Author: Andre Coleman

Greetings Social Individual

Greetings: assignment

“Greetings are found among many higher primates, as well as any number of preliterate societies and all civilized ones” (Goffman 1971:93). In this essay I will explore some ways in which we express, display and negotiate our social relations through greetings. I will also question if greetings are as individual as society may believe them to be, or are they socially constructed by norms, expectations and situations.

Both Goffman and Kendon have analyzed the expected behaviours when a greeting ritual takes place in Goffman’s chapter on ‘Supportive Interchanges,’ and ‘A description of some human greetings’ by A. Kendon. Using these and other sources, I will explore the ways in which we are expected to act whilst involving ourselves in greeting rituals and if the same applies to other cultures where greetings can also be observed.

According to Goffman, “greetings and farewells provide the ritual brackets around a spate of joint activity” (Goffman 1971:79). This suggests that despite culture, language, and individual differences, without what he refers to as ‘supportive interchanges,’ interaction would make no sense.

This spurred much research into the social construction of greetings. Kendon observed six different social situations where greetings would take place, and he noted down greeting behaviours and stages which commonly occurred in most greetings. The first of these stages is sighting, this means that one or both individuals must, “…identify him as the particular individual he may wish to greet.” (Kendon 1990:165) Once sighted, how quickly the individuals begin a greeting interaction depends on, what the other is doing at the time of sighting, what the individual is doing at the time of sighting, and how urgent the interaction is. (Kendon 1990:165)

Once sighted, the greeting ritual can occur, starting with the ‘distance salutation’, (Kendon 1990:172). This can consist of a call or wave, depending on what the other is doing, and how far away they are (Kendon 1990:172). He also observed a head toss, a head lower and a head nod, which are distinguished by duration and the situation, for example the nod usually only occurs in passing greeting situations (Kendon 1990:175).

The next stage is the ‘Approach’ (Kendon 1990:179). When the two participants move towards one another, and orient themselves so they are facing one another. On the approach, many other behaviours can be observed, “Glance exchange is generally associated with the distance greeting,” (Kendon 1990:180) where neither individual will keep eye contact with the other, exchanging only glances, until close enough for the final stage, close salutation.

Kendon also observed the ‘body cross’ during the approach, where one of the individuals “…bring one or both arms in front of him.” (Kendon 1990:185) Grooming is also likely to be observed in this stage of the greeting. The final approach is most likely to feature vocalisation, smiling and palm presentation, (kendon 1990:188-191). This is the stage which links the approach to close salutation, where both individuals are standing face to face and a hand shake or embrace are likely to be exchanged.

Although these stages have been observed in only six social situations, each behaviour is recognised regularly, and they vary depending on the individuals and the formality of the situation. Most of them are recognisable in every day life. Kendon is not arguing that all of these behaviours take place in one greeting interaction, as many may be specific to certain individuals. These behaviours are also more likely to occur an ‘initial greetings’ or first greetings, as Goffman argues that, “each succeeding contact will be managed with an increasingly attenuated greeting until after a time the two will exhibit the standard minimal middle-class social recognition only” (Goffman 1971:84).

Despite these observations and findings, there appear to be social barriers which determine some aspects of our greeting rituals. Irvine argues that, “As a result of the status associations of the greeting, any two persons who engage in an encounter must place themselves in an unequal ranking: they must come to some tacit agreement about which party is to take the higher ranking role and which the lower. This ranking is inherent in any greeting no matter how abbreviated, because the mere fact of initiating a greeting is itself a statement of relative status” (Irvine 1974:175).

Although to some degree I do agree with this statement, as other research has shown similar findings, for example, in Kendon’s explanation of the ‘body cross,’ he suggests that, “It seems to occur, in a word, in the more vulnerable of the two participants” (Kendon 1990:185) Describing it also as a “protective movement” (Kendon 1990:185).

This suggests that in greetings, one individual is always of a higher social status that the other. However, I do not agree that this takes place in all greetings, as passing greetings are too brief for this to take place, and it does not account for surprise greetings.

Other research also strongly suggests that social status plays a part in constructing our greeting of one another. “First, the prince sent a message to the king to ask if he could call on him. Permission being given, the prince emerged from his apartment, and proceeded through the ante-room and withdrawing room of the kings apartment to the door of his bed chamber.

The king… came to the door-but no further- to welcome him… shortly afterwards the king sent a message to ask if he could call on the prince. Permission being given, the king emerged from his apartment and was met by the prince who, being of an inferior grade of royalty, came out of his apartment to the top of the stairs to greet him” (Girouard 1985:147). This is clearly an outdated document, but it does show that different social ranking, even throughout history, have effected how one is greeted.

More recently, in Kendon’s birthday party, “it would appear that the further the host moves from the centre of the occasion’s action, the greater the show of respect for the guest he creates,” (Kendon 1990:168). This argument is also supported by Irvine, “ If a person ranks relatively lower than oneself or than some other person present, one may delay greeting him until more important people have been greeted” (Irvine 169), and by Goffman, who says, “ A long-absent neighbor will ordinarily be owed less of a show than a long-absent brother” (Goffman 1971:83).

This is typically showing a sign of respect for those of a higher social ranking than ourselves. It can be observed in many social situations, despite some research being outdated, where the host of a party gives a more exaggerated greeting to relatives over distant acquaintances, and where the host of a party would greet, for example his employer, before any co-workers or friends.

It can also be observed when more elderly people are greeted by someone younger than themselves. All three sources agree with each other to an extent and support the theory of greetings being socialty constructed, as in most societies, there is a clear understanding that respect must be shown to guests of more importance.

Greetings are also present “… in every human society and not a few animal ones” (Goffman 1971:73). What is interesting however, is that even across cultures, most greetings can be defined as, “a question; an interjection; or an affirmation” (Firth 2000:10) Questions involve asking the other a question, such as “How do you do?” an interjection, for example “hello” and an affirmation, termed as a “… form of assurance, not a conveyance of information…” (Firth 2000:10), such as “good morning.” These may differ between individuals, but the mere fact that they can be classified into three groups, strongly suggests that they have been socially constructed.

A traditional Chinese greeting can be translated as “Have you eaten your rice?” which of course, is a question, and in Tikopia when greeting one another “… as well as Europeans used the forms of ‘good morning’ etc” (Firth 2000:13). This can be classified as an affirmation. Firth goes on to say that, “The more elaborate formal procedures of many African and Asiatic societies have tended to be given up in modern times as familiarity with Western patterns has permeated these societies” (Firth 2000:33).

From this evidence, it is clear that not only do cultures have their own socially constructed forms of greetings, some have been abandoned, and there is more of a universal construction of greeting rituals. This could be due to the fact that there is much more communication between different cultures in modern society, and this is made easier if greeting rituals and other aspects of cultures are integrated.

This is not to say however, that all cultures have the same greeting practices, even within Europe, “American or English people who might exchange a kiss in private greeting may refrain from such intimacy in public. But this is a highly cultural matter- a Frenchman in office may bestow a kiss on another on a formal public occasion when he would not do so at an informal private meeting” (Firth 2000:4).

Goffman also argues that some cultures have different greeting rituals, as behaviour in some Arab cultures suggests “… Women do not greet men on village paths and men do not greet women” (Goffman 4). These cultural differences show social construction relating to greeting in what is and isn’t socially acceptable. It also does not suggest that their greeting one another is any different from our own in circumstances where it is socially acceptable to do so.

Despite minor cultural differences, relating to social custom, and what is acceptable or not, most cultures have greetings which can be classified into three groups. This evidence strongly suggests that in all cultures, individuals are bound by the social constructions of greeting rituals.

Greeting rituals are also present where face to face interaction does not take place, such as telephone calls and letters, and, “… not only are such communicative structures relevant on a micro-level of social organisation… but they are also on a macro-level as well” (Schiffrin 1977:690), for example, this could include television broadcasts and public speeches, where the level of access is presented to the audience by a host. Social construction is also created by the expectations connected to greetings and farewells, “Greeting behaviour is expected to express pleasure, parting behaviour to express sadness. It is a matter of common knowledge that the reverse may sometimes be the case” (Firth 2000:7).

As greetings and farewells “… are ritual displays that mark a change in degree of access” (Goffman 1971:79), without them, determining the beginning and end of conversation would be impossible, therefore they have been socially constructed to prevent this from happening.

There is much evidence which strongly suggests that greetings are socially constructed, through greeting behaviours, how we treat people of authority and even throughout different cultures. There are, of course, some differences, which vary from different cultures and individual preferences. However, these differences are still within a certain social acceptance of what is expected of greeting rituals. Therefore, what society may feel are individual actions, are in fact constructed by social norms.

Bibliography

Firth, R. (2000) “Verbal and bodily rituals of greeting and parting” in “The Interpretation of Ritual: Essays in honour of A. I. Richards.” pp 1-33 Harpercollins.

Girouard, M. (1985) “Cites and people. A social and architectural history.” New Haven: Yale University Press.

Goffman, E. (1971) “Supportive Interchanges” ch.3 in “Relations in Public.” Harpercollins College Div.

Irvine, J. (1974) “Strategies in status manipulation in the Wolof greeting” in R. Bauman, and J. Shererzer, (eds)“Exploration in the Ethnography of Speaking” pp167-191. London, Cambridge University Press.

Kendon, A. (1990) “A description of some human greetings”ch.6in “Conducting interaction: Patterns of behaviour in focused encounters.”Cambridge University Press.

Schiffrin, D. (1977) “Opening encounters” American Sociological Review [online] [accessed on 30^th November 2007.]

Goffman examines society through individuals face-to-face interactions I everyday life. An important point of his theory is how individuals present themselves in everyday life, when they come to contact with others. This contact signals the activation of the ritual mechanism. Those mechanisms are being activated automatically each time we are coming to interaction with others. They consist social values and express all the expected reactions, which individuals should have in different situations. The reason why these mechanisms are activated automatically is because we have embodied them during the period of socialization and through imitation. Consequently, those mechanisms give us the possibility to understand and foresee how we must react in different interactions, as well as to forego and protect ourselves from potential moments of disgrace and embarrassment. If we do not find a way to manage those moments when they occur, can lead in the collapse of interaction (Goffman, 1959: 12).

The main purpose of individuals is to manipulate the impressions that others form about them (impression management). Individuals, when they are acting on the stage, employ unconsciously different “front” (means of expression). The “front” is comprised from two parts: the “setting” which is the scene in which individuals acting and the “personal front” which concerns the natural characteristics and specific means of expression of each individual. Furthermore, Goffman divide “personal front” into “appearance” and “manner”. “Appearance” is the external characteristics and “manner” is the means of expressions, like the language, the body, face expressions, which individuals adopt during their performance (Goffman, 1953,:22-24). In addition, individuals use symbols to display their positions and the role they aim to play (Goffman, Dec. 1951: 294).

Forby there is the “backstage”, where individuals make their rehearsal for their performance. Namely, which features of themselves, they will cover in order to manipulate their observers. Parallel, only when they are on the backstage, can be their real selves, whereon they have to tackle with their real feelings, which have no relation to the feelings they project on the stage. Nevertheless, Goffman notes that the formation of a role is being strongly affected by the personality, the experience, and the culture of each individual (Swingewood, 2000: 176).

How academic professors maintain their dominant position in the classroom.

The academic professor’s front is his class and what this class includes is the “setting”. His performance takes place while he is teaching. Of course the professor must have a certain style of clothing, for instance he cannot appear in the classroom wearing a sport outfit. Also, he must talk and behave in a way which will attribute him prestige. For instance, the professor will not use slang language during his teaching, on the contrary, he will a sophisticated vocabulary. Furthermore, according to Goffman, first impression is of vital importance. Thus, in his first lecture, he must pay attention to his first impression, because this will form the relation of domination between the professor and the students (Goffman, 1959: 12). Even if he becomes more lenient with his students over the years, he should attempt continually to sustain his authority (impression management).

On the other hand, when the professor ends up alone in the classroom (backstage) he can be his real self. Coincidently at this point he can prepare himself for the teaching (performance) and he can try to limit things which could reduce his pole performance. On the whole, professor possesses a status, which nobody can call in question, regardless of the role he adopts. This is happening because he has certifications of his capacity, which is his degree, which is recognizable from the society (Goffman, 1951: 297). In other words, there can be doubt about his efficiency at work but not for his capacity as a professor.

Bourdieu’s theory.

Bourdieu in contrast with Goffman considers society from a distant viewpoint. He is not centre on individuals’ interaction but he combines them with social structures. He deems that sociologists should overcome the persistence of the contrast between objectivism and subjectivism. We should observe society as a whole including both, structures and actors. Thereby, he creates a theory based on a schema, which constitutes from three main parts: the field, the capital, and the habitus. Each part is directly connected with the others and functions parallel.

The first part is the field. Fields are the social structures, the various spheres of life. While fields exert influence to each other, there are autonomous enough (relative autonomous) in order to be able to study them. Each field has its own clear boundaries, logic and sphere of values, with witch people must be obeyed. People in order to be able to enter a field, should have certain resources according to the demands of each field (Wacquant, 2008: 269). Those resources are the capitals, which are unequal distributed in the society (Swartz, 2002: 655). People, who have more capitals, have more chances to succeed in different fields (Bourdieu, 1986: 241). This is why Bourdieu grasps fields as arenas in which people struggle constantly. Those who have a big part of capital, struggle to maintain their domination and those who have limited capitals, try for their benefits to invert the domination of the former. Thus field is never static. It is moving, changing, evolving.

On the second part of the triadic schema is capital. Capitals are the means of resources which enable people to acquire benefits. Power is in each field different. Bourdieu divides Capital in four categories: economic, cultural, social and symbols. Economic Capital is consisted by money. This capital is very important because every capital can be converted to economic capital. People, who have largely the economic capital, can easier acquire the other three capitals. Then is the Culture Capital, which is consisted by three forms:

The Embodied State concerns the stimuli which people get from their environment during their upbringing and socialization. People receive them unconsciousness or passive-coercive via their families, their culture or traditions. However this does not mean that they acquire them instantaneously. On the contrary, people embodied them over the years according to their habitus. Also in this state, people form their cultivation. People’s cultivation derives, apart from the stimuli of the environment, also from the amount of time and effort they consumed to gain it (Bourdieu, 1986: 244-245).

The other form is the Objectified State, which concerns the possession of items (for instance paintings). Those items have great cultural-aesthetic value but also economic value. In which way people will valid them, it is related with their habitus (Bourdieu, 1986: 245-246).

The third form of Cultural Capital is the Institutionalized State. This state embraces the official documents, that is, they have institutional recognition. Those certifications denote the level of education of each person (Bourdieu, 1986: 246-247).

Moreover, there is the Social Capital. Social Capital is people’s connections which they have or acquire within social networks. Those connections are either positive or negative. In other words, can help people or can make their lives difficult.

Finally, it is the Symbolic Capital, which has to do with the symbols of power. People who possess the symbolic authority can dominate in one or more fields. Those who have it are in the position to decide what is good and what is bad and exert it via recognition and approval and disapproval. Recognition of what people are doing is enjoyable for them. For, people through recognition are becoming established. Symbolic authority can be big in a field while can be mild or small in others. Also symbolic power is hierarchical. It is a circle of alternations of power. Thus there is a constant struggle for the acquisition of power but it is happening unconsciously.

The third part of the schema is Habitus. Habitus is our history, the inheritance of cultural capital. Namely it is embodied of our experiences. The creation of social groups is based on people’s common experiences, hence habitus is person’s beliefs and dispositions. Furthermore, habitus is the social structures in which persons shape their beliefs and ways of thinking (for instance education). In real life habitus and field come always together as a whole (Wacquant, 2008: 269). On the one, habitus affects people’s chances of success or failure in different fields (Bourdieu, 1986: 241). However, people through new experiences, which are not coming from the family, can form a secondary capital in the habitus, which is quite durable and reinforced. This new habitus is becoming gradually their second nature.

Examining academicians through the concepts of Field, Capital and Habitus.

