4.7- Globalisation, Development, And TNCs

Question 1

What is Globalization?

Answer 1

-It’s a process of how the world is becoming more interconnected, through movement of good, people, money, and information.

Question 2

How is the Industrial Revolution a Globalization example ?

Answer 2

-It made Britain the world’s top manufacturing nation. It sold goods all over the world. The money it earned helped it to develop.

Question 3

Which country is the most developed country today?

Answer 3

-China is the world top manufacturing nation. The money it earned helped over 850 million Chinese people to be lifted out of poverty since 1980 .

Question 4

What are TNCs?

Answer 4

TNCs or transational corporations are companies with branches and operations in more than one country. They are responsible for over half of all the world trade. So they can have a huge impact on development.

Question 5

Many TNCs from wealthy countries operate in low income countries . Why?

Answer 5

Because they usually aim to make as much profit as possible. They want to:
- Obtain materials as cheaply as possible (for example, metal ores)
-Benefit form workers with low wages.
-Be in, or close to, large populations to sell things to.

Question 6

List the Pros of TNCs

Answer 6

• When TNCSs operate in a country, they pay taxes to the government, and wages to their workers