Global Systems and Global Governance Flashcards
What is globalisation?
Process of the world becoming globally interconnected on a variety of scales.
How are countries connected?
Economically, politically, socially and culturally.
How are countries economically connected?
TNC’s - trade products, outsource, offshoring.- Industries in developing countries to save on costs.- Trade blocs - economic integration between states- Sources of income from international companies- Global transactions - buying from China etc
How are countries culturally connected?
Exposure to media
International travel
Awareness of world events - news sources
Westernisation - western brands in non-western countries
How are countries socially connected?
Immigration. Multicultural societies sharing cultures
Social networking revolutionised human connections - interactions between people in different countries.
Global NGOs - Charities improving world - WHO
Is the environment globalised?
Yes. Pollutants from countries affect other places.
Law and regulations in place by IGOs - Montreal protocol 1987 - called for reduction in CFCs
What are the dimensions of Globalisation
Capital
Labour
Products
Services
Information
What is flows of capital?
Flows of money around the globe for investment, trade or business production.
What are the 4 main groups of capital flow?
- Core regions - Wealthier, developed countries with power
- Periphery regions - Less wealthy, developing countries with less power
- International Monetary Fund (IMF) - International corporation providing loans to countries facing short-term payment difficulties.
- The world bank
Capital flow also occurs between core regions.
What are flows of labour?
Movement of people between countries for work.
Migration - Contributes to countries workforce.
Economic Migrants - Voluntarily moved for work and improved quality of life.
Refugees - Forced to leave home - Conflict, politics etc. Granted temporary residency
Asylum seekers - Left their country in seek of asylum (Being granted permission to stay)
Where are the major labour flows within the continent?
Asia - 63million people moved to different area of Asia in 2017. Largest between South to West Asia. - Usually for better job prospects as western Asia much wealthier.
Europe - 41million moved within Europe - Germany holds largest number of European migrants. Mostly moved from eastern Europe (Romania, Czech, Poland.)
Where are the major labour flows between continents?
Latin America -> North America - 26million - 3rd largest global labour flow.
Asia -> Europe - 20million - 12% migrating Asians live in Europe. - Germany has highest amount.
What are the different types of labour?
Highly skilled labour - High trained jobs - IT, Medicine and science.
Unskilled Labour - Don’t require qualifications or intensive training - Lower economical value. Labour flows from areas on low skill work to developing countries can result in overpopulation and overexploitation.
What is meant by Flows of Products?
Movement of produced goods from area of production to area of consumption. Globalisation increased international trade. 2015, value of world trade for food and manufactured commodities reached $25trillion
What has happened to product flows in the last few decades?
Shift into internal product flows to international - Tech advancements and better transportation & communication.
- Products can now be produced in low income countries where it is cheapest. Offshoring allows for higher upmarket profit.
What is meant by flows of services?
The ability for an industry to be moved / located anywhere without constraints
‘Footloose’ industries.
What types of services are there?
High level - Activities which generally require high skill level. Important and complicated - qualifications and training. Financial services etc. - Usually in HIC’s, increasingly in global hubs.
Low level - Require less training. Not as important to consumers - Customer service based - call centres. Offshoring for cheaper labour costs. - Developed global connections & accelerated globalisation.
What is meant by flows of information?
The ability to transfer information in the globalised world - Phone calls, internet etc. - Industry no longer needs to be tied down to a location.
How has flows of information increased?
Development of internet use and social media
- faster broadband
- Social media
- Real time data
- Large databases
How has globalisation impacted global marketing?
Allowed businesses to market products on international scale.
Awareness of brand - brand creating trademark - easily recognised by consumers. Familiar brand more likely to sell well.
Brands change their content based on country being sold in. Japanese kitkat - cherry blossom etc. - Glocalisation.
Explain the patterns of production
Agriculture - EU and US. Many emerging economies top 10
Fuels and mining - EU, though majority of emerging in Middle-East are top 10
Steel and iron - EU Dominates, Russia, china and india close after
Textiles - China largest exporter, EU and US on leaderboard.
chemicals - Dominated by EU, followed by Japan and Switzerland
Clothing - China, then EU
Office and Telecom equipment - Majority emerging economies - China, singapore, korea, taiwan.
Automotive - EU, Japan and US.
Where is the highest product consumption?
HIC’s have a higher demand for products than LIC’s. Developing economies have demand for fuel and minerals due to industrialisation. Low economies have low imports, though contain the highest import of medical supplies.
What has affected globalisation?
Global advancements in technology, relationships and systems have accelerated globalisation.
What are financial systems?
The relationship between people borrowing money and those investing money - Basically a bank.
