped through foreign investments. According to Iyer, Macomber, and Arora, “The Dharavi Redevelopment Project (DRP) was an ambitious plan to convert the neighborhood of Dharavi into a desirable residential and commercial enclave” (2011, p. 2). The articles discusses how investors are still in the bidding process. However, the government will place restrictions on the areas being developed and how the areas can be developed. The government does provide the investors the ability to earn income through some of the properties being developed. The DRP allows both local and external sources to have a certain amount of autonomy within a particular plan. The economy and government and investor will benefit from the project. Although a negative side effect will be the displacement of some families. Thus the government still needs to find a way to accommodate the displaced. 

Cullinane states that “there are lessons to be learned from the Hong Kong situation, and that it is transport policies that are responsible for the low car-dependency levels” (2003, p. 25). Honk Kong has several policies that limit the desire and ability for inhabitants to buy a car. It also does not have a local car manufacture on site. Hong Kong has different forms of transportation that makes it more appealing that driving a private vehicle. Hong Kong has taken various measures, including creating fees and taxes to limit private vehicles. There is a strong local control and limited external influence so public transport is more in favor. Hong Kong is a model on how to possibly minimize the use of private vehicles for other countries. 

The transportation industry with the increase in climate change is the perfect illustration of the need for stronger government in that aspect. Banister explains that “Sustainable mobility provides a new paradigm within which to investigate the complexity of cities, and to strengthen the links between land use and transport,” which is needs to be implemented in this era (2011, p. 1540). The only way a shift in city construct will occur is through strong governance and leadership. In doing so greenhouse gas emission will decrease. 

Vision

“The arrival of global capital flows has been one of the most important factors redirecting Chinese metropolitan development, particularly in those cities attracting huge concentrations of foreign direct investment (FDI)” (Wu, 2011, p. 512). In order to redevelop and revitalize cities, China creates areas that have certain parameters and uses. It allows China to retain overall control of the area, while still finding funding to develop the area as government envision. While all the areas are not developed as expected, it is still beneficial that the government has a strong presence in the development. 

The Dehli housing system is inefficient and ineffective. It cannot humanely house the growing population of Dehli. Sivam states that “The results of the research suggest that the participation of the public, private and other sectors is seen as essential for efficient housing delivery to take place” (2003, p. 139). The city and nation is providing formal housing for the inhabitant, so they should allow more institutions to be able to provide services to allow housing to go more efficiently. The city needs to envision how to create a fair and egalitarian system for better housing for all. The current system has allowed illegal activities like squatting to occur. Good leadership by the city will aid in creating better formal housing.

Hong Kong has a dense population. If all of the population drive, traffic would be very large. Hong Kong’s vision of the city allows them to realize that focusing on public transport will minimize traffic. Thus “The focus on the provision of quality, affordable public transport in Hong Kong seems to have paid off (Cullinane, 2003, p. 34). Additionally the government makes it more difficult, but not impossible to get cars through difference policies, fees, and more. The side effect is that traffic is not bad, so it may inadvertently cause some people to buy private cars. However, overall it is beneficial to climate change and an exemplary example of how to fix the transport industry for some place. 

PAD3800 RVC 1198 Module 13 Meta-Themes Paper MS

San Francisco and other cities are trying to implement their vision of a greener city. “San Francisco’s plan had been announced a year earlier at a press conference in which the mayors … proclaimed their intention to make the San Francisco Bay Area known as the ‘Electric Vehicle Capital of the World’” (Khuong & Gomez-Ibanez, 2010, p. 1). San Francisco has a vison to help decrease the amount of greenhouse gases being exposed to the environment. However, it has met with delay due to the rate of being able to provide charging areas; this will decrease the timetable of people considering to invest in electric vehicles. A contingency plan should always be made in an arena, but especially in the government. Overall the leadership of the mayors will increase the probability of more people purchasing electric vehicles and making the environment less polluted.

Conclusion

Some may say that globalization is beneficial overall. However, it is important to see both the positive and the negative of globalization. Leaders, politicians, and governments need to be aware of the possible side effects of globalization and have contingency plans in place to address them. It is important to have a holistic vision of each and every aspect of a city to manage not just for now, but for future generations as well. 

References

Abrahamson, M. (2004). Cities in the global economy. New York, NY: Oxford University Press.

Banister, D. (2011). Cities, mobility and climate change. Journal of transport geography, 19, 1538-1546. doi:10.1016/j.jtrangeo.2011.03.009

Butler, T., & Lees, L. (2006). Super-gentrification in Barnsbury, London: globalization and gentrifying global elites at the neighbourhood level. Journal compilation, 31, 467-487. 

Cullinane, S. (2003). Hong Kong’s low car dependence: lessons and prospects. Journal of Transport Geography, 11, 25-35. 

Iyer, L., Macomber, J. & Arora, N. (2011). Dhārāvi: Developing Asia’s largest slum (A). Harvard Business School, 1-26. Retrieved from www.hbsp.harvard.edu/educators

Khuong, Y., & Gomez-Inanez, J. J. (2010). Electric vehicles in cities. Harvard Kennedy School, 1-20. 

Pisano, G., & Adams, P. (2009). VF brands: Global supply chain strategy. Harvard Business School, 1-16. Retrieved from www.hbsp.harvard.edu/educators

Sivam, A. (2003). Housing supply in Delhi. Cities, 20(2), 135–141. doi: 10.1016/S0264-2751(02)00121-X

Wu, J. (2011). Globalization and emerging office and commercial landscapes in Shanghai. Urban Geography, 32(4), 511–530. doi: 10.2747/0272-3638.32.4.511

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