Globalisation Flashcards
What does the GEI measure?
Created by the UNDP, measures Gender Disparity
What 3 categories does the GEI measure?
- Reproductive health
- Empowerment
- Labour Market Participation
3 ways in which countries are made switched on?
- Large labour force (skilled)
- Strategic location - coastline
- Natural resources- Oil
What makes TNCs so successful?
- They alter their products from each country they sell for
- Use numerous strategies to help them expand globally
- Source any material they need all over the world
What are special economic zones (SEZ)?
Small industrial areas where favourable conditions are created to attract foreign direct investment
What does UNDP stand for?
United Nations Development Programme
What does switched off mean?
Those who are against globalisation leading them to be left behind or isolated.
What is the meaning of dereliction?
Abandoned buildings
What is deindustrialisation?
Removal of factories
What is global shift?
Movement of our western economies to our Asian countries
How has international organisations increased globalisation?
International organisations have promoted globalisation in terms of foreign investment for TNCs and aid from countries and NGOs
3 examples of Trade Blocs
- EU
- ASEAN
- NAFTA
What is remittance?
Money sent back home due to migration reasons
How has mobile pones increased globalisation?
Enables people to communicate and access the internet wherever you are
What is the multiplier effect?
When a positive thing turns into another positive thing
What does switched on mean?
Countries that are in favour of globalisation, therefore increased connectedness to the world
How has fibre optics increased globalisation?
Due to superfast internet connections being achievable, communication is viable. Therefore, higher interconnectivity.
What is fibre optics?
Cables that deliver fibre optic broadband and can facilitate fast movements of data
What are Trade Blocs?
Countries that group together as members of a Trade Bloc and promote free trade and the exclusion of tariffs
What is globalisation?
The way in which places and people becoming more interconnected.
What are transnational corporations?
Firms with operations spread across the globe and operating in many nations
What are the 3 main global organisations that have promoted globalisation?
- World Bank (WB)
- World Trade Organisation (WTO)
- International Monetary Fund (WMF)
What are the indicators used to measure globalisation?
- The KOF Index
- The AT Kearney Index
What is the paralympic movement?
Big inclusive sporting event highlighting equal opportunity for everyone and the athletes competing remembered for their talents
In our developing world, how is disabilities presented?
Seen as a curse
Meaning of cultural erosion?
Wearying away of culture
What is a host and source country?
Host country is where migrants are moving too. Source countries are where migrants are moving from
What made people leave Poland?
- Low living standards
- Unemployment: 20-35% (40% youth unemployment)
- Low income level
Also took advantage of the lenient British welfare system
What is an E- tailer?
A retailer selling goods via the internet.
What is the World Trade Organisation (WTO) purpose?
WTO believes in free trade without subsidies and tariffs. WTO encourages all trade between countries to be free.
Risk caused by increased globalisation for banks
Alliances between banks are created. Therefore in the future, competition in the electronic marketplace will be fierce.
How has social networking increased globalisation?
Allowed places and people to be better connected. Also helps to spread ideas to different parts of the world.
What is outsourcing?
Obtaining goods or services by contract from an outside supplier
How has TNCs increased globalisation?
TNCs have made places much more interconnected and ideas/cultures can be shared more frequently due to this.
What is the International Monetary Fund (IMF) purpose?
Lends money for development and maintains international financial stability.
What is electronic banking?
Banks that use their online operations to expand into foreign markets
What does the AT Kearney Index score?
- Political engagement
- Technological connectivity
- Personal contact
- Economic integration
5 examples of free zones in the UK
- Teesside
- Liverpool city region
- East Midlands airport
- Thames
- Plymouth and South Devon
What is time-space compression?
If it takes less time to get to places, effectively making places seem closer.
What normally occurs due to deindustrialisation?
- Pop. decrease: Out Migration of working age groups
- Unemployment: Huge increase
- Health: Decrease due to lower income levels
- Educational attainment: Decreased due to less confidence
- Land Use: Increased dereliction
What are enterprise zones?
Geographical defined areas in which commercial and industrial business can set up and expand.
What is foreign direct investment (FDI)?
Big TNCs in one country investing into another country. Normally a low income country
What is the aim of free zones?
To create new jobs and accelerated the UK economy
3 ways in which countries are made switched off?
- Political isolation
- Physical location - Landlocked
- Resources controlled by TNCs - due to old trade agreements
What is gross national income (GNI)?
How much money a country has taken into account, the money earned by residents abroad, plus any taxes paid abroad
What is the world banks (WB) purpose?
The WB was formed to finance economic development via loans from wealthy countries to developing countries.
What is purchasing power parity (PPP)?
a measure of the price of specific goods in different countries and is used to compare the absolute purchasing power of the countries’ currencies
What is meant by cultural diffusion?
