This project has been funded with support from the European Commission (226388-cp-1-2005-1-de-comenius-c21). This publication reflects the views only of the authors

1.2. Multi Faces of Globalization

Economic globalization can be characterized with four main streams. These are:

• 
  Flows of goods and services,
  
• 
  Flows of labor/people,
  
• 
  Capital flows and
  
• 
  Technology flows.
  

Even the economic effects of globalization are extensive. The properties of the process in terms of economies are as follows:

1. 
   Changing consumption habits and behaviors favoring the pace of consumption,
   
2. 
   The changing scale from national to international in the production, distribution, consumption and marketing of resources,
   
3. 
   Developments in information and communication technologies (ICT),
   
4. 
   Utilizing the high-technology in the production of goods and services,
   
5. 
   The death of two bloc (socialism-liberalism) world after the collapse of the USSR,
   
6. 
   Global changes,
   
7. 
   The formation of elastic, dynamic, flexible and rapid environments and markets,
   
8. 
   Rapid development in technology; digitalization of trade and economy,
   
9. 
   Increased competition,
   
10. 
    The increase in the “unknown”,
    
11. 
    Increased R&D activities, innovation, economic dynamism, technological innovations,
    
12. 
    Important changes in human resources and
    
13. 
    Trade liberalization.
    

The major effects of globalization are tried to be examined under the titles of death of distance, end of the nation state, hegemony of R&D, cultural erosion and glocalization.

1.2.1. Death of Distance

In the history one of the most important barriers against trade was the distance. It may constitute a barrier against the transportation of goods safely, on time, securely and with acceptable prices. The trade of goods and services has become feasible with technological developments and trade agreements that decrease or eliminate tariffs. In this process the decreases in the prices of overseas transportation by 50%, airline transportation by 80%, transatlantic phone calls by 99% have the key role. Thanks to this process a module printed in Germany can be sent anywhere in the world in less than two days. Furthermore online broadcasting eliminates this two day-lag.