Academicians’ field in which they operate is higher education. To be able to be in this field, they spent too much time and effort in order to acquire this knowledge, that is their cultivation (cultural capital-embodied state). Evidence that hold this knowledge is their diplomas (cultural capital-institutionalized state). Also their connections, that had been either academic or political, played an important role in taking up this position (social capital). On the other, depending on the level of the University attended and depending on their performance, they had similar opportunities to find work. The position of each university is not the same. For, there is a rank of hierarchy. Hierarchy it is likewise in the positions of academic professors. Therefore there is strong competition among them. Their main purpose is to accede to the highest positions and go to the most accredited universities (symbolic capital). To be able to do so, they must constantly enrich their resources (capital). Nevertheless, the academic professors have some common experiences that affiliate them to the same group and allow them to enter in this field, higher education (habitus). But this does not mean that these experiences were the same embodied-in all. That they are professors, do not mean that all derived from the same socio-economic class. Simply they were able to acquire the necessary qualifications and to embrace these experiences in order to enter specific field. Namely, they managed to make second nature another habitus.

Conclusion.

Considering academics through two different approaches, Goffman’s and Bourieu’s, I have come to believe that struggle for domination is an important part of both theories. In Goffman this struggle exist through the management impression, while in Bourdieu exist in the whole triad schema (field, capital, habitus).

Population aging, as a global issue, has become increasingly important in these few decades. Regarding to this issue, the U.S. State Department and the National Institute on Aging (NIA) has hosted a report named “Why Population Aging Matters: A Global Perspective” in March 15, 2007. This report covered nine trends related to population aging which present a snapshot of challenges and opportunities showing why population aging matters. In which the first five trends describe the global demographic changes in recent years and the last four trends show the challenges and opportunities that caused by population aging. We appreciate the effort of the authors in raising global awareness. Every report, however, have strengthens and limitations. By arguing with some points mentioned in the report, we try to perfect it by replenishing it with more information.

Methodology

Aimed at raising public awareness about global aging problems, encouraging more cross-nation scientific research and international studies and stimulating biochemical, economic, behavioral and political dialogues, this report used plenty of statistics to show the impacts of population aging on nations. To show the whole picture of the global issue, the researchers did not conduct interviews and solicit the statistics by themselves; rather, they gathered the existing data from different part of the world. Generally, these data are from the United Nations, US Census Bureau, and the Statistical Office of the European Communities as well as some regional surveys.

Summary of the report
Trend 1 – The overall population is aging

According to the research done by United nations Department of Economic and Social Affairs, the global percentage of young children is decreasing while the percentage of older people increases sharply especially in the coming decades. In around 2017, older people will outnumber young children in estimation. In 2006, almost 500 million people are older people, who share 8% of global population, and it is expected that the number will increase to 1 billion in 2030. Besides, the speed of population aging is higher in developing countries than in developed countries. For example, France, as a developed country, has taken 115years for the proportion of the older people to increase 7%. However, in some developing countries like Singapore, 19 years is enough to reach the same rate. Population aging is a global trend in which the degree of development of the countries affects the rate of it.

Trend 2 – Life expectancy is increasing

Change in Life expectancy reflects a health transition which is characterized by many changes including a shift from high to low fertility, a steady increase in life expectancy at birth and at older ages and a shift from the predominance of infectious and parasitic diseases to the growing impact of non-communicable diseases and chronic conditions. Some scientific research shows that the human survival curve in both women and men shifted upward. The life expectancy at birth has increased from 45years in 1950 to more than 79 years today.

It implies that the life expectancy increases in every single age and deaths are highly concentrated at older ages.

Trend 3 – The number of oldest old is rising

People aged 85 or about are defined as the oldest old. Currently, the oldest old constitutes 7% of the world’s 65- and-over population, in which 10 % was in more developed countries and 5% was in less developed countries. On a global level, the 85-and-over population is projected to increase 151% between 2005 and 2030.More than half of the world’s oldest old live in China, the United States, India, Japan, Germany, and Russia. Living from birth to age 100 may have risen from 1 in 20 million to 1 in 50 by 2030 for females in low-mortality nation, say, Japan, in estimation.

Trend 4 – Non-communicable diseases are becoming a growing burden

There is an epidemiological transition that the non-communicable diseases have become the focus in light of global aging. In the past, a large number of people were killed by infectious and parasitic disease. However, non- communicable and chronic diseases are the major cause of death in both developed and developing countries nowadays. Regarding to this trend, there are three elaborations of the situation: 1) “Compression of morbidity” – decrease in disability as life expectancy increases; 2) “expansion of morbidity” – increase in disability as life expectancy increases; and 3) decrease in severe disability but increase in milder chronic disease. With the increase in life expectancy in general and the non-correspondent disability rate in different countries, it requires more studies and research to see which elaboration offers a better explanation of the real situation

Trend 5 – Aging and population decline

Simultaneous population aging and population decline are happening in some countries. Where the global population is aging, more than 20 countries are projected to experience population declines in the upcoming decades. A research done by U.S. Census Bureau shows that Russia’s population declines the most rapidly (-18 millions) between 2006 and 2030. Following is Japan. The projected population decline in Japan is 11 millions between 2006 and 2030.

Trend 6 – Changing family structure

In trend 6, it is about the world trend of changing family structure. Low fertility rate means older people have less family care and support. Family structure is change from nuclear or extended family change to other types e.g. divorce, remarriage, non marriage, voluntarily childless.

Many people are living alone in older age. According to the reading, in some European countries, more than 40 percent of women age 65 and older live alone.” And the diagram also show the trend in Japan, the older people living alone have growing faster in 1960-2000. Therefore, the cost of long-term care is a burden to families and society.

Trend 7 – Shifting patterns of work and retirement

People tend to work at older ages. From the figure, we can see the European employment rate at age 55-64 have clear increase during 1994-2005. Beginning in the 1990s, a workforce participation rate for older women has been a steady increase. That means women have ability to accumulate and control economic resources in older age. But the job types of elderly are from full-time job changing to part-time job or transition job.

According to Organization for Economic Cooperation and Development (OECD), life expectancy has increased and the retirement ages have decreased. In 1960, men on average could expect to spend 46 years in the workforce. In 1995, the number of years in the workforce had decreased to 37. Therefore, if we want to increase workforce, we should set up a high retirement age to maintain enough workforce in the market.

Trend 8 – Evolving Social insurance systems

As the situation of population ageing, the increasing pension expenditure. According to our readings “25 EU countries consumed one-eighth of gross domestic product in 2003”. Many countries reform their old-age social insurance programs. For example, Japan rose the pension age: men’s pension age from 60 to 65, women from 57 to 65. In order to support the economic security, some government Increase tax rate on workers e.g. “Twenty-four Europe countries now have payroll tax rates that equal or exceed 20 percent of wages.”(P.21)

Trend 9 – Emerging economic challenges

It says that population ageing is affecting on local and global economies. Therefore many countries have some social programs that are target to the older population- principally health care and income support programs. 1) Fully fund program: “This describes a superannuation fund whose assets are sufficient to meet all the fund’s liabilities” 2) Pay-as-you-go system: “A method of paying income tax in which the employer deducts a portion of an employee’s monthly salary to remit to the IRS.”

On the other hand, we should be concern is high level of population aging, labor force tends to decline. That make government need high tax rate to solve the problem of growing older populations. The tax burden may discourage future workforce participation.

Overall review
Significance of themes

Population aging is a global issue that can affect many parts of our society in the sense that it takes parts in the changes and adjustment in the economy, labor force, medical system, residential issues, continued development etc. It is important and meaningful for us, the people, to realize the effects it may bring. Though population aging is a global trend, there are only a few governments had taken actions to plan for the long term and tackle the possible challenges that may soon happen in their societies. Clearly, more research and policies are needed regarding to this problem. Raising global awareness regarding to the population aging issue is significant.

Use of data

In this report, many statistics are used to illustrate the trends. However, as a report talking about the global situation, we expect the data should provide us with the whole picture of the world. Since the data are not collected for the sake of supporting this report, some data are not general enough to explain the global situation. Say for example, when illustrating the increases in life expectancy in every age, data of white female survival in the US between 1901 & 2003 is used. Yet, the situation in the US, a developed country, may differ from other developing countries. Race and sexual difference may also lead to different outcome.

In-depth review
“Population aging is driven by declines in fertility and improvement in health and longevity.” [1]

This statement is partially right. It is true that population ageing arises from increased longevity and decreased fertility. An increase in longevity rises the average age of the population by increasing the numbers of surviving older people and a decline in fertility reduces the size of the most recent birth cohorts relative to the previous birth cohorts, hence reducing the size of the youngest age groups relative to that of the older ones. Apart form these, migration, as another demographic effect, also contributes to population aging. Thought immigration usually slows down population aging, for example the women holders of One-way Permit in Hong Kong are likely to be younger and have more children, the other types of migration tend to worsen the situation that the immigration may not make up for the population aging.

Obviously, emigration of working-age adults fastens population aging especially in some Caribbean nations. These people migrate for career development or for money, so they tend not to have or have fewer children. There is also immigration of elderly retirees from other countries. Return migration of former emigrants who are above the average population age is common in some region. It is estimated that migration will have a more prominent role in population aging in the future, particularly in low-fertility countries with stable or declining population size. The effects of migration on population aging are usually stronger in smaller populations, because of higher relative weight of migrants in such populations. [2]

“Non-married women are less likely than non married men to have accumulated assets and pension wealth for use in older age.” [3]

We agree with the statement because we find some support from studies. In the table from Health and Retirement Study Wave 1(1992), it shows that the total wealth of non married men is $191,836 and the total wealth of non married women is $157,098. And a finding of the International Longevity Center-USA, it found that unemployment of women who are in the labor force: “in 1993 the rate was 24% for women compared with 8% for men.”(ILC-USA, 2002) The high rate of economic activity for older men may make low level of old-age pensions.

“Preparing financially for longer lives and finding ways to reduce aging-related disability should become national and global priorities.” [4]

As suggested in trend 6 to 9, it is true that population aging leads to great challenges and demands for changes and adjustments in policy making. Financial preparation and improvement in reducing aging-related disability are important as the large number of old population will definitely increase the burden of the economy as well as the social insurance system. However, in tackling aging problems, we consider other aspects as the same important as the two mentioned in the report.

Firstly, increase fertility is fundamentally important to deal with aging population. As it is rather impossible to shorten people life expectancy and disallow people to migrate due to econ reason, increasing fertility rate seems to be the only feasible way to deal with aging population; in which subsidized child care and childcare leave are possible ways to increase fertility.

Subsidized child care enables women to combine work and family. When comparing the levels of women’s labor-force participation and family size country by country, Daly, an economist, found that in societies that made it easier for women to combine paid employment with children – Sweden, for example – the rate of women’s employment and the birth rate were both high. Also, High employment rates for women would also help countries with aging populations cope with a shortage of workers [5] .

Moreover, baby bonus and childcare leave can also boost fertility. Parents in those countries who can get more help from the government will have relatively high fertility rates. Consider the experience in France. Pregnant women has at least 16 weeks of mandatory, paid maternity leave, as well as guaranteed job security and get a monthly stipend of up to 1,000 euros for a year if she has the third child. The fertility rates of those countries which practice these policies for decades are approaching 2.1, roughly the point where a population can sustain itself without immigration [6] .

Secondary, for the problem of elderly living alone, we think that consolidating the traditional value of Filial piety is rather important. In the table below, we can see most of older people are living with children or grandchildren in Asian country. However, older people who are living with children or grandchildren are three times more compared to Europe and North America.

Asian country can have such result because they have strong value of Filial piety. Such as China, they have strong confusion value that adult children may think take care of the older parents is their responsibilities and they do not think living with elderly is burden. Because elderly not only is care receiver but also can be the care giver.

Nevertheless, adjustments in policy that favorable to longer working life are also the way out. Population ageing is a burden of government in the sense that it increases the pension expenditure and decreases the supply of labor force. It may lower the economy growth of the country. For that reason, increase the pension age is a good suggestion to tackle the aging problem. Elderly also have their ability to work. We can see the example of Singapore. The Minister for Manpower in Singapore wants to encourage older workers to stay active: 1) to remain at work to pay for a more comfortable retirement 2) to ease financial strains on the government 3) to ease strains of reducing younger workforce. As a result, the retirement age in Singapore increased to 62, . “According to preliminary results from Ministry of Manpower’s comprehensive mid-year Labor Force Survey, the employment rate for older residents aged 55 to 64 in Singapore is 57.2%,” said Gan Kim Yong, Minister for Manpower. Therefore, the employment rate for older men in Singapore has increased from 73.8% to 74.7% in 2008 to 2009. After increase the pension age, the supply of workforce will increase and the pension expenditure of government will decrease.

Supplementary information

As we know that, as other parts of the world, population aging becomes serious in recent decades in Hong Kong. We provide the below information about Hong Kong’s welfare provision towards the elderly as supplement of the report in hope of that more people, including the government, can aware of the aging trend happened in our society and take active roles in planning our future. According to the social welfare department, there is about 60% of elderly who are receiving CSSA. It is a burden of Hong Kong economy. As the World Bank published the report “Averting the Old-Age Crisis: Policies to Protect the Old and Promote Growth”. Therefore, the government provides some scheme to solve the problem. They are the Comprehensive Social Security Assistance (CSSA), the Universal Retirement Protection Scheme and the Mandatory Provident Fund Scheme (MPF) respectively. In the following, a slight discussion will be provided in comparing these social insurance schemes.

Comprehensive Social Security Assistance (CSSA) is the layer of social safety net. Nowadays, People seem to more relay on the safety net because we see the increasing tend on application. The value of Hong Kong people had changed, people try to fight for more welfare from the government. And people think that government had the responsibility to care of the elderly. So the government spending on CSSA is higher in these years and she need to concern.

Universal Retirement Protection Scheme is a retirement fund that can cover the basic spending of the retirement life. In case of many poor elderly in Hong Kong, “Legislative Council urges the Government to set up a sustainable universal retirement protection scheme, so that all senior citizens can enjoy financial security to maintain a basic standard of living immediately after retirement.” proposed by Hon Lee Cheuk-yan. But this scheme may be a burden of Hong Kong government.

Mandatory Provident Fund Schemes (MPF) is a financial security system to protect the working population in their retirement years. After the implementation of MPF, around 87% of the total employers are now covered under retirement schemes. However, it cannot solve the problem immediately because the scheme is only practice for a few years, the fund may not have enough financial support for the elderly and the cumulative of the fund highly depends on the employees’ salary and whether the investment program can receive a good return. Therefore it has limitations that may not be able to protect all people after retirement.

Conclusion:

To conclude, the nine trends suggested in the report are significant in the sense that a global perspective is useful for us to understand the challenges and opportunities brought by population aging. However, we think that both of the method of data collection and the content of the report are to general that may ignore many parts in illustrations. We argue some points mentioned in the report by providing more information regarding to the issue. Moreover, we think the views on population aging held in the report are a bit negative. Actually, older people have ability to contribute to the society by involving in social service. For example, Retired Senior Volunteer Program (RSVP) announced that there are more than 135,000 new volunteers in America last year. Last but not least, the report only pointed out the trends without many suggestions and solutions to the problems. It is hope that more international studies can be done to determine the best ways to address the situation before it is too late.

Leadership has stimulated thousands of research studies for social scientists for over 60 years (Yukl, 2006). More than four hundred definitions have been proposed to explain the dimensions of leadership (Crainer, 1995; Fleishman et al., 1991), yet Crainer (1995) addressed that ‘it is a veritable minefield of misunderstanding and difference through which theorists and practitioners must tread warily’ (p. 12). Leadership is, therefore, not an easy concept to define. Whilst one definition of leadership, directly related to our discussion, is the system proposed by Stogdill (1950), whose work had a profound impact on one of stages of research to be encountered below:

Leadership may be considered as the process (act) of influencing the activities of an organized group in its efforts toward goal setting and goal achievement (p. 3).

