The term globalisation was first used by Theodore Levitt in 1985 which refers to politics-economics, specifically the politics of free trade and financial transactions.

The meaning of globalization is:
1. As a description / definition, it is the process of bringing the world market into one borderless market
2. Prescriptions make the economy more efficient and healthier for the betterment of the world
3. Globalization comes from the word global which means universal. Globalization is a global process marked by the easy entry into the scope of a country.

There are 5 phase of Globalization, which are:

Many historians have described globalization as a phenomenon in the 20th century that may be linked to the rise of the international economy. Whereas international interaction in the world has existed for centuries. As traced, the seeds of globalization have grown as humans have begun to recognize the trade between the agribusinesses around 1000 and 1500 BC. At that time, traders from China and India began exploring other countries either by land (Silk Road) or by sea to trade.

The next phase marked the domination of the Muslim trade in Asia and Africa. Muslims form trade networks that include China, Japan, Vietnam, Indonesia, Malacca, India, Persia, East African beaches, the Mediterranean, Venice, and Genoa. In addition to forming a trade network, Muslim traders also pass on their religious values, names, letters, architects, Arab social and cultural values to the rest of the world.

The next phase marked the massive exploration of the world by Europeans. Spain, Portugal, England, and the Netherlands are the pioneers of this exploration. This is also supported by the rise of industrial revolutions that enhance international relations. Various technologies are beginning to be discovered and are the basis of current technological developments, such as computers and the internet. At the time, colonialism was developing which had a profound effect on the diffusion (diffusion) of the world's cultures.

The growth of the industry and the need for raw materials and markets are also emerging in multinational companies worldwide. In Indonesia for example, since the opening of the Open-Door Policy, European companies have opened branches in Indonesia. Freeport and Exxon from the United States, Unilever from the Netherlands, British Petroleum from the UK are some examples. Multinational companies like this have remained the icon of globalization to this day.

The next phase continued and gained momentum when the Cold War ended and communism in the world collapsed. The collapse of communism seems to justify that capitalism is the best way to realize world welfare. The implication, countries in the world began to provide themselves as a free market. This is also supported by the development of communication and transportation technology. As a result, barriers between countries began to run away.

Advantages of Globalisation:
1. Increasing International Capital Flows and Foreign Direct Investment
With the huge exploitation of natural resources by way of joint ventures by foreign companies, and foreign investors investing in various countries, there has been a growth in foreign investment capital which will further enhance the domestic trade climate. Thus, domestic companies can grow well and increase their income which ultimately gives the government greater tax revenue.

2. Increase Cross-border Data Flow
Increase cross-border data flow such as internet usage, satellite communications, and telephony. Now we can see how the dissemination of information technology has expanded the possibility of interpersonal contact on the planet. The dissemination of information technology also makes it easier for people to know other people or events in distant places. By just sitting in front of a television set, we can witness live and on-the-go events overseas. Some important world events are coming to us in minutes. For example, the collapse of the WTC building that shook the world, violence against human action, and other events surrounding us quickly became known.

3. Moral Movement for Social Justice
Globalization can bring awareness to a wide range of people within the community to consistently uphold the human rights that everyone has. The existence of a moral movement of the people who demanded the realization of social justice indirectly indicates that this order of life leads to an era of globalization.

Disadvantages of Globalisation
1. Natural Resources
The decline of vital natural resources such as water, and forests, in addition, increased environmental pollution. This is a consequence of the rapid development of industry and technology, which is the increased dependence of human resources on natural resources. Experts have interpreted that the rate of growth of the world economy will require a five-fold increase in energy consumption which causes major problems for the environment.

2. Environmental Pollution
Globalization is characterized by the depletion of industries in countries that require foreign investment. If the establishment of the industry is solely profit-oriented, regardless of the environment, it is feared that it will have a negative impact on the environment. For example, solid and liquid air and wastes from these factories.

3. Crime
The crime rate are improving with the help of information and communication technologies. Examples of bank account breakdowns with a tapping model are difficult to track. 

4. Health
There are several health threats posed by globalization. As the ozone layer becomes thinner, the ultraviolet radiation becomes larger than before. This is due to the high emission of chemicals into the atmosphere due to human and industrial activities that cause damage to the ozone layer. Experts predict that ultraviolet radiation in large quantities will cause skin cancer. 

5. Deforestation
With the world's fast-growing population, as it is now feared for this earth will soon be depleting supply of non-renewable raw materials. Continued destruction of forests, will have a disruption to the climatological function of the forests and threaten human survival.