Spread of cultures across the globe
What is gross domestic product (GDP)?
Measure of national income, calculated from national output and national expenditure
How has transport in terms of jet aircrafts and containerisation increased globalisation?
- Containerisation has made trade much quicker and easier and more frequent in terms of transporting a large amount of goods
- In terms of jet aircrafts, This also has made transport quicker, cheaper, easier, and more frequent. Main example of this is Jet2.
A criticism of AT Kearney
Only includes 62 countries and the indicators can be quite unreliable in terms of measuring globalisation.
What is cumulative causation?
A model that explains why wealth becomes concentrated in some places
What is deprivation?
Having a lack of something
How has electronic banking increased globalisation?
As it’s created alliances with other banks. Therefore, becoming more interconnected.
How has transport in terms of steam ships and railways increased globalisation?
These British technological advances in has revolutionised how business was conducted around the world. Also improved due to the instantaneous communication provided by phones.
3 positives of McDonalds in terms of globalisation
- Sharing of western culture bringing in new diets
- McDonalds employ more than 1.7 million people, creating new job opportunities.
- McDonalds also creating a positive image in terms of giving to charity. (Made 400 rooms for families in need)
What does the KOF index score for each country?
- Economic globalisation
- Social globalisation
- Political globalisation
What is disposable income?
Money left after paying for necessities
How has internet technology increased globalisation?
Enables companies to locate anywhere as they can control workers via calls. Also, allows people to socially keep in contact.
Definition of informal housing
Slum settlement, Not funded by government
What is the two speed world?
One sector of industry/business or part of the world growing at a much faster rate than the other in terms of development and the economy
What is glocalisation?
The adaptation of a global product for a local market
What are technopoles?
A cluster of technologically innovative businesses and research institutions.
What is the shrinking world theory?
As places are easier and quicker to get to, the world is hypothetically shrinking
3 negatives of McDonalds in terms of globalisation?
- introduction of another culture can result in a loss of some traditions
- Exploitation of children, mainly through advertisement.
- Accusations were made in 2000 that sweatshops were used.
Purpose of the paralympic movement?
The purpose is to change peoples perspectives on what it means to be disabled. Spreading positive global culture.
What is business clustering?
Geographical concentration of interconnected businesses
5 reasons why a country may be cheap to investors
- Cheap labour costs
- Large workforce
- Wage rates
- Political stability
- Size of economy and population
What are free zones?
Zones that act as a hub for global trade and investment
What does the Gini index (GI) measure?
The GI measure the increasing inequalities within countries - an index value between 0 - 100. value of 0 means everyone has the same income whilst 100 means high income inequality
What is the Gini index sometimes shown as?
Can be shown as the Gini coefficient which is the same, other than the values being from 0 -1.
are culturally mixed societies positive or negative?
Quite positive due to increased interconnectivity and inclusiveness.
How has globalisation contributed to migration?
There are now large diasporas from many countries residents in other countries due to globalisation.
Meaning of diaspora.
Dispersal of people
Why has migration rates increased due to globalisation?
- Open border for migration : such as within the EU
- FDI : encourages TNC workers to work overseas
- Deregulation of some job markets, allowing foreign qualified workers.
- Humanitarian crisis : Russia and Ukraine
Meaning of censorship?
The prohibition of resource’s such as films from other countries that the government find unacceptable.
What are the 2 types of censorship?
State controlled and State monitered
What is trade protectionism?
Deliberate attempt to limit imports or promote exports by putting up economic barriers to trade. This occurs as protectionists believes this protects their local economy
What is resource nationalism?
control over natural resources, mainly from the government, due to economic reasons
What is the ecological footprint?
The impact from a person or a community on our environment.
Why do we need to consider food security?
By 2050, food demand likely to double worldwide.
Why do we need to consider water usage?
Due to increased food production, water supplies will deplete due to crop production and animal husbandry.
Why do we need to consider energy consumption?
As it is predicted by 2035, there will be a 50% increase in global energy use, which is a severe increase
Why do we need to consider and protect our environment?
From manufacturing items to our television, this has increased our ecological footprint massively which is damaging our planet due to causing an increased climate.
What is localism?
A range of political philosophies that priorities locals over national and global.
2 positives of local sourcing?
- Good for public relations, demonstrating investment in the local community.
- Easier to satisfy local preferences and source specialised products.
2 negatives of local sourcing?
- local suppliers that are small businesses may be less efficient with restricted economic scale
- Close supplier/staff connections can lead to issues with ethical supplier selection.
Meaning of fair trade?
A trading partnership that seeks equality in terms of international trade.
Meaning of ethical consumption?
Practice of purchasing products and services.