Three elements can be addressed in this definition: influence, group and goal. First, leadership is viewed as a process of influence where the leader has an impact on others by inducing them to behave in a certain way. Second, that influence process is conceptualized as taking place in a group context. Collinson (2009) argues group members are invariably taken to be the ‘leader’s followers’, although that is by no means obligatory. He, however, emphasizes that without followers leaders do not exist and that leadership only exists in the interaction between leaders and followers. In addition, Parry and Bryman (2006) add leadership, being a process of influence, need not come from the person in charge, but can come from anyone in the group. Third, a leader influences the behavior of group members in the direction of goals with which the group is faced (Mullins, 2008). Moreover, leaders must help create cohesive and motivated teams (Knippenberg & DeCremer, 2008). They must sell, or champion, new initiatives (Howell and Boies, 2004). And leaders must help people make sense of crises (Drazin et al., 1999).

2.2 Global Leadership and Organizational Behavior Effectiveness (GLOBE) Project

2.2.1 Introduction of GLOBE Project

Global Leadership and Organizational Behavior Effectiveness (GLOBE) Project highlighted the investigation of leadership, national culture and organizational practices concentrated on further sharpening and refining the cultural knowledge for providing a systematic and integrated methodology on the interaction of cross-cultural management (Chhokar, et al., 2007; House, 2004a; Gupta and House, 2004). Based on the quantitative data of 17,000 managers in 62 societies, GLOBE as a ten-year research program is supported by 150 investigators throughout the world (House, 2004b). The major constructs investigated in the GLOBE Program are nine dimensions of cultures in the perception of global leader behaviors:

Power Distance;

Uncertainty Avoidance;

In-Group Collectivism;

Institutional Collectivism;

Gender Egalitarianism;

Performance Orientation;

Assertiveness Orientation;

Future Orientation;

Humane Orientation.

2.2.2 Intellectual Roots of GLOBE Constructs

Gupta and House (2004) emphasized that GLOBE constructs were theoretically derived, and empirically validated. They argued that Power Distance and Uncertainty Avoidance are based on Hofstede’s (1980) work; In-group Collectivism measures pride in, and loyalty to, the family, and is derived from the Triandis et al. (1988) work on in-groups; Institutional Collectivism captures (inversely) the same construct as Hofstede’s Individualism. They addressed that Hofstede’s (1980) construct of Masculinity was used as a basis to develop the two distinct dimensions: Gender Egalitarianism and Assertiveness Orientation. Gender Egalitarianism is similar to the United Nations Development Program’s (UNDP) concept of Gender Empowerment. Assertiveness Orientation is rooted in the interpersonal communication literature (Sarros & Woodman, 1993). In addition, they claimed that Performance Orientation was derived from McClelland’s (1961) work on the need for achievement. Future Orientation is derived from Kluckhohn and Strodtbeck’s (1961) Past, Present, and Future Orientation dimension, and from Hofstede’s (2001) Long Term Orientation, which focuses on the temporal mode of the society; and Humane Orientation has its roots in Kluckhohn and Strodtbeck’s (1961) work, “Human Nature is Good versus Human Nature is Bad dimension”.

2.2.3 Strategic Significance of Cultural Dimensions

2.2.3.1 Power Distance

Hofstede (2001) and Schwartz (1994) address that Power Distance refers to a culture’s preference for differentiated, hierarchical versus undifferentiated, egalitarian status within the society. Building on their work, the GLOBE Project definition of Power Distance is “the degree to which members of an organization or society expect and agree that power should be shared unequally” (House and GOLBE Program, 2004, P.517). Therefore, lower-status individuals are expected to concede to higher-status individuals who, in turn, have the responsibility to attend to the needs of the lower-status individuals. In cultures low in power distance, superior-subordinate relations are theoretically close and less formal in nature; in cultures high in power distance, their relationships are expected to be more hierarchically distant, ordered and reserved (House and GOLBE Program, 2004).

Beliefs about the appropriate Power Distance between authorities and subordinates could shape the nature of people’s relationship with authorities (Offermann and Hellmann, 1997). Power Distance, therefore, is highly relevant to the study of leadership. High Power Distance indicates a preference for autocratic and paternalistic management, while low Power Distance requires more managerial consultation and approachability (Gupta and House, 2004).

2.2.3.2 Uncertainty Avoidance

The dimension of Uncertainty Avoidance is concerned with the extent to which people seek orderliness, consistency, structure, formalized procedures, and laws to deal with naturally occurring uncertain and important events in their daily lives (Luque and Javidan, 2004).

People socialized to have a high need for security are likely to resist change because it threatens their feelings of safety. In higher uncertainty avoidance societies, more priority is given to the training of experts rather than lay people for particular tasks (Hofstede, 2001). Here, “Citizens are not only more dependent on government, but they want it that way.” (Hofstede, 2001, P. 172) Uncertainty Avoidance is also associated with ‘tight’ societies, where social solidarity and stability is emphasized (Hofstede, 2001). Thus, Uncertainty Avoidance is related to the values of personal conformity, resistance to social change, interest in national rather than international affairs, and a call for national leadership (Eckhardt, 1971). On the other hand, the ‘loose’ societies tend to be less uncertainty avoiding. Here the values of group organization, formality, permanence, durability and solidarity are undeveloped, and deviant behavior is easily tolerated (Pelto, 1968).

2.2.3.3 In-Group Collectivism

In-Group Collectivism relates to how the individuals relate to their family, as an autonomous identity or alternatively as consciousness of responsibilities towards their family (Gelfand, et al., 2004). It is associated with ‘pride in affiliation’ and a general affective identification with, and a general affective commitment towards, family, group, community, and nation (O’Reilly and Chatman, 1986). In strong in-group collective cultures, “people from birth onwards are integrated into strong, cohesive in-groups, which throughout people’s lifetime continue to protect them in exchange for unquestioning loyalty.” (Hofstede, 1980: 51) In such cultures, there is an emphasis on collaboration, cohesiveness and harmony, as well as an effort by people to apply skills for the benefit of their family or in-group.

The in-group serves three basic needs: the need for affiliation, involvement, inclusion and belongingness; the need for intimacy, affection, and a sense of identity; and the need for social security, support, control, and power (Schutz, 1958; Festinger, 1954). It represents a high degree of emotional attachment and personal involvement of people in the larger group, and thus fosters an interest of the people in the overall best interests of the group (Allen & Meyer, 1990). In-group collectivism fosters connectivity to a group primarily because people want to be a member of the group and only secondarily because they ought to or need to.

2.2.3.4 Institutional Collectivism

The dimension of Institutional Collectivism is reflected in preferences for closer work relations and higher involvement with one’s social unit (Chhokar, et al., 2007). Institutional Collectivism emphasizes shared objectives, interchangeable interests, and common social behaviors of the people based on association with others in groups (Chatman et al., 1998). In contrast, a lack of institutional collectivism tends to be associated with a preoccupation with self-esteem (Bellah et al., 1985). In less institutionally collective societies, people remember their past performance as much better than it actually was (Crary, 1966), claim more responsibility than their spouses give them credit for in household tasks (Ross and Sicoly, 1979), judge positive personality attributes to be more appropriate in describing themselves than in describing others (Alicke, 1985), and take credit for success, yet attribute failure to the situational variables (Zuckerman, 1979). Institutional Collectivism tends to be greater in the Eastern parts of the world, which typically rely on stable informal institutions for social stability and economic activity, as compared to most societies in the West, which rely on more formalized institutions (Gupta, Sully and House, 2004).

2.2.3.5 Gender Egalitarianism

Gender egalitarianism reflects an inherent understanding between men and women, which enhances their ability to work together in social and economic spheres (Gupta, Sully & House, 2004). Gender egalitarianism, therefore, influences role differences between men and women, as well as the common values of men and women. In gender egalitarian societies, gender discrimination is mitigated, enabling women to engage fully in both the public and the community domains (Coltrane, 1988). In contrast, in most societies of the world where men traditionally are engaged in jobs that do not sufficiently reward women for their labor, women often work part-time in ‘feminine’ jobs, such as family maintenance activities, nurturance, and relationships with others in a service capacity (Littrell, 2002).

Thus, gender egalitarian societies not only tolerate diversity, but also emphasize understanding, respect, and the nurturing of diversity in their communities, through sustained committed efforts (Martin, 1993).

2.2.3.6 Performance Orientation

The performance orientation dimension reflects the extent to which a society encourages and rewards improved performance, goal-oriented behavior, and innovation (Gupta, Sully and House, 2004). Performance oriented societies put a thrust on achievement motivation, or need for achievement (McClelland, et al., 1953). The achievement motive translates into behavior through two major components: the hope for success (approach) and the fear of failure (avoidance) (Gupta and House, 2004). People with high achievement motive tend to approach rather than avoid tasks related to success, because for them success is a culmination of ability and hardwork about which they are confident of (Weiner, 1980). But in the face of continuing obstacles, they respond with a ‘helplessness’ response, involving avoidance of challenge and a deterioration of performance (Diener and Dweck, 1980). They seek positive feedback and focus their efforts in areas in which they have already been successful (Dweck, 1986; Dweck and Leggett, 1988).

2.2.3.7 Assertiveness Orientation

The dimension of assertiveness orientation is associated with a strong consciousness, expression, articulation, and communication of one’s thoughts, feelings, beliefs, and rights; in public, political and social forums, and is related to physical and psychological aggressiveness and confrontation (Gupta and House, 2004; Hartog, 2004). People in assertive societies stand up for their individual or collective rights, and demonstrate strong interpersonal competence (Lange & Jakubowski, 1976). Assertiveness implies an action-oriented focus, founded on confident decision-making behavior, and characterized by strength, forcefulness, courage, initiative, conviction, and determination (Sarros & Woodman, 1993). Assertive societies emphasize social skills and communication, direct personal influence and expression, and overall inter-personal effectiveness (Crawford, 1995).

2.2.3.8 Future Orientation

The dimension of future orientation is reflected in behaviors such as planning, preparing and investing for the future (Ashkanasy, et al., 2004). It is related to the concept of short-term vs. long-term orientation (Hofstede, 2001). At a much deeper level, it is also associated with the distinction between materialistic vs. spiritual orientation (Cervantes & Ramirez, 1992). Less future oriented cultures focus on the short-term materialistic considerations of respecting traditions to avoid isolation from the society, and maintaining face to protect one’s reputation and creditworthiness in the society (Ashkanasy, et al., 2004; Hofstede, 2001). In contrast, more future oriented cultures emphasize long-term considerations of education for self-development, and the inner ability to persist in the face of obstacles for self-actualization (Gupta and House, 2004). Therefore, in the less future oriented cultures, people seek material acquisitions to make their life more meaningful; in future oriented cultures a strong concern for virtue allows a pragmatic integration of morals and practice (Hofstede, 2001).

2.2.3.9 Humane Orientation

The dimension of humane orientation is concerned with generosity, compassion, and empathy for others (Kabasakal and Bodur, 2004). The value of humane orientation is deeply rooted in the human experience, and in the moral values arising from the situational and spontaneous demands of this human experience (Kurtz, 2001). Five distinct characteristics of humane oriented societies can be identified (Kurtz, 2001):

Concern with Happiness: Humane oriented societies emphasize individual and social pursuit of happiness;

Human Equality: Humane societies recognize equality and dignity of each person, and identify people as ends, not merely as means;

Moral Freedom: Humane societies focus on the development of modem values of high intelligence, morality and aesthetics, and help individuals freely express their own needs and diverse views on life;

Respect for Diversity: Humane societies instill tolerance for diversity of values and norms in individuals and groups without forcing dogmatic similarity. They encourage responsibility and consideration for others. Thus, these societies are founded on moral and civil virtues, such as honesty, uprightness, truth, sincerity, integrity, fairness and empathy;

Experiential Reason: Humane societies recognize the need for evolving and discovering new moral principles as societal situations change.

2.2.4 GLOBE Project in China

Although the history of China has been marked by periodic political upheavals, yet China, as a united country has experienced the longest span of homogeneous cultural development of any society in the world (Child, 1994). Chinese culture and tradition is deeply rooted and omnipresent in its present society. Fairbank (1987) argues that the influence of China’s long past is ever-present in the practices of government, business and interpersonal relations. Other researchers have also emphasized the influence of China’s culture in the way that its organizations are managed (e.g. Lockett, 1988; Pye, 1985; Redding, 1980).

While there exist great differences in terms of political, social and economic dimensions among Chinese societies where Chinese culture dominates, it is still possible to identify certain core culture characteristics that are held in common by these Chinese societies. Therefore, the results from the GLOBE Project about Chinese societal culture and organizational culture will be presented as follows.

2.2.4.1 Power distance

The two Chinese scores on Power Distance ‘As Is’ (5.04) and ‘Should Be’ (3.10) showed the largest discrepancy among the nine pairs of scores. In fact, scores of all countries on ‘Should Be’ were lower than ‘As Is’, showing a common desire that people in all these countries aspire for more equality than they currently have. The relatively higher ranked Chinese ‘Should Be’ score (12th) compared to ‘As Is’ (41st) among the 61 countries may indicate that, compared to managers from other countries, the Chinese managers demonstrate a higher level of tolerance for inequality of power in society. The discrepancy between China’s two scores may be viewed as an indicator of the existing two forces: “whereas traditional values are still highly respected, and constantly pull back Chinese organizational leaders, the internal desire to become competitive, and the external pressure to do so, are all pushing Chinese organizational leaders toward modern Western ideologies” (Fu, et al., 2004, p. 891).

2.2.4.2 Uncertainty Avoidance

China’s two scores on Uncertainty Avoidance are fairly consistent between ‘As Is’ (4.94) and ‘Should Be’ (5.28), ranking 10th and 9th, respectively. The high Chinese scores are consistent with the traditional Chinese value of order. Starting with Confucius, the Chinese seek peace and security by clinging to the past. For centuries, Chinese people were comfortable and felt secure only when they ‘played-it-safe’ (Fu et al., 2004). It may sound bizarre to Westerners, actually ridiculous even to us Chinese now, but it was unfortunately true that during the 1960s and 1970s people in China were led to seek ‘unity and order’ to such a degree that they would run their businesses the same way year after year without change, maintaining the same structure, the same products, the same everything (Bachman, 1991). Therefore, if one understands the long history and the traditional values of order, one should have no problem understanding why the current Chinese society has such a high intolerance for uncertainty (Fu et al., 2004).

It is true that all Chinese people enjoy the better living they have now and welcome change in that sense, but many of them are worried about the loss of ‘order’, therefore longing for more rules and regulations to reduce uncertainties (Chu, 1988).

2.2.4.3 In-Group Collectivism

Chinese scores on family cohesiveness ‘As Is’ (5.80, ranked 9th) were slightly higher than the scores on family cohesiveness ‘Should Be’ (5.09, ranked 58th). The concept of family has always been discouraged. In China, altruism and loyalty, loyalty to parents a home and to bosses at work, are values that the society tries very hard to instill in children (Chen, 2001). A close parent-children relationship is a virtue that is widely respected and valued. “Chinese parents take great interest in their children throughout their t lives, and their children, imbued with the doctrine of filial piety, are constantly reminded of their filial duty towards their parents” (Chao, 1983, p.72).

The reforms, nevertheless, have forced the Chinese to take care of themselves. A study that compared values held by Chinese managers before and after the Tian An Men Square incident in 1989 found a growing spirit of ‘Chinese-style’ individualism, which is “tempered by cultural relationships and centralized controls, yet compatible with Western values” (Ralston et al., 1995, p.15).Young people are becoming increasingly independent. In addition, one-child-per-family policy also makes it impossible to maintain some of the traditional values of a family (Chen, 2001). That is probably a good reason explaining why the Chinese score on family collectivism ‘Should Be’ is much lower than its score on in-group collectivism ‘As Is’ (Fu et al., 2004).

2.2.4.4 Institutional collectivism

For centuries, the individual as an end in itself was de-emphasized in Chinese society. Instead, the network of obligations and responsibilities as a group member of the society was emphasized (Chew and Putti, 1995). As Michael Bond (1991) described it: “Chinese think of themselves using more group-related concepts than Americans do; and they see their ideal ‘self’ as being closer to their social (or interpersonal) self than Westerners do” (p,34). Based on these traditional values, the Chinese score on Institutional Collectivism ‘As Is’ (4.77) was among the highest, ranking 7th among the 61 countries, meaning Chinese society is very collectivistic. The Chinese score Institutional Collectivism ‘Should Be’ (4.56), however, is slightly lower compared to the ‘As Is’ score. Although it ranked in the middle (36 among the 61 countries), the absolute difference between the two scores was very minimal (0.21). The relative discrepancy to other countries may be the result of the changes taking place in China. Like many other Chinese cultural ideologies that are being threatened by the acceptance of Western views, the collectivistic orientation, too, is being challenged (Chen, 1995). Individual contributions are now being acknowledged and rewarded. However, overall, people’s values in collectivism are still quite consistent with the traditional values (Fu et al., 2004).

