Monday, August 15, 2011

Cultural Effects, Harmonization, and Global Standardization


The effects of globalization on culture can impact the individual more than the society. As is the case with French farmer José Bové, many would cite the McDonaldization of other countries in an effort to promote anti-globalist sentiment. Undoubtedly, the American-owned franchise has made a dent in the demand for more traditional, “French cuisine”, directly affecting the worth of a farmer’s crop or livestock. Moreover, the increased implantation of McDonald’s franchises across the globe, a business which seems to be a symbol for Americanization, has lead it to cater more to the indigenous population it serves.  For example, in Thailand, McDonalds serves the Samurai Pork Burger.  While the branding of McDonald’s may influence the culture itself, the argument can be made that their culture is just as susceptible to marketing practices as any other.  The United States is not immune to foreign entrepreneurship; Chinese or Japanese take-out restaurants are present in almost every shopping mall, providing an option to the consumer which parallels what McDonald’s franchises do abroad. That being said, there are different theories as to the effect globalization has on culture.

In Culture and Globalization: Polarization, Homogenization, Hybridization, the aforementioned theories are discussed. The stance taken by supporters of the polarization theory would be that of anti-globalism. The polarization theory suggests that countries, which are disinterested in being overcome by a western-style economy, will eventually clash with the West.  Such countries attempt “modernization without westernization” and may well be going against the grain, although there are always the implications of terrorist regimes (Jihad vs. McWorld).  This theory is worth considering, but “western” countries have a political, albeit governing, stake in the grounds of anti-“western” countries through “arms flows and military technologies trading” (pg 1).  Military alliance could be a driving force for the theory of homogenization, which presents the notion of increased uniformity between cultures. A relevant critique of this theory focuses not only on the presence of the multinational firm but also its nature.  This critique brings to light the adaptive nature of multinational firms where, in fact, these firms become localized, making the hybridization theory one of popular opinion. That is, hybridization focuses on the “intercultural exchange and the incorporation of cultural elements from a variety of sources within particular cultural practices” (page 3).

While culture is affected through globalism, the multinational firm is promoted in the form of efficacy, perhaps respondent to market demand, where resources are to be used for growth and expansion. In international trade, the margin for error increases dramatically in the absence of standards.  Standards are used in the in the promotion, production, and pre-fabricating processes of everything you see before you; it transcends industry, borders, and the environment in an attempt to make optimal use of resources. In “Harmonization, Trade and the Environment”, Candice Stevens poses questions on the logistics of harmonization.  Inherent in harmonization, which seems to be an environmentally friendly term for standardization, the assumption is that a “best” option must be chosen for everyone involved.  In harmonizing environmental issues, for example, the participating countries must enforce a “ceiling or a floor”.  As harmonization seems to promote optimization, the very need for standards across countries suggests that the potential for negative effects are not quantifiable.  Hence, standards (i.e. harmony) must sometimes develop in the absence of concrete information, and in the presence of speculation, while overlooking health, safety or environmental protection. For example, the idea of equivalency assumes that one action may affect two parties in an equivalent manner despite quantitatively different regulations (page 2). Stevens writes that harmonization bends more in the interest of reducing trade conflicts than to achieve an environmental end as is the case with all business; tomorrow’s environment will always take a backseat to today’s business. Hence, trade harmonization leads to the “convergence of ambient and process standards, economics instruments, and life-cycle management” (page 3). Life-cycle management comes in the form of eco-labeling. The introduction of the biodegradable bag of chips by SunChips, which was subsequently taken off of the shelf because the bag was “too loud”, is an example of where marketing efforts meet the environmentally friendly side of business.  In harmonizing environmental issues, the “lowest common denominator” effect is present which maximizes the potential for environmental degradation for countries with previously unpolluted and unimpeded terrain.  The increased standardization for process standards (i.e. production methods) is discussed in greater detail in William Ward’s “Standardization and Triumph of Market over Hierarchy”.

In production, standardization would seem to require quality assurance or quality control. As is the case with just-in-time inventory management, firms must rely on one another for uniform inputs.  Without industry standards, this business model would not work.  While the standardization of products and services introduces economies of scale, it can reduce the variety we see across products, especially when they cross borders.   Standardization, while originally a tool for vertically-owned companies, is now used in a more a deconcentrated, cooperative manner.  Ward makes the distinction between internal and external standardization, where internal standardization is exercised by the discovering firm in order to protect their proprietary establishments.  It seems important to note that the increased interdependence of products would seem to require a higher degree of cooperation, or external standardization.  As is the case with computer technology, a processor is useless without a motherboard, and a motherboard requires either firmware or software running from virtual or physical memory to load the user-friendly interfaces we call operating systems.  There are two leading manufacturers for processors, AMD and Intel, both of which work with a variety of motherboard manufacturers and whose quality control is theoretically perfect [I have repaired hundreds of computers and never replaced a processor for any reason other than lightning or power surge].  Nevertheless, a motherboard is either designed for an Intel or an AMD processor. No individual company controls the market for anything, at least this is the assumption made based on the regulations of the Federal Trade Commission.  This heterogeneity in a growingly homogeneous marketplace can make standardization a difficult task to undertake.

In “Product Standards and International Trade: Harmonization through Private Coalitions?”, Alessandra Casella suggests that harmonization occurs more naturally through private, transborder firms because governing bodies outsource to voluntary firms. Casella states that a “standard is the concept of joint consumption by a group”, citing two very important functions of standards as providing compatibility and information (page 4). Such standards can promote anonymity amongst firms leading to a “simple formalization of the trade-off between economies of scale and variety”.  The points being made here by Casella are valid because they display the costs of harmonization as did Stevens where “the cost of standardization is the decline in variety”, hence “it is [not obviously] the case that the optimal number of standards is one” (page 3).

