What does the term 'globalization' refer to?

The term 'globalization' refers to the process of increasing interconnectedness and interdependence among countries. This concept encompasses various dimensions, including economic, political, technological, and cultural interactions that transcend national boundaries. Globalization facilitates trade, the exchange of ideas, technology transfer, and cultural exchange, leading to a more integrated world system where actions in one nation can have significant impacts on others.

This integrated approach highlights how countries become more reliant on each other for resources, markets, and labor, reinforcing the notion of interdependence. The rising share of global trade, multinational corporations operating in multiple countries, and the rapid spread of information through digital technology are clear indicators of this trend. Consequently, this interconnectedness fosters a greater awareness and appreciation of global cultures and economies.