2.3 Confucianism and Guanxi

2.3.1 Confucianism on Relationships

The philosophy that is known as Confucianism comes mainly from the speeches of Confucius and writings of his disciples. Confucianism has been the main foundation of traditional thought that is deeply rooted in Chinese society. Confucianism is ethical teachings rather than a religion as described in Western literatures. Confucianism is widely regarded as the behavioral or moral regulations that are mainly concerned with human relationships, social structures, virtuous behavior and work ethics. In Confucianism, rules are specified for the social behavior of every individual, governing the entire range of interpersonal relations within the society. The core virtues of Confucius basic teaching can be extracted as Ren (Humanity), Yi (Righteousness), Li (Propriety), Zhi (Wisdom) and Xin (Faithfulness).

According to Confucius, each person had a specific place in society, certain rules to follow and certain duties to fulfill. Confucius hoped that if people knew what was expected of them they would behave accordingly. He, therefore, set up Five Cardinal Relations, in which most people are involved, moreover he also laid down the principles for each relation. These can be illustrated as follows:

Basic Human Relations
Principles

Sovereign and subject (master and follower)

Loyalty and duty

Father and son

Love and obedience

Elder and younger brothers

Seniority and modeling subject

Husband and wife

Obligation and submission

Friend and friend

Trust

Source: Fan, 2000

All of these five, except the last, involve the authority of one person over another. Power and the right to rule belong to superiors over subordinates. Each person has to give obedience and respect to his/her ‘superiors’; the subject to his/her ruler, the wife to her husband, the son to his parents, and the younger brother to the older brother. The ‘superior’, however, owes loving responsibility to the subordinates.

These relationships are structured to generate optimal benefits for both parties, and the principles are laid to achieve a harmonious society (Fan, 2000). Among these five basic human relations, three are family relations, which show strong family-orientation in the Chinese society. Such a characteristic when applied to organizational management, leads to the birth of a paternalistic management style in Chinese society (Hsiao, et al., 1990). As China is a high context culture (Hall, 1976) and places much emphasis on Confucianism, relationships within the Chinese society have been explained in terms of harmony, hierarchy, and development of morality and kinship (Shenkar and Ronen, 1987).

Defining Guanxi

Under the impact of Confucianism, China is a nation whose social relationships are neither individual-based nor society-based, but typically a relationship-based society (Liang, 1974), in which almost everyone tries to maintain Guanxi. Guanxi, which literally means social relationship or social connection, is a prevalent cultural phenomenon that has strong implications for interpersonal and interorganisational dynamics in Chinese society.

The concept of Guanxi is enormously rich, complex and dynamic (Yang, 2001). In English as well as Chinese, it can be defined at various levels and from different perspectives. Chen and Chen (2004) argue that rather than social networks or interpersonal relationships found in the Western literature, Guanxi should be viewed as an indigenous Chinese construct and should be defined as an informal, particularistic personal connection between two individuals who are bounded by an implicit psychological contract to follow the social norms as maintaining a long-term relationship, mutual commitment, loyalty, and obligation.

The Confucian heritage of Guanxi

The connotations of Guanxi vary greatly in different Chinese societies and may change over time even within a single Chinese society. However, some of the fundamental meanings of Guanxi are still traceable in ancient Chinese philosophical writings, particularly the analects of Confucius (Lau, 1983).

King (1991) was among the first who took a theoretical approach to explore in to Confucianism for the historical and cultural roots of Guanxi. He contended that instead of Guanxi, the word ‘Lun’ is used in the Confucian classics, which captures some of the most essential aspects of the ancient Chinese social, political and moral philosophy. Expanding the understanding of Lun may shed lights on the historical backgrounds of Guanxi.

First, Lun attaches paramount importance to human relationships.

The Five Cardinal Relationships as a whole, pictures a social system advocated by Confucius to achieve harmony, integration, and development through a hierarchical form. Inside this system Chinese people view themselves interdependent with the surrounding social context, and the “self in relation to others” becomes the focal individual experiences (Luo, 1997). Although the structural framework of relationship evolved since Confucius time, modern Chinese societies, both mainland and overseas still remain relationship-oriented (Redding and Wong, 1986) or in other words ‘Guanxi-oriented’.

Second, Lun stresses social order.

In Confucian society, everyone knows their own place and whom they must defer to. These status differences are regarded as the appropriate way of conducting relationships and are accepted and maintained at all levels of the hierarchy (Bond, 1991). Rights and obligations of the individuals also differ according to each one’s position in society.

Third, Lun refers to moral principles in regard to interactive behaviors of related parties.

Confucianism has been a main pillar of current Chinese society for forming individual morality as well as for building harmonious community. Confucian principles put emphasis on self-cultivation and sociopolitical harmony. For example, considering the Confucian sociopolitical norms for the ruler, Confucius suggests that those who want to be rulers have to be ethical leaders having virtuous characters and attitudes. However, just as the relationships are highly differentiated, so are the moral principles. In Confucianism, furthermore, there is no universal moral standard applicable to all human relationships. Instead, each relationship has its own moral principles.

The concept of Guanxi is embedded within the Confucius philosophy and it subtly defines the Chinese moral code and perpetuates its influence in Modern China (King, 1993). Lun in Confucius philosophy is actually a concise description of Guanxi. As a social hierarchical theory, Lun has prompted almost all Chinese rulers to adopt Confucianism as a strategic tool to achieve social stability in the Chinese society (Man and Cheng, 1996).

2.3.4 Characteristics of Guanxi

Chinese people attach great importance to face (Mianzi). Face in Chinese context refers to an intangible form of social currency and personal status, which is affected by one’s social position and material wealth (Park and Luo, 2001). Chinese people value the enjoyment of prestige without the loss of face and saving of others’ face (Hwang, 1987). Therefore, to cultivate Guanxi and expand the Guanxi network, it is necessary to maintain a certain level of face. Renqing, as elaborated by many scholars (e.g. Luo, 2007) is another Chinese philosophy related to Guanxi. It refers to an informal social obligation to another party as the result of a favor gained from a Guanxi relationship. On the one hand, Chinese people weave Guanxi web in their daily life; on the other hand, they are bound by Renqing obligations. Tsui and Farh (1997) contend that in essence, reciprocity, he/she not only loses his/her own face but also jeopardize his/her Guanxi. Based on its Confucian heritage and those philosophical foundations like face and Renqing, Guanxi in Chinese context is characterized by some principles.

First, Guanxi operates in concentric circles, with close family members at the core and with distant relatives, classmates, friends, and acquaintances arranged around the core according to the distance of the relationship and the degree of trust (Yang, 1994). In a preordained relationship, e.g. family, since one’s behavior and responsibilities are largely fixed, his/her behavioral expectations and individual desires are heavily suppressed. However, in an external Guanxi network beyond the preordained relationship, one has considerable freedom in deciding whether to enter into voluntarily constructed relations (King, 1991) or not.

Second, Guanxi operates in an exclusive manner. It is network-specific and does not extend to members of other social networks. Many observers have noted that in comparison to Westerners, Chinese have a stronger tendency to divide people into different levels of categories and treat them accordingly in terms of ingroup-outgroup boundary (Triandis, 1989). Guanxi binds people together and defines those who are ingroup and/or outgroup people. Ingroup members are always protected and benefited while outgroup people are walled off and may be rejected (Hui and Graen, 1997). To develop Guanxi is to form the basis for a gradual transition from an outsider to an insider so that a long-term close relationship can be built. Entering such networks ensures trust building, decision-making, and competitive advantages for network members (Haley, Tan & Haley, 1998).

Third, Guanxi is reciprocal. A person will lose his/her face and be viewed untrustworthy if he/she does not follow the rules of reciprocity and refuse to return a favor (Alston, 1989). In Western networks, reciprocity often requires exchanges of roughly equivalent value (Powell, 1990). However, the Chinese Guanxi network is often implicit, without time specifications, and not necessarily equivalent. Guanxi links people of different social ranks, and usually the weaker party can call for special favors from the str

AHONARUOGHO YEWANDE

Globalization is an undeniable phenomenon, which is rather hard to put into words and as a result can be explained in various ways. Globalization which encompasses variant aspects of the modern world, bringing nations of the world closer into a single society through culture, economic transactions, politics, technology and social interactions; is making an ever changing world. GPF (online) [n.d]

According to Beck (2000) [online] Globalization regardless of how it is individually interpreted gives the implication of the deterioration of a state’s sovereign poewer and the structures that guide the territory.

“The world-wide interconnectedness between nation-states becomes supplemented by globalization as a process in which basic social arrangements (like power, culture, markets, politics, rights, values, norms, ideology, identity, citizenship, solidarity) become disembedded from their spatial context (mainly the nation-state) due to the acceleration, massification, flexibilisation, diffusion and expansion of transnational flows of people, products, finance, images and information” this states that due to the increased flexibility and ease of mobility of many factors in an economy that social arrangements have become disembedded from their nation states, all of which is known as globalisation. beerkens (2004) [online]

“The characteristics of the globalization trend include the internationalizing of production, the new international division of labor, new migratory movements from South to North, the new competitive environment that generates these processes, and the internationalizing of the state … making states into agencies of the globalizing world.” This quote is informing about the concepts and characteristics that make up globalization focusing on the internationalization of many aspects of economies. Cox (1994) [online]

Nations tend to come together in form of global unions, these unions are economic to some extent, and such exist within trade blocs.

Trade bloc is an agreement which is formed between states, regions or countries in order to reduce the trade barriers which make trading inconvenient, amongst the regions involved. A well know example of this form is NAFTA, which is a trade agreement between the United States, Canada, and Mexico. Opponents to trade blocs view such agreements are harmful to free trade on a global level Investorwords (online) [n.d]. Trade blocs have rules that guide their interaction with nations within the economic union as well as those that are not members of the union. Manish (2012) [online]

Trade blocs are of different varieties, requiring different levels of commitment and arrangements from the members of the union. To be of the view that globalization is purely an economic union would be false and incorrect as just trade blocs show globalization as six different forms of unions. Manish (2012) [online]

Trade blocs have certain objectives goal which they aim to achieve, one of which is to remove the restrictions to trade among the members of the union, there by promoting free trade and faster movement of resources between members. BMS (2013) [online]

Trade blocs aim to improve the social, economical, cultural and political relationship between its members through the integration of economies, social programs could encourage this promoting peace in the region. BMS (2013) [online]

Trade blocs have the objective of achieving an increase in economic growth amongst its members. As a result in the reduction in trade barriers, it puts firms in a position to produce at lower prices, which would in turn increase demand and lead to a large scale of production. This can result in economic growth and attract investment. BMS (2013) [online]

A Preferential Trade Areas is also a type of trade bloc, interconnecting the nations of the world on an economic level, this is the least committed to trade barrier reductions. In this union members lower but do not eliminate trade barriers amongst themselves and no set arrangement is agreed about their interactions with non- members. Manish (2012) [online]

Free Trade Area is the next stage after, the Preferential Trade areas, all trade barriers are eliminated for members when relating with each other, so all the members are able to import and export goods and services amongst themselves. An example is the ‘North American free trade agreement’ of 1994 between the Canadians, Mexicans and the US; these members establish independent trade policies when relating with non members. Manish (2012) [online] another free trade area example is the European Free Trade Area. Shahid (2010) [online]

Customs Union is the third trade bloc. The member states remove internal trade barriers as well as also agree to implement the same set of common policies when dealing with non member states. Customs union of Russia, Belarus and Kazakhstan, which was initially created in 2010, is a custom union; other custom unions include European Union Custom Council, East African Community. Manish (2012) [online]

The Common Market is a trade union where member’s internal trade barriers are removed, common policies/ barriers are implemented for dealing with trade involving outside parties and free movement of resources such as ‘labor’ exist. Examples of common market include “Mercosur (Southern Cone Market)”, East “African Common Market”, European Economic Area and “West African Common market”. Manish (2012) [online]

An economic union is one of the trade blocs that exist between nations that further make the nations of the world more integrated and connected. It requires members to remove internal barriers and agree to use common barriers for externally, allowing free movement of resources and adopt a unified set of economic policies. The European Union is an example of such; with one currency they have adopted one monetary policy. Manish (2012) [online]

An economic union such as the European Union speeds up the process of globalization, increasing trade amongst the members of the EU as well as increased labor and capital mobility such as migration of Poland citizens to the United Kingdom and Ireland. The EU has expanded its sphere of influence to over 20 countries, making for over 356 million in population. Pettinger (2008) [online] Other economic unions include CEMC (economic and monetary community of central America), OECS (organization of eastern Caribbean states), UEMAO (west African economic and monetary union).shahid (2010) [online]

In addition to the integration of the nations belonging to the trade blocs it is also seen that globalization is further aided by trade blocs which make negotiations easier on a global level. An case relating to trading negotiations is, the European Union bargains as one singular bloc making it easier and faster to push through practices which increase free trade. Pettinger (2008) [online]

Full Integration is the final stage, coming after economic union. The members become fully integrated; an example is the United States. Manish (2012) [online]

When viewing the definition, principles and aims of both globalization and trade blocs, they complement each other, both resulting in interdependence and increase in trade; Wang (2010) [online]. As a result it is easy to assume that globalization is purely an economic union formed by trade blocs. However, it should be noted that trade blocs can be seen as a hindrance to globalization because it promotes regionalization and not global elimination of trade barriers, causing conflicting parties to fight for regional interest; thereby building trade barriers for the rest of the world and preventing the importation of goods from other countries; Wang (2010) [online].This contradicts with globalizations purpose of one world and interlinking of all nations and “free trade” amongst all; Wang (2010) [online]. For example, the EU’s CAP placed high tariffs on importation of food and the dumping of surplus food items onto world markets. Pettinger (2008) [online]

Trade blocs especially at its most integrated economic level when a common currency is established and a common fiscal policy within the union exists among the members- economic union- it leads to reduction of the power and sovereignty of a national government over its own territory. Although the states can take independent decisions to influence the total demand, income allocation and the level of production of their economies through the use of simple fiscal policies unless common fiscal policy is implemented in the economic union. As a result monetary and fiscal policy integration is the basis for an economic union and the application deepens the integration of its members, making it a single economic union and removes all kinds of economic borders. Hashimov (2013) [online]

Trade blocs provide a larger market for exportation of goods, this creates a forum for the global products which can be linked between nations of the world, and this creates the possibility for more revenue for nation states. Admin (2012) [online]

Trade blocs due to the integration of markets leads to increase in competition and productivity on the part of the nations belonging to the same trade bloc, ensuring to produce quality goods while the consumers had increased choice and lower prices due to the size of the market and number of competitors. Admin (2012) [online]

Trade blocs make for a higher and increased rate of investment due to the larger market available as market is expanded. Admin (2012) [online]

Trade blocs however have the negative effect, for example they undermine the efforts of WTO (world trade organization) because there is a possibility that the whole world would become regionalized and that would prevent trade liberations due to the rules and norms associated with trade blocs. Trade blocs would deter the WTO goals and undermine international trade laws. Admin (2012) [online]

Trade blocs have the negative effect to globalization of creating unfriendly political tension and “hindering diplomatic relations” between members of a trade bloc and non member through discriminatory policies. Admin (2012) [online]

Other factors unrelated to the trade blocs are important and significant to globalization. The main contributing factors to globalization could be argued but these are some factors that are contributing:

Improvement in technology which enable global transport and communication to be carried out much easier, which also helps reduce the barriers of distance. Pettinger (2008) [online] the level of improvement in technology of transport and communications has led to a reduction in the prices for transferring goods, service and factors of production as well as making it easier and cheaper to communicate economically useful knowledge and technology. Mussa(2000) [online]

Information technology is a main contributor in the process of globalization in form of a catalyst, it increases the accessibility of information and economic potential. Enabling for efficiency in the economies of nations as political and commercial information can be transferred easily and at a fast rate. Information technology encourages the creative use of resources to promote and advertise new products and ideas across borders and cultures regardless of its geographical location. Technology is now the leading factor of the modern world creating employment, new ideas, and networking sites which enables global connection and communication.globalisation101 (n.d) [online]

The growth of multinational companies. Pettinger (2008) [online]

Globalization is also a political union of nations around the world, there are military-political blocs existing which is a union among states that have agreed to unite, cooperate and have unified actions and responses to address common political, economic and military tasks. Encyclopedia(1979) [online] an example of a political union is NATO.

