Assessment of the Globalization and Local Development Relationship in Terms of Political Risk Factors

Abstract

Today, globalization is an important factor affecting every aspect of life. Local development, on the other hand, is a concept aimed at progressing in the political, socio-economic and cultural field at the local level, which is the process of decision-making from the bottom up. It can be said that the effects of globalization on local development have changed both from country to country and from region to region. Globalization process develops mutual cooperation between countries in economic, cultural and social fields. This cooperation provides positive contributions to the local development process. Local development requires cooperation with both global actors and local actors. Local development is a concept that aims to promote the development of local communities in accordance with the principles of sustainable development in economic, social, cultural, physical and political contexts by activating local dynamics. Local development is motivated by local actors, although it is expressed as using countries’ own local potentials to mobilize local dynamics and are exposed to global effects. Developing countries are evaluating their local potential to ensure their development. Due to the globalization, it is seen that local development has become the foreground with the participation of local, regional, national and international powers. The emergence of local development has brought about changes in the identification and implementation of local development policies. Now, states place more emphasis on local development and are increasing the authority of local governments in this direction. Today, it can be said that the concept of development is multifaceted as self-sustainable growth, structural change in the form of production, technological innovation, social political and institutional innovation and improvement in people’s living standards. Local development can not be handled independently from globalization, it can not be achieved with only local dynamics. Local development has political risk factors based on international, national and local actors. Political risks are not homogeneous in all countries. The World Political Risk Report is a comprehensive review of the political risk, political risks, transfer and convertibility, expropriation, breach of contract, abuse of sovereignty rights and financial risks, terrorism, war, civil disturbance, governmental power, government and opposition power balance, law system, local instability, economic climate, and other negative regulatory changes. The political risk factors mentioned in this study will be evaluated in terms of the relationship between globalization and local development.