Globalisation

Question 1

Globalisation

Answer 1

The increasing integration of the worlds local,regional and national economies into a single, international market

Question 2

Factors contributing to globalisation

Answer 2

-Trade in goods
- Trade in services
- Trade liberilisation
-MNC
-International financial flows
- Communications and IT
- Containerisation

Question 3

Positives of globalisation

Answer 3

• Consumers and producers reap the benefits of specialisation and EOS as firms become larger
• Firms opperate in a more competitive environment which encourages average costs to be lowered
• Increase in the world GDP
• Workers can take advantage of jop opportunities around the world hence lowering geographical immobility
• greater employment

Question 4

Negatives of globalisation

Answer 4

• de cultrilisation
• trade inbalances between countries
• weallth inequalities
• governments may loose sovreinigty
• MNC may exploit labour
• structual unemployment
• overreliance of developing countries on developed countries
• deforestaion , water scarcity and degradation
• exploitaion of raw materials
• greater risk of external shocks

Question 5

Developed country

Answer 5

A developed country has the characteristics where there is a high degree of economic development , high average income per head , high standards of living , and a abudance of wealth and resources available to it’s population

Question 6

Developing country

Answer 6

Countries who are considered behind in terms of there economy, human capital , infastrcture and industrial base

Question 7

Mcdonaldisation/ Coca - colonisation

Answer 7

Destruction of local and national products due to a western culture normally from US brands

Question 8

Glocalisation

Answer 8

Where a global product or service is more likely to succeed if it is adapted to local practices and cultural expectations.
- e.g Mcdonalds resturants offer menus to satisfy local tastes such as most of the menu in India is vegiterian with burgers such as the MCveggie or Dosa Masala Burger

Question 9

Dependency theory

Answer 9

Dependency theory suggests that poorer countries are kept underdeveloped because richer countries exploit them for resources and cheap labor. It points out historical injustices like colonialism and argues that global economic structures keep poorer nations dependent on richer ones, hindering their development.

Question 10

Role of MNC in globalisation

Answer 10

• ECONOMIC INTEGRATION AND INCREASES TRADE , MNC have built global production platoforms which have enabled specialisation and division of labour. Due to global production platforms and supply chains that stretch across international borders there is increased economic integration of diffrent countries.
• INVESTMENT AND TECHNOLOGY TRANSFERS , MNC invest and create jobs in areas which seem attractive and will boost profits due to a reduction in production costs. Hence globalisation is spread due to FDI. Due to long term investment from MNC there has seen the transfer of technology from developed countries to emergerging market economies
• CHANGING EMPLOYMENT PATTERNS AND GLOBAL CAPITALISIM , due to globalisation there has seen the shift of the industry from the East to the West seeing many being lifted out of poverty in the East however deindustrilisation and pockets of poverty in the industrial regions in the West. Reduced global inequality between world markets
  -GLOBAL MARKET PLACE AND INTERNATIONAL BRANDS , mnc develop brands recognised globally and global products are available more. Globalisation has meant that MNC sell the same products to diffrent consumers in diffrent countries

Question 11

MNC

Answer 11

Multi-national cooperations or (MNC) are businesses and enterprises which operate in many countries but have there headquaters in just one country.