G. Bertucci and A. Alberti , wrote an article “Globalization and

The Role of the State: Challenges and Perspectives”, in which it was stressed that economic globalization is in actuality as a result of political decisions made my nation. Stating that the expansion of international trade as well as finance and investment Transactions do not radically influence the role of nations while the high level of collaboration and joint active show states exercising their sovereign authority over their territories. Thus the authors are of the view that collaborative action instead of weakening their authority over their state reinforces their authority by creating a more secure global environment and greater possibility for exchanges in different areas. Hashimov (2013) [online]

Globalization is also an economic union, it impacts employment, working conditions, income and social protection. Beyond the world of work, the social dimension encompasses security, culture and identity, inclusion or exclusion and the cohesiveness of families and communities. Todayszaman (2010) [online]

In conclusion, globalization is an economic union of nations after all globalization is generally referred to as “economic globalization” as it brings nations of the world together and forms a more integrated and interdependent world. Economic union has led to increased flow of information and ideas, and had led to a change in the way nations interact amongst themselves.

However it should be noted that economic unions can be seen as a hindrance to globalization itself which contradicts the view that globalization is an economic union and in addition globalization is also a political and social phenomenon not solely economical.

Bibliography

Electronic devices

Admin (2012) [online], advantages and disadvantages of trading blocs, available at http://wisebrain.info/explain-the-advantages-and-disadvantages-of-joining-a-trading-bloc-international/, [accessed on the 3^rd of February]

Beck (2000) [online], what globalization represents, available at http://www.beerkens.info/files/globalisation.pdf, [accessed on the 1^st of February]

Beerkens (2004) [online], How globalization is affecting the world, available at http://www.beerkens.info/files/globalisation.pdf , [accessed on the 1^st of February]

BMS (2013) [online], objectives of trade blocs, available at http://www.bms.co.in/objectives-of-trading-blocs/, [accessed on the 3^rd of February]

Cox (1994) [online], understanding the chaacterisyics of globalization, available at http://www.beerkens.info/files/globalisation.pdf, [accessed on the 1^st of February]

Encyclopedia (1979) [online], definition of political blocs, available at http://encyclopedia2.thefreedictionary.com/Military+Bloc, [accessed on the 3^rd of February]

GPF (online) [n.d], globalization definition, available at http://www.globalpolicy.org/globalization/defining-globalization.html, [accessed on the 2^nd of February]

Hashimov (2013) [online], economic globalization and the role of nation-state in economy, available at http://www.academia.edu/3721679/ECONOMIC_GLOBALIZATION_AND_THE_ROLE_OF_NATION-STATE_IN_ECONOMY_THE_CASE_OF_EU, [accessed on the 2^nd of February]

Manish (2012) [online], compositions of trade blocs, available at http://financetrain.com/trading-blocs-common-markets-and-economic-unions/, [accessed on the 3^rd of February]

Mussa(2000) [online], driving factors of economic integration, available at http://www.imf.org/external/np/speeches/2000/082500.htm, [accessed on the 2^nd of February]

Pettinger (2008) [online], The significance of economic blocs to globalization, available at http://www.economicshelp.org/blog/1019/economics/trading-blocks-and-globalisation/, [accessed on the 2^nd of February]

shahid (2010) [online], trading blocs and globalization, available at http://www.slideshare.net/Abdullah2012/globalization-trading-blocks, [accessed on 3^rd of February[

Wang (2010) [online], relationship between regional trading blocs and globalization, available at http://www.ccsenet.org/journal/index.php/ijef/article/viewFile/4955/4119, [accessed on the 2^nd of February]

Todayszaman (2010) [online], social and cultural impact of globalization, available at http://www.todayszaman.com/columnists/dogu-ergil_204938-social-and-cultural-impacts-of-globalization.html, [accessed on the 3^rd of February]

1

GLOBALIZATION IN AFGHANISTAN

“It has been said that arguing against globalization is like arguing against the laws of gravity”, once said Kofi Annan who is the seventh secretary general of the United Nations. It is interesting to know that globalization has become such a powerful force today that it is compared to gravity. We hear about globalization quiet often these days, ever wondered what globalization has in store for Afghanistan, one of the popular countries on the news today and one of the poorest. This paper will focus on the findings of the affects of globalization in Afghanistan.

After doing some research on this topic I am surprised to find out that Afghanistan has been affected by the negative forces of globalization. Which according to the Political Counselor Ashraf Haidari stating in his speech on “Transnationalism: Its Impact on South Asian Economy and Politics”, that the negative forces include “transnational extremists, terrorists, and drug traffickers to further destroy Afghanistan and victimize its people” (The Embassy of Afghanistan, 2006). The reason that my initial instinct was a surprised reaction to this finding is because I did not know that these negative forces were a result of globalization, which till now I have perceived globalization as a positive and a beneficial force to many countries.

As we have witnessed China and India being among the winners of globalization due to their flourishing economies, Afghanistan is on the opposite side of the spectrum because there is a substantial amount of corruption involved in every corner of its governance. The leaders and the warlords of Afghanistan are benefitting from the opium trade in the illicit markets around the globe. According to the United States Agency for International Development’s (USAID) Assessment of Corruption in Afghanistan, there has been stated that “ Thirty years of conflict that has weakened underdeveloped state institutions and the country’s social fabric, Afghanistan’s dominant role in worldwide opium and heroin production, and the tremendous size and diversity of international security, humanitarian and development assistance all increase Afghanistan’s vulnerability to corruption” (USAID, 2009).

As globalization reduces inequality in many regions of the world, it also produces winners and losers of globalization. As many people benefit from this, we have to take into consideration that those who lose from this are the ones who live less than one dollar a day which undoubtedly globalization is not effective for them. According to a World Bank Policy Research Report called Globalization, Growth and Poverty it is stated that “Many poor countries with about 2 billion people have been left out of the process of globalization.” In addition the authors have stated some of the reasons for these countries to be left out are the fact that “geographically the countries landlocked and are prone to disease as well as by having weak policies, institution and governance and civil wars”. They also state that “much of the concern about globalization involves issues of power, culture, and the environment” (Collier & Dollar, page 2, Yr: 2002).

Another author, Carol Riphenburg, in the journal from Third Quarterly claims that “Afghanistan is out of the globalization mainstream” (Riphenburg, 2006). She follows stating that, “Afghanistan ranks low on all three indicators of political capacity: extractive capability, institutional credibility, and transparency.” And that is why Afghanistan falls out of the globalization mainstream due to those factors. (Riphenburg, 2006)

For the rest of the world globalization includes the internet, cell phones and the latest gadget communications on the daily basis. And for Afghanistan, although not to underestimate that internet and cell phones also have made their way to some of the larger cities of Afghanistan such as Kabul, Mazare-Sharif and Herat, it is still far away from being part of their daily lives. It has not made their daily basis routines because of many factors but primarily due to the fact that people do not have much access to it. Riphenburg backs this up by stating in her journal that “Although Kabul has as many as four telekiosks, housed in post offices and equipped with new computer terminals and internet access, as well as internet cafes, Afghanistan is overall on the negative side of the digital divide” (Riphenburg, page 511, 2006).

A crucial part of this happening is that there is no electricity in many of the regions. And even if people do have access to the internet, most of the information that is presented online is in English. People would lack this information because of the inability to read or write or simply being illiterate which is due to substantial lack of education. In Riphenburg’s words this would be described as “Use of the internet requires a rather complex set of skills and technology. At the very least, one must have electricity, a communications line, a terminal capable of interacting across the communications lines, and a reasonable fluency in English” (Riphenburg, 2006).

Riphenburg suggest some of the solutions to better the conditions in Afghanistan which includes “Improved security, the rule of law, and an economically viable alternative to poppy farming are needed advances” (Riphenburg, page 522, 2006). Although the facts mentioned throughout the paper incline towards the instability of a Afghanistan, globalization has made at least limited affects on Afghanistan through a competition called “Afghan Star”. Afghan Star was a singing completion where young adults could perform and show their talents in public. Very much alike to what we know in United States as the American Idol. There has been a documentary made based on this competition which is described as such, “After 30 years of war and Taliban rule, pop Idol has come to Afghanistan. Millions are watching the TV series ‘Afghan Star’ and voting for their favorite singers by mobile phone. For many this is their first encounter with democracy” (Afghan Star Documentary, 2008). This film relates to globalization in many ways. The fact that people have risen from the dark and have the courage to perform in public shows a lot in the change and how this is taken from the western culture. To make this event happen there has been many involvements of cell phone companies where they would have to SMS their votes to the participants which is a very democratic way of living and the beginning of globalization.

WORKS CITED:

v Afghanistan in the Globalization Era. The Embassy of Afghanistan. Washington D.C. 2006. http://www.embassyofafghanistan.org/news/news10.html

v Afghan Star (The Documentary Film) 2008. http://www.afghanstardocumentary.com/

v Assessment of Corruption in Afghanistan. United States Agency for International Development (USAID). January 15, 2009- March 1, 2009. http://pdf.usaid.gov/pdf_docs/PNADO248.pdf

v Collier, P., Dollar D. Globalization, Growth and Poverty. World Bank Policy Research Report. Page 2. 2002. http://books.google.com/books?hl=en&lr=&id=p3D_BYtXXQcC&oi=fnd&pg=PR13&dq=losers+of+globalization+afghanistan&ots=GG_pK-7ggp&sig=nq8gB35a3GqgoUGtl5rPHBGwVk0#v=onepage&q=losers%20of%20globalization%20afghanistan&f=false

v Riphenburg, Carol. Afghanistan: out of the globalization mainstream? Third World Quarterly, Vol. 27, No. 3. 2006. http://search.ebscohost.com.webadvisor.emmanuel.edu:2048/login.aspx?direct=true&db=buh&AN=20338552&site=ehost-live&scope=site

The term ‘globalisation’ is a buzzword emerged in the 1990s and refers to a trend and process of variety of political, economic and socio-cultural consequences, resulting from technological changes that are currently transforming the world. Many commentators however focus upon economic aspects of globalisation. Sociologists feel that though the economic content of globlisation cannot be neglected but its socio-cultural dimensions also requires emphasis. Sociologists argue that globalisation refers to both the compression of the world and the intensification of consciousness of the world as a whole. [1] In this paper, I made an attempt to discuss the sociological nuances of the globalisation by using family in India as the basis.

Family – Meaning and Definition

Family is the vital primary group of all forms of human groups. The word ‘family’ has been derived from Roman term ‘famulus’ which means ‘servant’. According to Mac Iver, ‘family is a group defined by a sex relationship sufficiently precise and enduring to provide for the procreation and upbringing of children.’ [2] Parker and Anderson defines family as a ‘Socially organised unit of people related to each other by kinship, marital and legal ties. [3] For Arnold and Green, it is an institutionalized social group charged with duty of population replacement. American Bureau of Census defined ‘family as a group of two or more persons related by blood, marriage or adoptions and residing together.’ [4] Such persons are considered as members of one family.

Family being a primary social group came into existence in order to satisfy the need for protection, sexual urge and economic desires. It is not of a sudden origin but evolved from times and passed through certain stages. Mating relationship, form of marriage, system of nomenclature, common habitation, economic provision to satisfy needs, emotional basis, universality, limited in size, influential group and as an instrument of social regulation are considered as salient features of family.

Family in India

Most striking feature of Indian family system is the existence of joint family system. In a joint family not only parents and children but their brothers and sisters also live in the common household. Sometimes it may include ascendants and collaterals up to many generations. The joint family in India exhibits certain features like largeness in size, owning of joint property, sharing of common residence, practising of common religion and mutual rights and obligations.

Globalisation and Family

Today, globalisation is a buzzword which everyone talks of as per his or her need. The term ‘globalisation’ acquired a contextual meaning and projected as a powerful process of growth that has potential of all round development of human beings. The different aspects of globalisation – economic, political, social and cultural have important implications for human life, including the family life. In a globalised world, the economy is supposed to be characterized by open, liberal, free market and free trade with few or no regulatory barriers. Therefore, all the developing countries are in a race to increase their share in world trade. Greater mobility takes place in economic capital and materials, when trade and business of a country increases. However, this factum of mobility is not confined to economic capital but also extend to human capital which leads to change in values and culture. Changes in human values and institutions (including the family) occurs when there is scope for greater mobility of people and more interactions among people of different cultures. The role of mass media and communication technology cannot be ignored in changing the socio – cultural values. The world is shrinking to a global village and its people are becoming closer and closer. Thus globalisation has a profound influence on all walks of human life including personal and family life.

In this paper, I have attempted to explore the consequences of globalisation on the institution of family in India. This paper will deal with the fast changing modern families in the urban centers of India. In the past few decades, industrialization, urbanization, globalisation and rapid growth of information technology have produced myriad challenges and made a powerful impact on different segments of societies everywhere. Since globalisation has not only economic aspect but also social cultural and political implications, any of its outcome has to be assessed in terms of how it is influencing the relationships and cultural life in a society.

Impact of Globalisation of Indian Family system

Traditionally, in India, the basic unit of society was not individual but the joint family. Ever since independence, Indian Society has undergone and continues to undergo great change in every walk of life. By enacting number of laws an attempt is made to change social, working and living conditions of people. The impact of globalisation on Indian family can be viewed in two different ways. Some argues that in the era of economic restructuring the institution of family is emerging as a much stronger institution than ever before; others argue that family is becoming progressively weak due to globalisation and individualism is growing up. Peadar Kirby, who refers family as a social asset opines that far from being able to protect vulnerable people against risk, families themselves are experiencing considerable stress and requires assistance. [5]

Increasing mobility of younger generation in search of new employment and educational opportunities allegedly weakened the family relations. The family bondings and ties started loosening due to physical distance as it rendered impracticable for members of family to come together as often as earlier. This affected the earlier idealized nation of ‘family’ as the caring and nurturing unit for children, the sick and elderly.

Another striking impact is a gradual change took place in the family structure from joint / extended families to nuclear family pattern. The small or nuclear families almost all have replaced the joint family. One can hardly found any joint family in the urban India. The traditional authority structure i.e. head of the family i.e. father / grandfather/karta started loosing his authority to the bread winner of the family. Even within the nuclear family one can witness the changing marital roles and distributions of power. Total subordination of women to men and strict disciplinarian / hitlarian role of father towards children are also changing. Younger generation, particularly those with higher education and jobs, are no longer believe in total surrender of their individual interests to family interest. The individualism is increasing even within the family structure. The increasing costs of education, health services and new job opportunities opened up for the women outside the house once again brought the role of family into question.

Change is a social phenomenon and no society can remain static. Society changes according to time, wishes and needs of its subjects. Speed and extent of change differs from Society to society. Currently, India is one of the rapidly changing societies and appears to be in forefront to follow and adopt western styles of family life. The role of family which earlier used to occupy ziant size in a man’s life now started shrinking. In view of increasing materialism, consumerism, younger generations are leading entirely a different way of life. In the process of finding their partners / mates, younger generations are depending mostly on internet marriage sites like ‘Shadi.com, Bharat Matrimony.’ Family involvement in finding a groom / bride is reduced to nominal. Apart from regular festivals, new occasion like ‘Valentine’s day’, ‘Mothers day’, Father’s day’ are emerging. Weekend parties, kitty parties, visiting pubs and discos almost became a very natural thing. More and more job opportunities created through BPOs, KPOs and Call Centers have facilitated this freedom of enjoyment.

