What is the relation between economy and globalization? - Jeong Giyoung

 

1) Summary

Globalization today is shaped by the complex interactions of states, international organizations, and transnational corporations (TNCs). While globalization once took the form of military expansion, it now advances largely through diplomacy, international treaties, and global governance networks. Political globalization has increased the complexity of politics by intertwining global geopolitics, normative cultures, and polycentric networks. States are not disappearing but transforming; borders are not erased but redistributed into everyday spaces through surveillance, identity verification, and mobility controls.

International organizations have grown more influential in regulating global trade, development, and cooperative norms. However, their democratic legitimacy remains contested—decision-making is often dominated by powerful states, while ordinary citizens have little direct influence.

At the same time, TNCs are often misunderstood as “borderless global beings.” In reality, they retain strong institutional and cultural imprints from their home countries, and their expansion is driven not by the desire to govern the world but by access to markets and region-specific assets. Their decision-making styles differ noticeably across countries, and they remain dependent on state authority for market entry. Despite their significant influence, TNCs do not consistently overpower states—power relations shift according to political context.

2) What I Learned

Approaching these topics with the perspective of a future journalist has reshaped how I interpret globalization. Examining the UN’s limitations taught me the importance of looking past official rhetoric and interrogating the structural realities behind global institutions. Although the UN promotes peace and collective action, its ability to intervene is often constrained by the veto power of the Security Council’s permanent members. Revealing this discrepancy between ideals and outcomes is an essential responsibility for journalists covering international affairs.

Studying the geographic clustering of international organizations highlighted how history, symbolism, neutrality, and diplomatic safety converge to shape global governance landscapes. Journalism requires uncovering these hidden layers behind institutional structures.

Understanding TNCs through Peter Dicken’s analysis also challenged my assumptions. I once believed that corporations would eventually converge toward a single hyper-rational model optimized for profit. But TNCs carry “local aromas”: cultural habits, managerial norms, and strategic tendencies rooted in their home countries. The contrasting global strategies of East Asian and American corporations, or Nokia’s collapse due to its hardware-centric imprint, illustrate how deeply national origins continue to influence corporate behavior.

Finally, the idea of borders being “densely relocated” into daily life changed how I perceive everyday actions. These seemingly mundane activities, in the global age, represent new forms of micro-borders that control mobility and identity. As a journalist, tracing these invisible boundaries will be crucial to understanding how power operates in modern society.

3) Concerns & Further Questions

Questions about democratic equality persist within international organizations. Do institutions like the IMF, WTO, and the World Bank truly represent all member states, or do their structures continue to privilege powerful countries? Many developing nations still struggle to exert meaningful influence within these bodies.

There is also a growing tension between state power and corporate power. Traditionally, TNCs have depended on states for territorial access and legal permission. Yet recent events complicate this narrative. Jensen Huang’s overwhelming influence during the APEC meeting demonstrates how some corporations have begun functioning as quasi-state actors. In certain contexts, the influence of top-tier TNCs may rival that of medium-sized nations.

This raises a pressing question: What happens when technology becomes even more critical than it is today? As AI advances and global supply chains tighten, corporate monopolies or oligopolies could strengthen to the point where they surpass the influence of states. If that moment arrives, how should global society regulate these entities? Will states remain the primary holders of power, or will they be reshaped by corporate dominance in the next phase of globalization?

These are questions that journalism must confront with urgency.

4) Using AI

I used gpt for translation and grammar correction.