Globalisation Flashcards
Define globalisation:
It is the process of the world’s economies becoming integrated into one community
What is the consequence of globalisation, which could be a bad thing, in one word:
What does this describe:
Interdependence
Countries’ reliance on each other to exchange goods and provide goods and services.
What is an MNC
What is a TNC? Where do they make their goods, where do they sell them?
What is fair trade:
Multinational Cooperation - made and sold inside one or few countries
Transnational Cooperation - Developing countries make the goods, sold in MEDCs
Better conditions for workers
How has ICT helped globalisation?
What has it done?
How has this helped globalisation, where?
What does this mean for these places?
Economy? How it affects globalisation….
Computer tech has developed.
Helped globalisation because MORE REMOTE REGIONS have access to the internet …
….and expand their businesses.
The economy can grow and the country can expand business to other countries therefore causing globalisation.
ICT has influenced the development of localised industrial regions.
TNCs
How many companies are based in Motorsport Valley?
What are the majority of the businesses related to?
How many people are employed here?
4,500
Design, research, development, and event organisation
40,000
ICT has influenced the development of localised industrial regions.
Markets in developing countries
What are the Chinese doing?
What does this make the British want to do?
What competition has this raised?
Investing large sums of money into developing racing capacity, tech and engineering skills to grow an industry of its own
UK businesses want to develop F2 on the Chinese circuit
International motor sport racing
ICT has influenced the development of localised industrial regions.
ICT
How much of their turnover is devoted to research and development?
What is used for advertising and exports?
30%
Internet
ICT has influenced the development of localised industrial regions.
Transport
How is its location ideal?
It’s close to all the London airports and Coventry - this is good for importing and exporting
Close to main roads - travelling and shipping is easy
What are the advantages of TNCs? Descriptive
International
Economy
Tourism
They bring countries together because they produce and sell internationally, spreading the money and modernity
It benefits all the countries’ economies from selling and employment in production
The money in the LEDCs allows them to build a tourism trade and gain recognition, furthering the increase in their economy
What are the advantages of TNCs for LEDCs? List
Companies improve the infrastructure of the LEDC
Money is brought in through sponsorship and employment
The company train locals to have new skills
Other companies are attracted by the presence of the TNC
Companies create jobs, especially labour intensive
What are the disadvantages of TNCs?
Safety records are often poor along with working conditions in their LEDC factories
Companies avoid taxes due to lax LEDC laws
TNCs export to the host so the LEDC gains little of the manufactured product
Low wages paid, exploit workers
Provide few jobs, using more tech and machines instead
Describe the background information for the TNC Coca Cola…
How much of the global population recognises the logo?
How often is coke product consumed by one person globally?
Who does it spend more on advertising than?
How much do they get in revenue?
What are they on the rank of economy?
94% Once every 4 days Apple and Microsoft $35.1 billion 84th largest economy, just ahead of Costa Rica
What are 3 political effects of Coca Cola?
Authorities in Northern India have ordered the closure of the CC bottling plant as they have extracted too much of the areas’ ground water
Plants have breeches their operating licenses and so officials have ordered the closure of a plant in Uttar Pradesh
What are 3 social effects of Coca Cola?
Negative affects historically as they collaborated with the Nazis
Threats to union workers inside the plants have been made in Mexico by the Paramilitary organisation the Black eagles
The 330ml coke contains 8tsps of sugar causing obesity
What are 3 economical effects of Coca Cola?
1.4 billion drinks sold everyday turning into profits and infrastructure for both LEDCs and MEDCs
The products made are shipped out of the countries, the money made leaves the LEDCs.
What are 3 environmental effects of Coca Cola?
They are taking out too much ground water so some plants have been ordered to replenish it with 2x the amount they have extracted
The effluents released by plants in India contain pollutants beyond the permissible limits
People in LEDCs can’t afford to appeal against the illegal pollution in their local rivers they drink from, e.g in Mexico
Why have call centers relocated to Bangalore?
They are less expensive
Operating costs are between 10-60% lower
Development of ICT allows fast communication so it is no worse being across the globe
The foreigners have a high work ethic as the job is valued more than in an MEDC - therefore they can pay less
What are the effects in Britain after TNCs have outsourced their call centres?
The countries are leaking their money out to LEDCs, helping those but not the MEDC economy
Thousands of people left unemployed
Why is there industrial growth in some parts of the world?
Some LEDCs are developing their Secondary and Tertiary working sectors, NICs, as there is significant industrial growth here.
These countries are developing and so need more people to work in factories to produce goods, they become big exporters to MEDCs.
Why is their de-industrialisation in some areas of the world?
It is occurring in the UK because there is less manufacture needed due to mechanisation, other countries producing goods more cheaply and wages in the MEDC being too high.