The ever increasing higher education and job opportunities opened up due to globalisation have largely influenced the Indian families particularly in urban metros. Going to America / London / Australia either for higher studies or for employment became a norm. It is also not uncommon for a boy or girl who went to abroad (either for higher studies or for job) to marry a foreigner and settle down there. Even most of married men and women are going to foreign countries by leaving their spouses, parents and kids in India. This has contributed to a fundamental change in the nation of ‘ideal traditional joint family concept. Not only a structural but also functional transformation of family system took place. Marriages are no more made in heaven but on internet. Married men and women are staying separately at far off places on account of their jobs which are providing lucrative pay packets and financial security. Apart from this, single living, single parents (person who had children beyond wed lock) and living together without any formal marriage are also found in the society. Not only the conjugal relationships but also the parent – children relationships has also undergone a tremendous change. In most of the working – couple families, parents are not able to devote time to meet and interact with their children. Working in night-shifts became a norm in BPO, KPO and call centre jobs. By the time parents reach their homes, children are either fast asleep or already left for their schools. Behavioural problems are cropping-up among the children due to lack of interaction and proper guidance by parents. It is often said that as we send out children to creches they in turn send us to old age homes.

The pattern of change that took place in family dining is also worth observing. Neither children nor parents are interested in having traditional break-fast items like Idli/Dosa/Chapatti/Roti/Parantha on account of paucity of time. Most of the children are interested in having junk foods like pizzas, burgers, chips, wafers and snacks. The change in eating habits are making the younger generation proned to obesity and other health problems. At one point of time, eating outside was considered as a taboo which now became a regular practice. Most of the urban families hang out at restaurants and fast food centers like pizza Hut, Mc Donalds, KFC, atleast once a weak. Having dinner while watching Television or chatting on computer became a very common thing in most of the households.

The institution of family is undergoing dramatic change in India. in Southern States like Keral, Tamilnadu, Andhra Pradesh and Maharashtra, it is a common feature that families send their son or daughter to foreign countries for advanced studies as a mode of investment. Once the boy / girl completes their studies and gets job, they start sending money to their homes in India which is often used in education or carrer development of siblings or relatives with these remittances of money, family in India also enjoys a spacious house, luxury cars and heavy bank balances.

Conclusion

Benefeld once pointed out that ‘most depressing aspect of globalisation theory is that human beings are on the whole ignored. [6] Globalisation transformed man as materialistic and self-centered. Economic risks generate various forms of social risks such as unemployment and poverty and financial crisis. Despite of increase in material wealth and living standards, life is becoming a daily struggle due to high competition. Family who earlier used to take care of its vulnerable members is no more in a position to serve. Advantage of family and its values as prevailing in India can not be ignored. At the same time, acceptance or rejection of traditional values of hierarchy depends on the experiences shared by each family.

Although the term ‘globalisation’ was only known to me from items on TV and in newspapers, I have tried to make a thorough analysis in this paper for my English course. I am not an economist, so the subject was rather new to me. In the different media, globalisation is usually dealt covered from an anti-globalisation angle. This raises the first very important question: is globalisation all negative or does a global economy also have merits?

Unfortunately, because the subject is so extensive I have to narrow it down. I therefore choose to describe the participation of women in the process of globalisation.

The paper is constructed around the following themes:

a-? What is globalisation?

a-? How does globalisation affect women? An introduction

a-? Participation of women in the economy

– Effects of export, economic foundation

– The Infant Industry Argument

a-? Women’s representation in the political process

a-? Women and education

a-? Women and health

a-? Modern Day Slavery

a-? Violence against women

a-? The rise of NGO’s

a-? An interview with an Usbek girl

a-? Conclusion

a-? What is globalisation?

‘Being spread all over the world’, that would be the literal definition of globalisation. With the means of modern technology and communication, used all over the world these days, we know almost immediately what is happening on the other side of the world. We get more connected with each other and, as a consequence, we become evermore dependant on one another. Our world has increasingly become a unity, because globalisation establishes itself on a political, economic, social and cultural level and these four groups are related.

The term ‘globalisation’ is not new, some say that the process started in the 15th century when the Europeans – or more specific the Portuguese and Spanish – wanted to expand and travelled oversees, thus conquering the South and Middle-American continent. Also bear in mind the battle between the English, French and Belgians over Africa.

Other sources state that globalisation began in the early eighties thanks to new information technologies such as the Internet.

As a result of this globalisation, the economies of different countries met and were forced to cooperate, necessitating the construction of one system so all economies could merge. In order to realise globalisation as we know it at present it is critical that some companies and less powerful concerns are gradually replaced by big and powerful multinationals and big monetary companies.

But globalisation is a much bigger process than the mere increase of international trade and foreign investments. When we take a look at companies in Belgium, we notice a strong mobility of capital and workers.

Globalisation is a global realisation of a world economy; custom houses are no longer needed and therefore abolished, prices increase so the returns of companies grow bigger. We aim for as much privatisation as possible where companies part of the public sector are transferred to the private sector.

a-? How does globalisation affect women? An introduction.

The United Nations watches over the rights of all people, including women. It estimates that over 58 million primary-school-aged girls worldwide are not enrolled in school, more than two-thirds of the world’s births occur outside health facilities. Many countries, among which the United States of America have not signed or ratified the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW).

It is not very difficult to see that the life of women has greatly improved since globalisation, particularly in third world countries where women had a lot of catching up to do.

Nevertheless, the development of women in areas of life such as education, health and civil rights is still very limited. According to the United States Agency for International Development and the World Bank, 55% (of a total of 72 million) of female primary-school-aged children do not attend school. Furthermore, when they do receive the opportunity to get an education, it is less likely that they complete their primary school compared to boys.

International communities, such as the United Nations, use and monitor indicators of gender equality. In 2010 the United Nations wrote their ‘UN’s Millennium Development Goals’ in which they verify gender equality and the empowerment of women. Some of the indicators of gender equality used by the United Nations are levels of female enrolment at school, participation in the workplace and representation in decision-making positions and political institutions.

Many international conferences have discussed the various and unique problems women have to face. The UN have created a new identity: United Nations Women. It controls gender equality and the implementation of laws regarding female rights.

a-? Participation of women in the economy

Effect of export, economic foundation

A close inspection of a few economic principles reveals that a country benefits from trade with other countries. We can safely say that a country’s welfare increases as soon as it becomes an exporting country. If the world price for a product is higher than the domestic price, a country will export its goods. By doing so, the total surplus increases. On the other hand, when the world price is lower than the domestic price, the country must import goods to have an increase in total surplus. Either way, a country’s welfare will always increase by setting up trade.

The Infant Industry Argument

Many third world countries are convinced they should follow the theory described in economic literature as ‘The Infant Industry Argument’, stating that trade restrictions will help a developing industry to get started. These countries think that their industry will be able to compete with foreign competitors after a period of protection. However, there are many reasons why economists are sceptical about this protectionalism.

First of all, these restrictions are difficult to put into practice. Some questions the government will be faced with are: ‘which industry will be profitable?’ and ‘will the benefit of establishing these industries exceed the cost for consumers?’

Don’t forget the problem of protection mostly going to those companies that are politically powerful. Also, it is very hard to remove this ‘temporary’ policy.

In addition, many economists are sceptical about the infant industry argument, even in principle. When the industry is unable to compete, but can prove profitable in the long run, the owners of the firms should be willing to incur losses. After a while, they can obtain possible profit.

So, by being an exporting country, a quicker economic grow is more likely and consequently, a country that wants to expand its economy, has to be able to put many people at work. In that hypothesis, women have to be part of the working class. Closer inspection of different third world countries shows that women’s employment varies greatly. In some countries in the Middle East participation of women in the local economy is the greatest of the world. In East-Asia 67 % of all women is working while the global average is 53%. On the other hand we find very few women being part of the working population in some Arab countries, for example only 15 % in Saudi-Arabia.

When we look at the reasons why there are so many and great differences in employment of women, we finally discover a difference in social-cultural factors. For example, many Maghreb countries believe that women cannot work. Likewise women are being tightly politically controlled in many Arabic countries, with laws describing what a woman should and should not do. Mostly, they have to stay at home and take care of the children and the household.

Having said that, women are obviously called upon to contribute to the family earnings by going out to work when the family grows and the household increases. Yet, on the other hand, she is the first to give up her career and stay home as soon as she has children.

This is not the only problem women face; in most countries, even in so-called developed ones, women are worse off than men. They earn less money for the same work and will not easily make it to decision-making jobs. More often than not women are to be found in such sectors as education and sanitation.

So, what is the effect of globalisation on these issues? We can see that globalisation improves women’s economic achievements; they will be able to earn and control their income and as such, empower themselves to negotiate their role and status in their household as well as in society. Countries must change their way on women because women are essential for the increase of the national economy. Employing only men will not be sufficient to reach that goal.

The gains for women who work are double: women’s employment does not only increase the economy, it also appears to improve child survival rate, family health and to reduce fertility rates.

Unfortunately, the situation is not always positive. Even though a number of these countries are able to put women to work, the job is often dangerous or the working conditions are very bad. They even have to carry out jobs men turn down. Additionally, women have little rights concerning working hours, health care, privacy protection aˆ¦

These gender-related problems aren’t restricted to underdeveloped countries, though. When looking at Europe, for instance, it is women who are most likely to be discharged in times of recession. Also, in most European countries, women still do not earn the same wages as men.

It is less likely to find a woman in an important job than a man. Mostly, the reason is that men have the positions to hire people and often they think that a man is a safer choice.

In some companies it is customary not to employ women in their fertile years, because of the cost of having to employ a substitute during the woman’s maternity leave.

Organisations such as Human Rights Watch zealously battle for legal protection of women labourers. They also want to strengthen their legal protection and ensure easy access to legal resources. By doing so, they aim to increase participation in work as a positive development for women, when the law is on their side, men will give them the opportunity to work outside the household.

Still, every beginning is hard. Underlying factors have to be changed before serious progress can be made. As the United Nations stated: ‘Women have entered the labour force in unprecedented numbers, increasing the potential for their ability to participate in economic decision making at various levels, starting with the household’.

a-? Women’s representation in the Political Process

Many international agreements discuss the goal of gender equality, yet many local governments lack female participation. Nevertheless, increased representation of women in decision making is crucial for the empowerment of women.

World conferences like the Beijing Fourth World Conference and the Millennium Development Goals recommend several programs for this purpose. However, when we investigate recent data we notice that the process is slow and the outcome around the world is very different.

Many organisations such as the Women Leaders Initiative, created by the World Economic Forum tried to up the participation of women in global economy, by increasing the representation of women leaders at global summits. The target internationally agreed upon is a female representation of 30 %. In 2010, 26 countries, among which Belgium and the Netherlands, reached this target. Some governments pulled through by introducing quotas for women’s political participation.

But increasing women’s representation is not the only issue governments have to deal with. When women arrive in decision-making jobs by quota, they do not only have to be present, but they also have to be genuinely involved in the actual decision making process. Unfortunately, not all women are fully prepared for the job. In the new Bulgarian parliament, for example, women secured 26% of the votes (40% of the eligible positions were occupied by women as a result of campaigns by NGO’s). But after the election a study showed that women were not fully prepared for their career. They apparently did not want to represent women’s rights or interests. Currently, only 9 countries around the world have a female leader.

a-? Women and education

Where education is concerned, research yields very different results in different places. In a number of African countries, women can’t go to primary school, for instance. This situation is completely the opposite in some Asian countries where there are more women than men in secondary schools.

Generally speaking, girls in the poorest countries have the lowest chance of getting an education.

Yet school attendance is not the only issue we have to measure; illiteracy is an extremely important problem, seeing that 64% of all illiterate adults worldwide are women.

Illiteracy is one of the indicators used by the UN Millennium Development Goal to progress gender equality. The international community hopes, and I quote the Levin Institute, ‘to eliminate gender disparity in primary and secondary education in all levels of education no later than 2015’.

We know that education is very important, educated women stand a slimmer chance of living in poverty, hence alleviating poverty in general. Non-governmental organisations such as the UNESCO also state that female education has positive effects on child health and provides other members of the household the chance to educate themselves. Furthermore, women who have enjoyed an education participate more in the economy.

When looking at extremely poor countries which are mostly rural, women are not likely to complete any type of schooling. Yet, education is a basic human right and as such defined in the Universal Declaration on Human Rights.

The World Education Forum hopes to see changes in attitudes, values and practices to end gender inequality.

The UNESCO noted that, especially in poor African countries, it is not the policy that holds women back. A Girl’s education is not valued in many societies because women have to take care of the household. Therefore only boys can receive an education, because they have to learn skills to work outside the home.

In some countries it is very difficult to go to school because of the distance. Primary schools are usually near the home, but because secondary schools are at a considerable distance, they are often not attended because if they do attend the children have to leave home. Exposing girls to the outside world seems not important . Their place is at home, doing the household. The only knowledge they need for cooking and caring for others, they learn from their mothers and older sisters.

Another problem is that schools do not provide with adjusted sanitary facilities for girls. So governments have to fund schools to build lavatories for males and females.

In some countries, families are offered a small fee if they send their girls to school. To eliminate fraud, the salary will only be given to the family after the children have passed their exams. By doing so, parents are also affected in the process of change.

Globalisation provides the world with the opportunity to make changes. Global organisation can monitor all countries and set up rules so that women get the power they need. By giving them an education they are also given the opportunity to speak for themselves.

a-? Women and health

Poor health is a problem numerous developing countries have to face. Reasons are limited services or access to them, lack of education and too little information about health issues. When looking at the situation of women, it is evident that they are also affected by other problems concerning health. For example, mal nutrition, sexually transmitted diseases, pregnancy complications. Although in many cultures women are the first to take care of others who are in need, they are often the last to receive medical treatment themselves.

Organisations such as the World Bank try to educate women by teaching them how to protect themselves against sexually transmitted diseases like HIV. In some countries in Africa and Asia the contamination with HIV has taken the form of an epidemic among women. Studies show that women are twice as likely to be infected with contagious diseases than men, especially due to a lack of information and education. The reason that women are more affected is to be explained by gender inequality. Women are not in the position to refuse sex or to demand the use of a condom. By promoting gender equality, women’s rights organisations try to improve the bad position of girls and women. Women have to be taught to speak up for themselves and control their own lives, they have to show resistance to the often very dominating males.

Educational programs developed by organisations such as the UNIFEM provide them with information about nutrition in order to have a healthier life. This is not only useful for the women themselves, but the whole household will benefit by it.

One of the most important issues non- governmental organisations have to deal with is maternal health, especially when realising that the majority of maternal deaths can be prevented. In many cultures the life of a woman is worth less than the time necessary to bring her to a health centre. Often the family waits too long to seek medical help so that the woman dies before even getting to a hospital.

Only by giving women proper health care and information, the number of deaths during child birth can be reduced. Via special programs women are pointed out the dangers of breast feeding when the mother is HIV positive. Along with the information regarding the risks for the baby, the mothers are offered milk powder and bottles to feed the little ones.

Another very delicate problem is that of abortion. In many cultures pregnancy termination is prohibited and women have no rights to argue. Birth control methods are not used and in some religions even forbidden so that women are almost always pregnant. This way the pressure on the household is enormous, frequently with poverty as a result. Also women who have many children to look after have no time left to go out. They have nowhere for a little bit of privacy or tranquillity.

The issue of birth control brings us to another problem women in poor countries have to deal with. Because abortion is not debatable, some women seek refuge in unsafe abortions as last resort when they want to terminate a pregnancy without the family knowing.

These issues remain controversial, not only in third world countries but in all countries with religious societies such as Catholic and Muslim countries.

Nevertheless, scientific studies show a connection between poverty and the number of children a woman has. When the poverty of women decreases, the fertility rate increases. Also, a woman who has less children to take care of is able to give these children a better education and development.

The Human Rights Commission identifies the practices most threatening to women as (I quote):

“Female circumcision, known as female genital mutilation to its opponents, which involves the excision of a woman’s external sexual organs;

Other forms of mutilation, such as facial scarring;

Various nutritional taboos;

Traditional practices associated with childbirth;

The problem of dowries in some parts of the world;

Honor killing

The consequences of preference for male babies, such as parental neglect and infanticide of female babies.”

