The approach to globalization that put forward in 1990 argued that there was one dominant global system structure around the transnational corporations. Many writers proclaimed that the collaps of the Soviet Union signaled the triumph of capitalism. But many people resisted the appropriation of globalization by the transnational capitalist class. Focus on the two most serious crises of capitalist globalization are, class polarization and ecological unsustainability precisely because they directly undermining human rights. There are consequences of globalization: the rise of massive globalizing corporations, the rapid spreads of so-called free trade, the oft-cited weakening of states and governments, the penetration of mass media (promoting the culture-ideology of consumerism), and the denationalization and privatization of former state monopolies. Dynamic network of anti-capitalist movements and organizations emerges, as an opponent of capitalist globalization, some propose socialist globalization. There is a paradoxical phenomenon, the collapse of Stalinism paradoxically highlighted the fact that the two main crises of capitalist globalization—class polarization and ecological unsustainability—could never be solved.
There is a shift from State-centrism to the Global system in the globalization. State-centrism is the framework is the framework for analyzing the world in terms of the state system. Globalization, on the other hand, is the framework for analyzing the world in terms of the global system. It is stated before that it is not the state drives globalization, but the transnational capitalist class (the institutional focus of political Transnational Practices). Transnational Practices are analytically distinguished on three levels: economic, political and culture-ideology. The transnational corporation (TNC) is the major locus of transnational economic practices; the transnational capitalist class is the major locus of transnational political practices; and the major locus of transnational culture-ideology practices is to be found in the culture-ideology of consumerism. The transnational capitalist class consists of people who see their own interests and the interests of their social and/or ethnic groups, often transformed into an imagined national interest, as best served by identification with the interests of the capitalist global system. In particular, the interests of those who own and control the major transnational corporations dictated the interests of the system as a whole.
The Crisis of Nationally Regulated Capitalism
“Globalization” has created new corporate strategies, by making the third world as the alternative of the corporative crises in raw materials and human resources. It consists of points: Capital Mobility, Restructuring the Corporation, National Policies, and the International Institutions. The new global governance in globalization took over by the institutional trinity—IMF, World Bank and WTO. In the national policies, those whose voices were allowed to be heard in policy debates but formed a dominant concensus around a simple but dubious formula: Each country should reduce costs for labor and government in order to become “more competitive” in the global economy. All will benefit because goods and services will be provided by those whose “comparative advantage” enables the corporations to produce cheaper production, to gain maximum benefit. The international institutions establish structural Adjustment Programs as conditions for new loans , that “neatly coincide with the agenda of mobile capital and the cheapening of the costs of production” for global corporations.