There is a growth in secondary and tertiary employment
There is an increased demand in other occupations such as retail and marketing for the products produced in the LEDCs
What are the effects of government legislation on industry? (3)
Set up enterprise zones, making conditions favourable for new industry
Providing advanced factories built by the government
Ensuring educational reform, particularly in the “Asian Tigers”
(Minimum wage has many effects too)
What are the effects of health and safety regulations on industry? (3)
Employees know how to execute their jobs safely, improving their welfare
They are supplied with protective clothing improving the standards of the factories and the lives of the employees.
When these aren’t enforced the factories break the law, but some ban trade unions to fight for their rights
What are the effects of prohibition of strikes on industry? (3)
After 15,000 Ford workers striked in September 1978 it was seen as bad for the industry
Nissan and Toyota came to the UK having the understanding strikes are not allowed, so if they happen they could have large negative implications on the economy if they leave.
Trade unionists likely to be threatened in Sri Lanka
What are the effects of tax legislation on industry? (3)
Tax free zones promote industry in Dubai and Zambia
Grants available
Rent free periods occassionally available in the UK to help businesses set up
Why has China grown as an economic giant?
Export or import?
Attack!
How they spend their money
Its economy is based around the export of consumer goods, where there is a massive global market
It’s isolated from military attack, boardering poor countries and mountains
Spent on industry and infrastructure instead of the 85% of the population that has a low standard of living
Why has China grown as an economic giant? Government legislation (3)
Health and safety laws are heavy but not enforced
The 1986 government developed the “Open door policy” to encourage overseas investment
In the 90s the government allowed Chinese people to become individually wealthy by producing their goods without government interference
Why has China grown as an economic giant? Home market (2)
When the 1979 one child policy was introduced people had more money to spend on consumer goods so the internal consumer goods industry began to rise
China has an increasingly wealthy population, the per capita income of an urban household has increased from £200 in 1993 to £600 in 2001
Why has China grown as an economic giant?
Three gorges dam (2)
As this is the biggest dam in the world it has improved navigation and therefore trade and development int he area along the Yangtse river.
Industrial development requires large amounts of energy and the dam can support this, as it produces more HEP than in any other country.
Why has China grown as an economic giant?
Taxes and investment (2)
Cheap labour, wages are 95% lower than int he UK
TNCs can enjoy up to 50% reduction in taxes in Special Economic Zones incentives companies to develop in China.
What are the affects of world population growth on the global demand for energy?
Up or down?… why? (2)
The demand is increasing because there are more people using electricity domestically and industrially.
We need more energy to support the increase in infrastructure that we need to support more and more people.
What are the affects of technological advances on the global demand for energy?
Up or down?… why? (2)
Demand is increasing because more energy is required to run new products.
Modern technology allows the development of other sources of electricity so we enter a cycle, the better the tech, the more elecy we get so we can develop tech further….
What are the affects of increased wealth on the global demand for energy?
Up or down?… why? (1)
Increased demand due to the average earnings in the UK increasing from £300 in 2000 to £450 in 2011 per week means there is more money to spend on goods,housing etc meaning more energy is needed to run all of these products.
What are the social impacts of increased energy use? (3)
An estimated 400,000 people die prematurely in China every year due to pollution related illnesses.
360 million people lack access to safe drinking water globally because the energy is used for industry.
Infrastructure and appliances improve improving the lifestyle of millions in the country and in cities in both MEDCs and LEDCs
What are the environmental impacts of increased energy use? (3)
Increased industry is polluting farmland, rivers and the ocean from the waste products produced, e.g Coca Cola.
70% of China’s rivers and lakes are polluted.
Cities and factories expand laterally across the countryside ruining natural habitats and killing wildlife, deforestation contributing to global warming.
What are the economic impacts of increased energy use? (3)
As more goods are produced profits increase, fuel prices rise and the market becomes unstable.
Loss of $25 billion a year due to health expenditure due to pollution in China.
Incomes for rural villages decreases due to mechanised farming, many lose jobs.
What are the political impacts of increased energy use? (3)
Air pollution costs the Chinese government $25 billion a year in health expenditure, lost labour and productivity due to coal use.
Pressure to secure fuel from other sources lands on countries relying on oil and gas, like the UK.
Pressure on countries for solutions on global warming.
What does non-renewable mean?
Continued use of these resources will eventually use them up and they cannot be replenished.
What does renewable mean?
The sources can be reused multiple times and will not run out.
Sustainable development - definition?
Meeting the needs of today without compromising the ability of future generations to meet their own needs.
How can sustainable development be achieved through the use of renewable energy?
By using renewable energy none of the resources will be used up and the renewable sources will be available for future generations to use, achieving sustainable energy production.
What is one type of sustainable energy and where do they use this?
Wind energy from a turbine, in Green Park, Reading.
What are the advantages of wind power? (3)
The source will never run out as it depends on a naturally occurring system
Creates jobs, engineers are needed to develop the technology, build and connect the turbine.