In some countries women have to face genital mutilation on religious grounds. That practice has been described by the Universal Declaration of Human Rights as an insult to human rights. It shows a lack of dignity from the part of men and a lack of equality between men and women.

a-? Modern Day slavery

Some women who lead a bad life in poverty believe they can find a better life in a developed country. They are sometimes exploited by organisations who trick them into forced labour or sexual exploitation.

Globalisation made it easier to move people around the world and people get in touch with organisations who promise a better life faster. Often they are taken to a developed country with the promise of a job as a nanny or housekeeper, but when they arrive they end up in prostitution. These women do not have the opportunity to react because they depend on the person who brought them there. The traffickers hold on to the necessary papers to keep these victims in the country. Seeing they cannot get in touch with the authorities, they are forced to live an illegal life.

We often see that especially women of lower class groups are vulnerable. Also the political and economic crisis in some countries contributes to the trafficking of women, as it turns out to be a very lucrative business.

When talking of human trafficking we are in fact dealing with international criminal organisations, meaning, highly mobile structures that are difficult to prosecute. In some countries we find members of the local government involved in this illegal business. Also, when a certain suspect is caught and brought to justice, it is very difficult to find witnesses or victims willing to testify against these traffickers. Because of the international character of the organisations, many people fear for their lives and those of their family members.

In some Asian countries children often end up in the sex industry. Non-governmental organisations try to inform the parents about the potential dangers of illegal sex trade, the risks of HIV and the legal penalties involving the issue.

Not only non-governmental organisations take action, also some governments state it is illegal to travel for the purpose of sex tourism. By discouraging people to take part of the sex industry, the government can diminish the problems.

a-? Violence against women (VAW)

NGO’s provide for rules to combat VAW. In Egypt, for example, women who were treated violently can receive legal advice and counselling on the one hand and help with other issues such as divorce and housing on the other hand.

NGO’s also control the implementation of laws and policies, which is a big challenge because some informants underreport or are biased (do not want to report family or friends). Another problem is the wrong interpretation of the laws.could you provide an example? It is not entirely clear as such

There is also bureaucracy; in some countries, even developed ones like the US, VAW programs are diffused across different political tendencies. The government does not want to take part for a determinate side. This is not clear

In poor countries in the developing world, there is not enough money to spend on programs to inform on violence against women. They often do not have the financial infrastructure to combat VAW.

Because of the intervention of NGO’s, people have become aware of the problem and pressure coming from the community increases. However, when violent behaviour is met with punishment, support from the community is lacking. Abuse still occurs, but when all members of society are involved to fight the problem, the number of incidents of abuse will decrease.

a-? The rise of NGO’s

As a result of globalisation, various organisations defend the rights of women around the world. In the last 50 years, many non-governmental organisations defending women and women’s rights were founded. They work on different themes such as education, medical aid, development and so forth. As a result of their work, we will now find great female political leaders, even in underdeveloped countries like Benin.

Those women inspire a lot of other women to educate themselves and fight for their equality.

a-? An interview with an Usbek girl

Nastaya Buchok is an Usbek girl of 13 years old. She participated in a girls project that “provides encouragement, support and training to select a group of young computer-orientated girls”, sponsored by the International Research and Exchanges Board.

This is what globalisation has done for her:

Globalisation has really affected her life and that of other women too. Thanks to the program she learned that women can also be leaders and can build a future for themselves. When she has completed the program, she wants to cooperate with Youth Organisations. She says that technology can improve the status of women so they can become leaders in their community and be on the same level as men.

a-? Conclusion

While reading about the subject of globalisation I found many pros and contras. The study on which I based my paper, mostly talks about positive results of globalisation, where women are concerned. Globalisation provides them with the opportunity to get an education and offers them the chance to stand up for themselves. Many non-governmental organisations which are zealously fighting for women’s rights have been founded as a result of globalisation.

In many underdeveloped countries women think that leading a life that is dominated by men is normal. They do not know what freedom means or that they have as many rights regarding education, health, politics and so on as men do. Now they are given a voice, the chance to develop. They get the opportunity to make a difference. By training, education, providing services and support the NGO’s offer help to suppressed women. There are people who are lobbying with governments and international organisations for better policies.

The process of change is very slow, but every result, even a tiny one, can make a big difference later. Because women are the ones who educate the children, the results can be seen after one generation already. If we are able to give the women of today a proper education, they will see the importance of going to school and then they will send their children to school. By doing so their children do not have to struggle to get an education, it will be the normal thing to do.

If women are informed on how to build a healthy life, everyone in the family will benefit from it. Children have less chance to be undernourished and so less children will die. We can turn the tide so that mortality among children decreases.

When women know how to protect themselves against diseases like HIV, the number of

orphans will decrease as well as the number of children who are born with HIV or who will get contaminated by their mother because she is ignorant of the consequences of breastfeeding a child while being HIV positive.

Working women have their own income, which will make them less dependent of their husbands. It also gives them a chance to build up a social network outside the home and away from the influence of the family. In every way, being in contact with other partners in adversity, they can widen their horizon. However, going outside is not self-evident for women in many societies and some religions speak negatively of women who are working.

If a woman can secure a job in politics, they can fight the battle for their female population, because not every woman has the ability or the nerve to stand up for her rights. So, having strong women in politics who speak up and fight their battles for women’s rights zealously, all women’s situation can improve. In order to get more women to occupy important political mandates, NGO’s set quota for the countries. As a result of this positive discrimination some countries already succeeded in having one-third of female politicians.

A lot of woman are oppressed by their husband or his family. When we have politicians who know the problems women have to face and want to defend women’s rights, laws can be made to help the weaker ones. The UN offers guidelines to countries to develop themselves and set rules to prevent atrocities like human mutilation.

In the last paragraph I have given my personal conclusion on the subject ‘globalisation and women’. But I must admit that globalisation is a much more complex matter. I did not speak about the economic, environmental and cultural aspects of it. When I discussed the effect of globalisation on women, it all seemed positive. But the fact that we can travel all over the world in only 24 hours and that we in Belgium, for example, know that there has been an earthquake in Japan within a second also has negative consequences.

Through globalisation many local cultures disappear and a new, multicultural society comes into existence.

Because there is no break (what do you mean by this?) on economic globalisation, some natural sources are overexploited. In the early days, people only took what their society needed, now big companies reclaim without thinking of the consequences for the environment or without looking at the future. The only thing of importance is profit.

Also, big companies grind down the population by putting people at work for starvation wages. They often are not averse to child labour.

Another disadvantage of companies going abroad for the production of goods is that people in the ‘rich’ countries are unemployed because factories are closing.

When we put all the pros and contras together, globalisation is in many ways a blessing, especially in third world countries and for people who are discriminated or suffer disadvantages. Both men’s and women’s lives have improved and will continue to do so.

Also it is thanks to globalisation that organisations like the United Nations, Unicef the WHO and other non- governmental organisation have been founded and that, as a consequence, the rights of the weak participants in all societies are defended. Those organisations take a look at the whole picture and every individual in it. NGO’s watch that the Human Rights are being observed and take action if they are violated.

The GDL is defined as the division of socially necessary activities, including productive and reproductive tasks, on an international level. Classically, this would see the specialisation of countries in the production of particular types of products.

Few inclusive analyses of the GDL have been offered, as differing opinions exist in relation to the GDL. According to classical theorists such as Adam Smith, division of labour has allowed for an increase in production and has allowed industrious nations to experience “universal opulence” (Smith, 1776: book 1); specialisation, for Adam Smith, is the key to productivity and substantial development. Karl Marx, who focused on changes into the modern times, viewed capitalism as a system of production that contrasted previous economic orders in history (Giddens, 1993: 708); capitalism would advance with the intensification of the division of labour. Emile Durkheim, who concentrated on the social implications of the division of labour, concluded that new forms of social cohesion form resulting from advances in the division of labour (Giddens, 1993: 707).

Theories of this GDL have altered over the years. The classical division of labour saw two domains of production linked by one-way trade in raw material and factory-made products, respectively; the metropolitan countries were countries with the most factories, with the colonial countries having less. This classical international division of labour continued in the postcolonial period, with Northern hemisphere countries still dominating as the world’s industrial hubs; Southern hemisphere countries predominantly engaged in primary sector production.

Furthermore, the classical theory persisted in the form of the modernisation theory, which suggests, “that uneven world development can be linked to the advance of industrial societies overtaking traditional societies” (Macionis & Plummer, 2012: 306) – industrial societies being northern countries, and traditional societies being those in the south. The main differences between these countries include their cultural identity, where northern countries focus on individualism, and southern countries on community and family. As long as traditional culture stays strong, the classical division will remain and modernisation will remain a struggle to achieve.

Carefully related to the modernisation theory is the world systems theory, which revolves around a clear division concerning the core and periphery. It is because of this belief that there is only a single world that is “connected by a complex network of economic exchange relationships” (Macionis & Plummer, 2012: 306), that some believe is an “unequal international division of labour” (Macionis & Plummer, 2012: 306). Immanuel Wallerstein further described this phenomenon as a system encompassing of three spheres, namely the core, periphery and semi-periphery. Based on the logic of capitalism, the system promotes unevenness, absorbed with wealth and power in the core, leaving the periphery facing poverty and exclusion (Macionis & Plummer, 2012: 306).

As a result of unexpected development in some peripheral regions in the 1970s, the ‘classical’ international division of labour was altered to the emerging New International Division of Labour (NIDL). It was because of falling profitability that resulted in the relocation of some manufacturing processes to the peripheral countries from the core. This was a reaction to the “rapid industrialization of East Asia and other newly industrialised countries (NICs) and to the partial deindustrialisation of the old heartlands of capitalist production” (Cohen & Kennedy, 2007: 197). This ‘global industrial shift’ did occur due to the supply of labour in the periphery, and the low-cost labour-intensive manufacturing processes.

The global division of labour, although focused on economic issues, did also have its hand in social issues, initiating advantages and disadvantages in both areas of society.

It was Durkheim who concluded that the increasing division of labour allowed for an increase in independence; it is here where Durkheim would link this view with his study of anomie – the feeling of aimlessness provoked by certain social conditions (Giddens, 1993: 707). In an ever-growing economic world, it becomes clear that societies do not grow socially as they do economically. As “industry is one of the most globalised manufacturing sectors” (Giddens, 1993: 546), one could say that it has a more far-reaching effect than any other in terms of the GDL. It is here, with Transnational Corporations, that one can see the driving force of the division of labour.

Tracing back to the Industrial Revolution, for example British East India Company being the first multinational (Robins, 2006: 24), TNCs have been the only winners. Whenever a company exports any sort of capital – money, or labour – it contributes to the unemployment in the home country, like in the case of the NIDL (Cohen & Kennedy, 2007: 197), benefitting only the consumer and the TNCs who abuse cheap labour. These companies do develop infrastructures in peripheral countries, developing a dependence on the core countries by the periphery. Contrastingly it is also possible to move from periphery to core, which was the case for Japan, rising from the periphery to the second position in the core bloc in the 1970s (Cohen & Kennedy, 2007: 196).

The global division of labour is not only about factories moving, but people as well. This entails people searching for jobs across borders as well as internally in a country. As a result of large labour migrations, friction can occur in the form of xenophobia against a worker’s culture, or an issue involving trade unions. It is in this case that NIDL, a form of glabalisation, “has generated more extreme forms of racism as people try to defend their own national identity” (Macionis & Plummer, 2012: 164).

Globalisation, a result of the GDL, is ‘for many women around the world a concrete process of exploitation’ (Macionis & Plummer, 2012: 514) as there is “no known instance of society in which women are more powerful than men” (Giddens, 1993: 173). This should not come as a shock to anyone as women remain “compelled to work in ‘the sweatshops of the world’” (Macionis & Plummer, 2012: 513). This is a solid example of just one gender group marginalised by the GDL. It is in peripheral countries where workers are “exploited to produce goods for the richer nations, as in Korean enterprises where many Burmese workers work on textile production” (Macionis & Plummer, 2012: 513). The spread of work between genders across borders are as questionable as the wealth gaps between First and Third World nations.

The GDL, as a result of its differing theories and forms, can be described as complex. Smith, Durkheim and Marx had classified it differently as a result of opinions; similarly the process has evolved from its classical form to the NIDL. Furthermore, complexity is seen in a lack of a simple international arrangement as the global workforce is divided, shaped by social and economic factors. The GDL can be socially valuable or destructive as it is inclusive on a world scale yet it functions on the basis of division and inequality. By accessing the ‘winners’ and ‘losers’, one can deduce the contradictions this procedure is known to harvest.

(1198)

China, located in the region of Asia, and with a population of over one billion people and counting, is the most rapidly growing economy in the world. In 2008, China’s economic engine, based on purchasing power parity (PPP) metrics, was determined to be the next largest economy in the world, in position behind the United States (Coleman, 2009). Beginning in the early 1990’s, China culturally and economically shifted in the direction of reform by allowing businesses, both government level and privately owned, to maximize the monetary benefits of trading beyond its borders. China’s economic gross domestic product (GDP) prowess has remained a consistent ten percent over the past twenty years. Since 2004, it appears to have shifted into hyper-drive, cresting at 13 percent in 2007 (Coleman), only to slow due to the global financial crisis that occurred in 2008.

In just a matter of years, China is poised to supersede the United States in terms of overall global trade economy, and given its current pace, emerge within the next twenty as the world’s largest (Congressional Research Service [CRS], 2007). Multitudes of economic sectors in the U.S., particularly manufacturing, will feel a significant impact as the unregulated low-wage Chinese labor force begins to hyper-produce low cost goods to the well-informed American consumer. Analyst report the U.S. trade deficit with China has surged to an estimated $232 billion in 2006 (CRS). China’s economic policies appears to favor unfair trade practices that fuel an ever-increasing trade imbalance and can potentially undermine the ability of U.S. companies to complete competitively in the global market and domestically (CRS). Therefore, For Americans businesses who want to successfully complete or do business directly with China, it is imperative to a have a keen understanding of the culture from a variety of angles. This paper will attempt to analyze the fundamental social and economic forces behind this Asian powerhouse and will concentrate on the following areas of discussion:

The fundamentals and scope of the culture in this region

How fundamentals and scope affect the culture in the process of conducting business

A comparison of the American and Chinese culture

The ramifications for U.S. businesses willing to conduct business in this region of the world

The Fundamental Elements and Scope of Chinese Culture

Threads of Commonality

For a business to be successful in China, it must first take the time understand the fiber that threads hundreds of generations into a single weave. Chinese cultural history covers a span that encompasses over four thousand years. Like most cultures, the Chinese have unique features of commonality that connect society. Some of the most dominant include the concept of collectivism (orientation toward the group), the importance of saving face (embarrassment), hierarchical respect for age and leadership, and the emphasis of relationships (Wong, 2001). Realizing the significance of these individual components and adjusting to these concepts gives foreign businesses a unique advantage in business practice.

Collectivism. Based on Geert Hofstede’s research of cultural dimensions, China has the lowest individualism (the opposite of collectivism) ranking of any Asian country. Low individualism creates a converse emphasis on strong integration toward in-groups (insiders) versus out-groups (outsiders) (Hofstede, 2009). Chinese children from a very early age are acclimated into a type of group membership retained throughout life. Unlike individualistic societies, such as the United States, the term “we” is the predominate factor that is engrained in the mindset of the masses from the onset (Wong, 2001). Therefore, as a nation, the idea of groupthink takes on the dimension of a collectivist society. Collectivist cultures, like China, inherit perceptions that take on unique characteristics. For instance, in a conversation, collectivists tend to listen to the tone of the conversation rather than rely on the message itself. Furthermore, collectivists believe that one’s behavior is primarily a factor that based on societal norms or positions rather than individual attributes or personality (Triandis, 2004). In addition, as one might suspect, collectivist cultures emphasize the importance of maintaining loyalty to associated groups rather than to the concerns of self.

Nothing is absolute. There are individualist thinkers in China that have broken away from the social norms and behave independently. These modern day Chinese liberalist who express themselves in manner similar to the individualist who are termed idiocentric (Triandis). Idiocentrics are termed to be self-centered, focused, aggressive, and argumentative. Within individualistic societies, idiocentrics comprise a percentage of 0-35 range. Surprisingly, idiocentrics within collectivist societies comprise a higher percentage of 30-100 range (Triandis). Largely, however, collectivist societies are comprised of individuals who termed allocentric. This group is usually made of people who have very little education, low social status, financially dependent on others, religious, and most likely to accept social norm (Triandis).

