Factors of Globalisation Flashcards
Why can financial transactions between importers and exporters be completed much quicker now?
World has become increasingly financially integrated
What is the GFS?
Global Financial system
What does the GFS provide?
A framework that facilities flows of capital for the purposes of investment and trade
What 3 things in transport have increased the speed and amount of international trade?
Growth of low-cost airlines
The use of standardised containers
High speed rail networks
What is the aim of a dry port?
To save the exporter time and transport costs
What are 2 security threats that the trade community face?
Terrorism and cyber crime
What is the global value chain?
Where different stages of the production process are located in different countries
What does managing the global value chains require?
Remote management of production
What is JIT??
Just in Time
What does Just in Time mean?
Ensuring the correct quantities of materials, components and assembled goods are available on time in the correct location
What is the purpose of trade agreements?
A formal agreement between 2 or more countries that removes trade barriers between those in the agreements.
What do trade agreements stimulate?
Trade between countries and to gain economic benefits
What are external barriers?
Outside factors like noise, climate etc
What is OPEC?
Organisation of Petroleum Exporting Countries
What is OPEC’s focus?
Trade of oil globally
