F2 - SEM2 - LDCs

Question 1

What are the 3 benefits to LDCs on the global shift of manufacturing activities?

LDCs

Answer 1

1. more job opportunities
2. faster economic growth
3. new technology transfer

LDCs

Question 2

Explain why more job opportunities in LDCs after global shift of manufacturing activities

LDCs

Answer 2

• factories are relocated to LDCs
• brought many job opportunities

LDCs

Question 3

What are the impacts to the factory worker in the LDCs?

Answer 3

more income
better standard of livings

Question 4

Explain why faster economic growth in LDCs after the global shift of manufacturing activities

Answer 4

Income level of secondary industry rise
=> government collects more tax income
=> government improves infrastructure
=> attract more foreign investment
=> promote growth of other industries

Question 5

What is multiplier effect?

Answer 5

industry developments bring multiple benefits and grow like a rolling snowball

Question 6

Explain multiplier effects

Answer 6

Setup new factories
=> more jobs
=> attract more people
=> promote economic growth
=> more tax income for government
=> better infrastructure
=> attract more factories setup

All these attract other industries and investment

Question 7

Explain what are the impacts of new technology transfer in LDC

Answer 7

raise skill level of local worker
=> improve production efficiency
=> boost industrial development

Question 8

What are the 4 challenges in LDCs after the global shift of manufacturing activities?

Answer 8

labour exploitation
low profits
competition with local industries
environment pollution

Question 9

Explain why labour exploitation happens in LDCs

Answer 9

lack of labour legislation and protection

Question 10

Give examples how workers in LDCs are exploited

Answer 10

long working hour
poor working environment
child labour

Question 11

What is a “sweatshop”?

Answer 11

factories with unacceptable conditions

Question 12

Explain why factories in LDCs has low profits

Answer 12

factories in LDCs are only responsible for low-tech and low value-added manufacturing profit

Question 13

Explain why local industries are less competitive

Answer 13

TNCs have more capitals, advance technology and better market strategies than local industries

Question 14

Explain why environment pollution is found in LDCs

Answer 14

loose pollution control policies
=> attract more polluting industries relocated to LDCs

Question 15

Give some examples of polluting industries

Answer 15

electroplating
bleaching
dyeing

Question 16

Why these polluting industries cause pollution problems in LDCs

Answer 16

produces large amounts of sewages, toxic chemicals and wastes

Question 17

What can LDCs do to tackle the challenges?

Answer 17

improve labour protection
promote industrial restructuring
build own brand
tighten pollution control

Question 18

How to improve labour protection in LDCs?

Answer 18

pass new laws to protect labour welfare and rights
e.g. setup minimum wages, maximum working hours and inspect factories regularly

Question 19

How to promote industrial restructuring in LDCs?

Answer 19

develop high value-added industries and services industries
=> reduce reliance on traditional manufacturing
=> diversify the economy

Question 20

What is important in building own brands?

Answer 20

improve product design

Question 21

Why building own brands is so important?

Answer 21

enhance competitiveness of local product
=> increase profit

Question 22

How to tighten pollution control in LDCs?

Answer 22

setup laws to reduce industrial pollution
e.g. tighten emission standard of pollutants, penalise factories that break the law

Question 23

What else can be done in LDCs to reduce pollution?

Answer 23

build sewage collection facilities and treatment plan