Saving Face. Another critical dimension of the Chinese culture that is prevalent within society and essential to understanding when conducting business is the concept of saving face (Face). Face encompasses the intellection of credibility, respect, honor, and reputation (Oetzel & Ting-Toomey, 2003). Beginning in the early years of development, Chinese school age children learn, usually through their immediate social group, that mistakes are highly discouraged. Often, when mistakes do occur, harsh disciplinary actions follow that result in strong feelings of shame (Tromby & Yu, 2006). Eventually, this rigid unwavering mindset evolves into an extremely competitive attitude as students fiercely compete for highly sought admittance in top universities and institutions, and continues to prevail though the life of the individual, despite occupation, rank, or social status. Research indicates face in Chinese societies has a direct correlation to social standing. The higher the rank one has achieved, the greater the perceived loss of respect, especially within the hierarchical framework of superior to subordinate roles (Francis & David, 2004). On the other hand, the lesser the rank, the less face one has to lose.

The basis for such a strong infinity for face is found in the deeply held religious values of Confucianism, a philosophy that continues to serve as a foundational belief system (Gao & Handley-Schachler, 2003). Five pillars or cardinal virtues comprise the framework for which society is to operate as a harmonious unit and include, righteousness (Yi), benevolent humanity (Ren), propriety (Li), trustworthiness (Xin), and wisdom (Zhi) (Gao & Handley-Schachler, 2003). The essence of Confucianism is concerned with the role of the individual being part of a greater whole who is obligated to apply these foundational truths to maintain balance, which in-turn helps stabilize society as a whole. The individuals’ contribution to the greater good takes on a sense of paramount importance because of the heightened sense of responsibility one has in support of the group. Face, within this context, is hyper-exaggerated as an individual feels an overwhelming sense of loyalty far greater than one’s personal desire. For Asian cultures, losing face is not acceptable and results are a form of extreme personal humiliation. Insults come in both subtle (verbal) and non-subtle (gesturing) forms. These often include suggesting personal inadequacies, disregarding the status of an individual, forcing to give up a perceived valued position, and personal or derogatory remarks (Kemp, 2009). Experts in cross-cultural communication suggest that western businesses who desire to successfully negotiate with eastern cultures should learn to promote positive confrontations by carefully demonstrating and controlling an awareness of voice tone and body mannerisms, displaying respect to the opinion of others, maintaining a professional demeanor, and never allow anger or passion elevate to the point of contention (Kemp, 2009).

Hierarchical Arrangement. Another long-standing dimension that remains dominate within the Chinese social system, and taught in grade school, is the concept of hierarchical arrangement (Chiu, 1991). This orderly classification begins with those most respected in the social structure and extends outward toward communal interactions. First, at the top of the hierarchy arrangement is, grandparents, parents, bosses and teachers. Second, are those considered equal in status, and include friends, siblings and colleagues. Finally, the least influential on the social status scale belongs to public institutions such as corporations or public utilities (Chiu, 1991).

From an historical perspective, the Chinese have long maintained a structured system of hierarchal levels that pertain to social status. Government officials and scholars, called the gentry class, occupied the highest level of attainment within society. The gentry class were made of the most highly educated individuals in society. The particular segment became rich and politically powerful, mostly through arranged marriages, and had the luxury of pursuing artistic endeavors. The next segment in the hierarchal arrangement was the Peasant class (farmers). Although the thought of a peasant may invoke the idea of the poorest in society, in China, peasants held a highly regarded status because of their economic contribution to society, and occupied approximately 90 percent of the population. Peasant’s fortunate enough save enough money to become educated had the possibility of ascending into the revered gentry class. However, the likelihood was often unrealistic as systematic social prejudices prevailed. The next segment, following the two upper classes were the artisans and merchants. The artisans were a small percentage of highly skilled craftsmen who used their hands to construct goods to sell. The merchants, on the other hand, were considered “cons” who made their living selling items no one needed (“Chinese history: the four social classes “, 2002). By understanding the roots of the Chinese people and the critical importance of sequential levels of hierarchy throughout history, the modern day businessperson will have an advantage over those who have not taken the time to understand the ancient concept of the superior and the inferior. The Chinese are flattered with those who invest in learning not only their language, but also their historical customs.

Relationships. China priorities, both business and personal, begin and end with relationships. The Chinese prefer to do business with those whom they have established a trusting personal connection. While the Chinese equally as results oriented as their Western counterparts, their success is dependent via a network of established relationships constructed to guarantee good results (Storti, 2009). In addition, unlike their extroverted and expressive counterparts, the Chinese personality tends to be both conservative, introverted, agreeable, subtle and indirect (Nowak & Dong, 1997). This style of communication can often be frustrating with Western style culture, who tend to have a difficult time interpreting subtle social cues.

Fundamental of culture integrated by locals conducting business in China

Guanxi. Chinese society, over the centuries, has become galvanized into a collective unit and thereby encapsulated the belief of creating strong social networks, called Guanxi, into everyday occurrences such as conducting business. Guanxi has its basis within Confucianism and encompasses the principles of implied obligations, trustworthiness, mutual respect, empathy, and personal responsibility (Hwang, Golemon, Chen, Wang, & Hung, 2009). For those within the society who fail to adhere to this time honored social norm find themselves with loss of respect, confidence, and influence within associated group affiliations (Hwang et al., 2009). Ultimately, this violation of norms can result in a permanent loss of status within the group, resulting in personal and often economic exclusion.

Guanxi plays a critical function in a collectivist society where roles are clearly delineated and each person’s contribution is important to the successful function of the society as a whole (Hwang et al., 2009). Guanxi is a heavily indoctrinated reciprocation of favors, and intended to retain a level balance within a relationship. Similar to a financial obligation, the granted favor must be paid with a likewise favor to ensure equilibrium within the relationship is maintained. On the upside, the practice of Guanxi has the ability to deeply reinforce relationships and solidify personal long-term commitments. Guanxi, misused, turns into a form of social license to accept bribes, underhanded loans, and commercial sweetheart deals (Ip, 2009). This unfair advantage has detrimental effects in the business community and creates an atmosphere of distrust and disillusionment by those who try to operate from an ethical basis. The concept of Guanxi is an integral part of Chinese society and important for long term partnerships to be successful. Guanxi is arguably the most important concept for foreign businesses to understand prior to conducting business, and can single handedly make or break an otherwise productive relationship.

Meetings. The Chinese culture, due to hierarchal disposition and collectivist nature, follows a regimented protocol when conducting formal meetings. The title and rank of the individual merits an honorary position. Therefore, foreign businesspersons need to know in advance who to address first when entering a room as a show of respect. Rarely is decisions made after one meeting, as considerations follow a distinct pattern of reviews over a given period. Approvals follow methodical consideration by a variety of executive levels (China Career Guide, 2005).

Negotiation Styles. An important component used by the Chinese businessperson is the art of negotiation. Unlike the Western style of win-win outcome in the negotiation process, the Chinese bargainer favors a win-lose outcome (China Career Guide, 2005). The Chinese bargainer often behaves in a subservient manner, and uses a myriad of overstated demands and technical delays as a means of gaining ultimate advantage (China Career Guide, 2005). Many consider the Chinese ruthless negotiators, often acting as if their giving up more than they can afford. However, once a deal is completed, the Chinese graciously provide dinner and celebration to mark the event.

Banquets. Another important aspect of how the Chinese like to conduct business is in the form of banquets. At the essence of these festivities is the time-honored tradition of Guanxi, as this particular setting of desirable location and quality food allow for relaxed socialization in a more comfortable setting (Reardon, 1991). Chinese etiquette places great emphasis on such details as seating arrangements, use of chopsticks, proper toast, and the amount of food left over at the end of the meal (Suzanne, 2008).

Comparison to the United States versus Chinese Culture

Comparison of Negotiation Styles. Cross-cultural differentiation in negotiation methods is as varied as the cultural barriers that exist between the east and the west. On the one hand, business professionals in the United States have an innate a sense of autonomous individualism and self-reliance, and as a result, negotiations tend to reflect these attributes. Americans are driven, competitive, linear thinkers with a tendency to isolate particular problems or disagreements until the issue is resolved (LeBaron, 2003). In addition, Americans operate in an impersonal straightforward manner and rely on concrete objective information to support their argument (LeBaron, 2003). The Chinese, on the other hand, utilize their own methods of negotiation and are highly skilled in achieving their desired outcomes based on engrained social dimensions. While the Chinese may appear meek and seemingly allow for broad concessions, they use emotional interplay as part of their elaborate strategy for putting the other party at ease, based on incorporating a combination of Confucianism, Taoism, and ancient Chinese military strategies called stratagems (Graham & Lam, 2003). The Chinese negotiation process usually occurs in a highly organized structured manner. One of the most important first steps the Chinese want to accomplish, before any negotiation can occur, is to get know the other party to establish a relationship. This aforementioned concept, called Guanxi, is a form of social capital, and is critical for establishing long-term business connections (Graham & Lam, 2003). However, because the Chinese are naturally distrusting due to their history of military occupations and sieges, they initially enlist the services of an intermediary to serve in the capacity as a go-between person. Intermediaries are extremely beneficial as they naturally have the ability to interpret the social nuances that Westerners may not be aware of (Graham & Lam, 2003). In addition, The Chinese prefer to utilize “middle managers or professional negotiators” to serve a proxy representatives of senior Chinese executives. Chinese executives usually only appear after all negotiations have been settled and final agreement are in place (Ahmed & Xiaokai, 1996, p. 280). For Westerners, the only indication progress is being made throughout the negotiation is when higher-level management starts to become involved. Higher-level executives only become involved to monitor and guide the facilitation process, but never to bargain.

Also, because the Chinese have an inherently strong work ethic, they will be extremely knowledgeable and well prepared for the negotiation process because of their belief in the concept of Chiku Nailao. Unlike Americans, who prize talent as a personal virtue, the Chinese value those who have a sense of mental endurance and who are unwilling to succumb to the hardships of whatever obstacle their facing (Graham & Lam, 2003). The Chinese apply this same mentality to negotiations, where details are haggled intentionally for prolonged periods. This experience can be exhausting for those unprepared for this process,

Collectivist versus Individualist. Eastern society places strong emphasis on the welfare of the entire society as opposed to the individual. This philosophy traces back to the times of Confucius, who taught the importance of seeking harmony for the sake of the group was of greater value than the concerns of oneself. From a social perspective, the collectivist redirect attention away from self, avoids frank statements, practices modesty, and views others from perspective of the group’s viewpoint, where communal concerns take precedence (Triandis, Christopher, & Harry, 1990).

Furthermore, within the interdependent collectivist society, rule-oriented hierarchal levels of (most important to least important) are highly regarded as time honored respect for laws and regulations ensure uncertainty and ambiguity are kept at a minimal level. Collectivist place strong emphasis on maintaining a well defined cohesive relationship with those who are defined as in-group members. This unofficial self-obligated in-group membership is defined as a concentric set of rings that begins with the most influential in-group (family), then outwards (social/work) to the broadest scale (nation) (Triandis et al., 1990).

Individualist. The United States, on the other hand, is located on the other end of the social spectrum, as self-determined individuals within society view themselves as fundamentally different while maintaining a sense of fierce independence from the status quo. Hofstede (1980) defines individualism as the emphasis one places on self-autonomy and personal fulfillment in the pursuit of one’s accomplishments. Cultures who are individualist in nature are often frank and to the point, and consider themselves unique. Personal achievements and notable talents are a means of garnishing social status. Unlike the collectivist, the individualist has a self-perceived right of transitory maneuverability, not being constrained by the boundaries of family, friends, or religion (Oyserman, 2006).

Educational System. In order to accommodate for its vast population, the Chinese education system, serving 25 percent of the world’s student population (China Education Center, 2010), has undergone vast educational reforms. Beginning in 1986, the Ministry of Education established the goal of nine years of compulsory education by 2000, and identified key areas necessary for gradually improving the overall standards of higher learning, including improvements to secondary, technical, and graduate programs, allowing greater leniency and expansion in the decision making power of administrators. Based on 2002 statistics, the literacy rate in China averaged over 93% (Library of Congress – Federal Research Division, 2006). Historically, the elite of China’s culture had access to education, with Confucianism as the underlying field of study. Later, during the Han dynasty, commoners gained access to the privilege of studying for a civil service examination in order to advance into the upper class (China Education Center, 2010). Significant strides over the past 50 years continue to ensure basic education to as many Chinese citizens as possible. In 2002, primary schools net enrollment had nearly topped the 100 percent mark, validation the commitment to the educational process is working.

The United States, in comparison, began the process of public education as far back as the 1600’s, mostly out of religious beliefs, as new colonies were forming in Connecticut, New Hamspire, and Massachusetts (Thattai, 2000). Similar to the Chinese, the initial education system was privy on to a select few, mostly wealthy communities who pooled monies to hire teachers. However, by the end of the 19th century, public access to education became status quo as the belief that educated people were less likely to become impoverished and commit crime. Unlike the Chinese educational system, regulation of the U.S. school system falls under the responsibility of each state. Money to support the school system is through collecting tax dollars, with the federal government providing slight financial assistance.

Furthermore, because social problems such as race and gender equality have led to a barrage of litigation lawsuits over the years (i.e. Brown v. Board of Education of Topeka), the U.S. government has intervened, thereby putting an end to legalized segregation and helping to ensure a sense of equality for everyone desiring equal access to education (Thattai, 2000).

Conducting Business in China

Export Basics. Businesses that decide to ship items overseas, specifically to China, for the purpose of commercial sales are by definition, in the export business and must understand the legalities involved in the process. Regardless of the method, whether by mail, fax, email, or internet, a transaction is an export and regulated by The Bureau of Industry and Security (BIS) (Bureau of Industry and Security U.S. Department of Commerce [BIS], 2010). The export license is a form of granted permission by the U.S. government to conduct an export transaction. However, while not all exported items require a license, it is incumbent on the business to seek out the agency to determine if a license is mandatory for their particular product (BIS, 2010). Strict regulations apply to items, such as chemicals, nuclear materials, computers, and electronics, based on issues relating to national security. Some exports require more than one license and from more than one agency. Embargoed countries have the greatest export restricts and include North Korea, Cuba, Syria, and Iran (BIS, 2010). As of 2003, over 19 thousand U.S. firms have exported goods to China, with over 89 percent of this total coming from very small organizations of less than twenty employees (International Trade Administration [ITA], 2010).

International Payments. An important consideration for businesses doing business with the country of China is the collection of payments. Unlike the United States, China has a relatively complex banking system, with a high degree of government involvement often creating a bureaucracy that interferes with the transfers of payments (U.S. Commercial Service [USCS], 2010). Therefore, it is prudent for businesses to set up a method by which payments are collected and to serve as an insurance policy against potential loss.

Cash in Advance. One of the most secured forms of payment, from the viewpoint of the exporter, is cash in advance. In this instance, there is a well-established relationship, along with a standby letter of credit to serve the purpose of collateral, as orders typically have extended production cycles, such as with custom-built equipment (USCS, 2010).

Documentary Letter of Credit. One of the most preferred and extensively utilized financial instruments used for international orders is the documentary letter of credit. In this case, financial loss is mitigated, as the banks of both the exporter and importer must honor the relinquishment of payment if the promised items are shipped and received according to the terms of the contract. Reputable banks must be selected to handle transactions, and insurance policies can be obtained to further minimize risk (USCS, 2010).

Documentary Collections. Documentary Collections is another financial instrument that lends slight favor to importer or buyer. The proof that goods are delivered lie in the receipt of the bill of lading, which must be signed as accepted by the importer and payment received to release the delivery. This is good for the importer because needed capital is tied up during the order fulfillment process. This form of payment, however, is not advisable for time-sensitive or perishable goods or commodity-type products, since fluctuations in pricing can occur between time shipped and time received (USCS, 2010).

Open Account Terms.