Friday, August 12, 2011

Inner-national



In present-day society, human conflict has spawned a proverbial epidemic, diverting our attention by uncovering daughter epidemics.  In order to stop its spread, we must seek to understand and accept the differences within it.  The human psyche is intriguing but impressionable; its perception is vulnerable long before it is inquisitive.  As youth compete for an important position in society, they begin to rely more on themselves.  Such personal development is indeed positive, but it often reaches a point at which its creator is a prisoner to himself.  An individual can spend a lifetime explaining his thoughts.  Leave the burden of explanation to society; it is the cause and can better explain the effect. 

Now acknowledge that bias is born through conflict and attachment.  However, the degree by which one is biased depends on his/her interdependence.  Accept this and the seeds of progress may be planted.  If oneself, family, society, and nation work independently, their abstract equilibrium will never be reached.  Dysfunction will erupt, diversity will battle conformity, and disease will paralyze both mentally and physically.  Future generations will inherit more problems than solutions.  Regardless, the people will attempt to understand a world that is growing fast beyond its years.  The clock ticks as the world exhausts. The people stare, the wheels of technology spin, and the people remain needy.  The people allow misfortune and pity over integrity and self-activation, and their behavior creates a very potent, new-age phenomenon: a natural diversity within societal order.  However paradoxical the concept may seem, it is undeniable that diversity is widening the gap between the understanding and embracing of human nature.  Classifying and redistributing its own members, our culture stands for little to nothing.   

Independence is becoming an endangered species; the very foundation of our country is in recession.  Complete individuality goes against everything society dictates.  Current generations stumble over each other creating disorder.  The same generations explain disorder by creating more disorder.  Our fate is in the hands of a socio-epidemic.      

Thursday, August 11, 2011

Funny Money


Constructive Cynicism: The American Dream is really a bad nightmare.

Breaking News: The Environmental Protection Agency just put American currency on the endangered species list. A spending freeze will be instituted at the opening of tomorrow's stock market, Eastern Standard Time. 

Where did the cold, hard cash go?  It's funny, rich people are still rich, poor people still poor, the population is growing older, living longer, and the money is growing thin. As if no other solution exists, the debt ceiling continues rising to somewhat of an arbitrary level.  I know that I will not be the first or the last to debate on this topic, but do the ends justify the means? 

Can we not learn from the hardships of every average American who took on more credit card debt than they should've so as not to 'default on their obligations'? Strangely, despite living in The Great Recession, people continue to search for ways to spend money.  While I agree that many of us have shifted to more meager lifestyles, there is a noteworthy faction that still clings on to the hope that the economy "bounces back".  Call me a cynic (hence the thread title), but isn't the problem that we continue to let the economy blow bubbles? Using "derivative financial models", and other such instruments, the market effectively delays risk rather than absorbing it. This allows the people doing the investing to make their quick money and get out.  This money isn't real - it was created by genius mathematicians with marketing skills who knew how to create a dynamic investing environment in which people could rally.  In the long-run, it is coming out of the pockets of the people. Bubbles burst - that is what they do.  People: What goes up must come down! 

Hey, I am an advocate for financial leverage.  I get it.... leverage promotes growth, you have to spend money to make money... blah, blah, blah.  The bottom line is that we have reached a dangerous level. America was the cookie-cutter for capitalism yet, somehow, we have transformed money into something that we no longer have but need to borrow excessively. Does anyone else see the tragic irony here? We are on a path to destruction just like every civilization in the history of humanity!  The only difference is the type of resources that we are depleting: natural, physical, and fiscal. As academic Jared Diamond once noted, "We are the first society to be living amongst ruins of our own construction". 

That idea alone speaks volumes: American industry has transformed itself so quickly that entire industries have collapsed, leaving many towns with shopping-mall wastelands and rows of dilapidated houses.  If an integral industry can collapse, then it stands to reason that the nation leaning on such industries could do the same. I am worried that, rather than collapse, we may implode. Enveloping itself, our culture needs a hard reset, our mentalities need to be adjusted, and our spending needs to be curbed. 


Call to Action: Live the American Dream... but within your means. 

Monday, August 8, 2011

Thought-enabling vs. Thought-abrasion

I have a tendency to only surround myself with those people who take opinions similar to my own. I do not think I am alone, and I believe this is a dangerous habit. This habit is seclusive, subjective, even ignorant.  Strong personality types often wear thin on each other, simply because they rely strongly on thought.  Due to this reliance, it can be burdensome to have an idea that is not appreciated.

I believe this can create a cycle in which both listeners become consensus enablers, detrimental to true insight and, further, diluting the identity that makes them the very thinker that they are.  This must be stopped.

While my intention is not to appear overly argumentative, it is to speak freely rather than to be silent.  Those moments in which my mind trails off during the discussion are those in which I should become fully engaged.   These are the moments in which my opinion could be most valuable; these are the moments in which my identity comes to life in discussion.

.... these are the moments to be embraced, even relished. There is, however, one caveat: an opinion accomplishes little if given in a condescending manner.  Sharing knowledge and information in an affable way can sometimes be difficult, leading to the careful phrasing of thoughts. Taking such care is acceptable up until the point that it loses personal meaning or is passive aggressive. It is possible to actively question one without downplaying his/her thoughts. Such thought-abrasions might best come in the form of a question as to why one might think this way, considering alternatives. Ultimately, it is imperative that I be careful in my rhetoric but unleashing in my thought.