Globalisation

Question 1

Define globalisation.

Answer 1

Globalisation is the expansion of business operations into other countries through the removal of economic barriers and increases in global technology.

Question 2

What causes globalisation?

Answer 2

• rapid advances is technology (communication is easier)
• laws regarding foreign investment have become more relaxed
• trade agreements between countries have seen a decrease in trade barriers (makes trade of goods and services easier)

Question 3

What are some effects of globalisation?

Answer 3

• changed food supply
• division of labour
• less job security
• damage to the environment
• cultural impact

Question 4

What’s the impact of globalisation on the local community?

Answer 4

• local companies lose business

- provides jobs to local workers

Question 5

What are 3 ethical consideration for a multinational company operating in a global economy?

Answer 5

• reasonable payment
• flexible working hours
• good working conditions

Question 6

Effect of globalisation on producers:

Answer 6

+ large consumer audience
+ access to more resources, technology
- more competition

Question 7

Effects of globalisation on consumers:

Answer 7

+ cheaper prices
+ wide variety of products (carman’s muesli)
- quality of goods is unpredictable

Question 8

Effects of globalisation on employees:

Answer 8

+ can create job opportunities for locals

• shortage of labour for unskilled workers
• poor working conditions for overseas employees (workers us Apple factory in China, Indonesian miners)