Activity 1: Globalization in World Economic Forum

By: Ronie M. Artoz Bsarch 2-B

In 2018, the Chinese e-commerce giant Alibaba announced the City of Xi'an been chosen as
the site for its new regional headquarters. Alibaba stated and open that we will call it Globalization 4.0
as we are now entering to a new digital driven era of globalization.

Globalization 4.0, also known as the Fourth Industrial Revolution, is characterized by the
increasing digitization and interconnectedness of the world economy. The concept of globalization has
undergone several waves since the 19th century, each wave with its unique characteristics and impact
on the global economy. In this essay, I will discuss the first to fourth waves of globalization 4.0.

The second wave of globalization began after World War II with the emergence of the
Bretton Woods system and the establishment of the International Monetary Fund and World Bank. This
wave was characterized by the growth of multinational corporations and the expansion of international
finance. The introduction of containerization and air transport further facilitated global trade, leading to
an increase in global supply chains. The second wave of globalization also saw the rise of regional trade
agreements, such as the European Union and the North American Free Trade Agreement.

The third wave of globalization began in the 1980s with the liberalization of trade and
investment policies. This wave was driven by the growth of information and communication
technologies, leading to the development of the internet and e-commerce. The third wave of
globalization saw the emergence of global value chains, with the fragmentation of production processes
across multiple countries. The third wave of globalization also saw the rise of emerging markets, such as
China and India, as global economic powers.

The fourth wave of globalization, which began in the early 21st century, is characterized by
the increasing digitization and interconnectedness of the world economy. This wave is driven by the
growth of artificial intelligence, block chain, and the internet of things. The fourth wave of globalization
has the potential to disrupt traditional industries and create new opportunities for global trade and
investment. However, this wave also poses challenges for labor markets, as automation and digitization
may lead to job displacement.

In conclusion, the concept of globalization has undergone several waves since the 19th
century, each wave with its unique characteristics and impact on the global economy. The first to fourth
waves of globalization 4.0 were driven by the growth of transportation technology, the establishment of
international institutions, the development of information and communication technologies, and the
digitization of the world economy. While each wave has created new opportunities for global trade and
investment, they have also posed challenges for social and economic inequality and labor markets.