It occupies a very small area of land, reducing loss of farmland, like with solar panel farms.
What are the disadvantages of wind power? (3)
They only produce 25% of their total energy output in electrical energy turning the generator
It doesnt look attractive and it could disturb birds and their migratory routes.
It’s weather dependent and there is no way to produce more energy when there is an increase in demand
What is one international directive on pollution control and carbon initiative?
Who signed and when?
What was the main aim?
Kyoto Protocol - the worlds first international agreement on tackling global warming
Signed in 1977 by almost all countries but the USA, to reduce carbon limits by set targets.
To hold greenhouse gases at a non-damaging level.
What were two advantages and two disadvantages to the Kyoto Protocol?
What was the main disadvantage, helping richer countries?
Some countries met their targets and lowered their emissions
It has raised governmental awareness for climate change
Some countries had their own targets reducing the relevance of the treat, undermining its importance.
Many countries are exempt from the targets due to their late development.
Carbon credits
How are the costs of globalisation reduced locally?
What is one advantage to this, one disadvantage?
What is another way, ad and dis?
Recycling converts waste from industry and consumers caused by glob’ into reusable material
Ad- Saves resources as they are being reused
Dis- Recycling can be costly and material can have to travel a long way to reach a plant, causing more pollution
Landfill - most waste can be disposed here, but dangerous gases are released polluting the local environment and atmosphere.
How are the costs of globalisation reduced globally? What are these?
What is one advantage to this, one disadvantage?
What is another way, ad and dis?
Carbon Offsets are carbon credits for reductions in GHG emissions in another area, so one country reduces emissions lots and sells the extra to compensate for another country exceeding their target.
Ad- Helps all countries to reduce their impact on GHG
Dis- Means big businesses don’t necessarily need to reduce their emissions because they can buy others’ offsets.
Why are the number of food miles increasing? (3)
It’s cheaper to import from far away LEDCs
Consumers want fresh food, available all year round along the equator region
Worlds population is growing so countries can’t sustain their growth so need to import from further away.
What are the benefits for importing food? (3)
Cheaper for consumers because it’s from LEDCs
Jobs provided and sustained in LEDCs
Poorer countries produce fewer emissions than MEDcs using machinery to farm
What are the costs of importing food? (3)
Imported food is out-competing local farm produce so MEDC farmers are going out of business
LEDC farming is intensive as yield is low so there is lots of soil erosion and reduced fertility
Airplanes use masses of fossil fuels in the long flights across continents, contributing to GHG emissions
What is marginal land?
Land not suitable for farming as it lacks the nutrients, or soil erosion has taken place or it is in an undesirable location
Why and what are the hostilities between Egypt and the southern Nile fed countries?
The problem:
The hostilities: (2)
It uses the water for irrigation to export food, farming is Egypt’s most important industry
Relies on the Nile for 90% its water so if the Nile’s discharge is reduced they suffer
They have the power to destroy the dams of other countries
Why and what are the hostilities between Sudan and the other Nile fed countries?
The problem:
The hostilities: (2)
It needs the water for irrigation
Their important swamps will dry up if the water supply is lost
Both the rivers meet in Sudan so they could have a lot of control
Why and what are the hostilities between Uganda and the other Nile fed countries?
The problem:
The hostilities: (3)
50% of the population don’t have access to clean water
If they build a dam for HEP and hydration all countries downstream suffer
Ecosystems in Uganda will become damaged and flooded
They are at risk of sabotage
What is a cash crop?
A crop to meet a global demand and to make money, e.g cotton
What is intensive farming?
Large amounts grown in small spaces requiring lots of energy and a very controlled environment
What is subsistence?
Growing food to live and survive, to feed a family, and spare is sold on to support the family and buy more seed
What is good about locally produced food?
few food miles
What are the social impacts of development of cash crop farming on subsistence economies?
Bad
Good
The farmers may not be able to feed their families if the overseas markets fail.Traditional, cultural produce is swapped for fast resistant crops. Also fertilisers need to be used because the high yield crops drain the land.
With the money from foreign trade the farmers can improve their standard of living, the governments can install pumps and wells in remote farming villages.
What are the economic impacts of development of cash crop farming on subsistence economies?
Bad
Good
Overseas companies want a steady stable supply of crops so if the farmers face a drought they will get no crop and therefore no money, the economy is unstable.
Foreign investment boosts the economy as more money is fed into through purchase of crops.
Why should we encourage locally sourced produce?
Effect of crops in LEDCs…
Food miles…
Local farmers…
The high yielding crops in Kenya and India cause soil erosion, and become undernourished causing the land to become marginal.
Crops sourced from LEDCs have loads of food miles as they originate in Africa or Asia, therefore having a terrible impact on GHG emissions
Local farmers in MEDCs need supporting so buying these keeps their jobs and culture alive.
