Chair: Fred W. Riggs (provisional only)
Abstract for Panel

Globalisation means many things. However, the activities of transnational and multinational corporations have been central to globalisation and in some sense globalisation may be 'for' corporations. This panel explores the notion that the new advance of private corporate interests in the world economy can best be understood through the concept of imperialism. How is corporate power deployed in the world? How is it related to 'hegemonic' power interests? What are the spatial and sectoral characteristics of the new corporate imperialism?

Papers:

1. The Invisible Archipelago as a Neo-Feudal Formation , by Fred W. Riggs, University of Hawaii

ABSTRACT

Formal economics normalizes price determinacy as a basis for equalizing supply and demand on the premise that rationality governs choices made by the producers and consumers of any commodity. On this premise, equity between productive citizens, subject to self-governing market mechanisms, will bring an end to historic catastrophes and injustices in the post Cold-War years. Proponents of free trade in a world economy subscribe to this premise as the basis for an optimistic assessment of globalization. In the real world, however, price indeterminacy prevails, which is to say that political and social forces fundamentally affect prices, distorting or re-shaping many long-established structures of the world system. The outcome will resemble feudal systems where mutually contradictory norms and practices are superimposed, co-existing in an unstable mixture: universal and parochial structures co-exist and battle for survival.

An important factor in this amalgam involves tensions between subsidized and tributary canteens -- beneficiaries of the former enjoy low prices while victims of the latter must pay excessively. The rich get richer and the poor poorer, and hegemonic power shifts from familiar geographic hegemons to a floating world of rootless global syndicates and cosmopolitans. While public attention remains attached to the spotlighted front stage of world politics with its colorfully visible characters, the decisive scene of economic and political power shifts to a subvisible back stage run by colorless men in black. Contrasts between Front and Back, both global in extent, will replace familiar geographic dichotomies oriented to the West/East, North/South, or Center/Periphery distinctions.

The latter will be dispersed in a host of mushrooming subvisible industrial parks now sprouting in weak countries unable to protect themselves from predatory multi-national operations managed by powerful syndicates able to supply their own basic needs while exploiting workers, despoiling the environment, avoiding taxes and corrupting officials - these are the "subsidized canteens". By contrast, long-established and more costly industrial plants found in the industrialized democracies will find themselves, increasingly, victimized as "tributary canteens," compelled to pay higher wages, to maintain environmental safeguards, and to help fund public services and welfare costs of globally scattered serf-like victims.

E-mail: Riggs

Paper 2:

Globalization as a Balancing Act Between Survival and Extinction: the Case of the Automotive Industry," by Corinne Gilb

ABSTRACT

Size does not necessarily equal power. Nor does scope. Neither by itself assures profitability or perpetuity. Two years ago the U.S. had a Big Three, now only two. General Motors almost collapsed in the world recession of the early 90s. In 2000 it was in danger of being shorn of its cash cow, the Hughes communications satellite. Ford is moving toward being primarily a marketing company. Under pressure in the 1990s the American car companies turned to downsizing, outsourcing, numerous forms of joint ventures and alliances, use of gobal design teams and car platforms, and Internet-enabled global supply chain management. Japanese, Korean, and European companies turned to mergers and acquisitions (often of two companies in trouble, such as Nissan and Renault). Rapid and large currency exchange fluctuations could wipe out profits. Balance-of-trade problems or sudden drops of domestic demand in host emerging countries often made it necessary for transplants to turn quickly to export production. Having excess production capacity around the world could help a company in jeopardy balance its risks better. New production methods forced suppliers to globalize and get larger (and fewer); pressure from Wall Street induced the OEMs to "privatize" their parts divisions. New methods created drastic changes in job structure, obviating the need for many unskilled workers. Traditional labor unions such as the U.A.W. suffered. In a new more high tech world, some Japanese motor companies were diversifying into non-auto -related high tech activities.I propose a paper that will amplify on these comments and discuss their implications.

Dr. Corinne L. Gilb 19 Selby Lane Atherton, Ca. 94027

email: Gilb

Paper 3. Zonal capitalism and industrial estates by Jeffrey Winters

ABSTRACT

In 1960 there were fewer than five industrial estates and special zones around the world. By 1990 there were more than five thousand estates and zones, with the heaviest concentration in Asia. This study examines the tension between the expanding geography for investment and production on the one hand, and the inability (or reluctance) of states to create attractive locations for mobile capital on the other. For several decades, this tension has been managed through increasingly zonal rather than systemic-national responses. Zonal capitalism represents an institutional innovation or technology for creating immediate access to favorable investment locations around the world while at the same time reserving maximum control over laborers and causing minimum disruption to the surrounding national political economy. This study looks at zonal capitalism historically and globally, but with particular reference to Vietnam, Indonesia, and four other comparative cases in Southeast Asia.

Jeffrey Winters, Political Science, Northwestern University

email: Winters

Paper 4: "Whatever happened to American decline? The New US hegemony in the 1990s and beyond

Abstract: to be supplied soon

Professor Michael Cox Editor: Review of International Studies, Dept. of International Politics, University of Wales, Ceredigion, Aberystwyth SY23 3DA UK

tel 44 1970 622 688 email: Cox

Discussants:

Discussant: Barry K. Gills Dept. of Politics, Univ. of Newcastle, Newcastle upon Tyne NE1 7RU UK
tel 44 191 222 7742 fax 44 191 222 5069
email: Gills

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Posted 29 September 2000