Globalisation Flashcards

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1
Q

What factors have made globalisation possible?

A
  • Relaxation of laws allowing foreign investment in countries (encouraged rise of TNCs)
  • Increased provision and speed of international transport
  • Developments in communication with fax, telephone and email
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2
Q

What is interdependence?

A

The relationship between two or more countries, usually in terms of trade

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3
Q

What are call centres?

A

Offices where groups of people answer telephone queries from customers. Employees use a computer to give them information that helps them answer questions

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4
Q

What is a transnational corporation?

A

A corporation or enterprise that operates in more than 1 country

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5
Q

What is the multiplier effect?

A

Where initial investment and jobs lead to a knock-on effect, creating more jobs and providing money to generate services

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6
Q

What is leakage?

A

Where profits made by the company are taken out of the country of origin and so do not benefit the host country

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7
Q

Advantages of TNCs

A
  • Offer jobs in factories making supplies and services where products are sold
  • Additional income benefits local businesses, creating a multiplier effect
  • Training workforce helps develop skills
  • Infrastructure improves as better access and communications are needed
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8
Q

Disadvantages of TNCs

A
  • Leakage
  • Some locations wages are very low and key jobs go to outsiders
  • Worldwide economic problems or problems within the country can cause branches to close
  • Working conditions are poor and and hours are long
  • Health and safety is an issue
  • Pollution in countries with less strict regulations
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9
Q

What is deindustrialisation?

A

A process of decline in some types of industry over a long period of time. It results in fewer people being employed in this sector and falling production

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10
Q

What are assisted areas/enterprise zones?

A

Areas that qualify for government help. Enterprise zones are on a smaller scale than assisted areas

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11
Q

What is globalisation? (Basic definition)

A

The increasing links between different countries throughout the world and the greater interdependence that results from this.

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12
Q

What are advanced factories?

A

Where buildings for production are built in the hope they will encourage businesses to buy or rent them

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13
Q

What types of Government legislation have been introduced that have influenced industrialisation?

A
  • Setting up assisted areas/enterprise zones where conditions are favourable for new industry - e.g. lower taxes
  • Providing advanced factories of various sizes
  • Offering retraining and removal expenses
  • Ensuring educational reform is high on the list in areas such as the four Asian ‘Tigers’
  • Some countries have minimum wage
  • Some countries have a maximum number for hours worked per week
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14
Q

What types of health and safety regulations have been put in place that influence industrialisation?

A
  • Working conditions vary globally but in the UK, employees working 6+ hours are entitled to a 20 minute break
  • Workers have the right to know how to do their job safely and be trained to do so, know how to get first aid, know what to do in emergency and be supplied with protective clothing
  • > these regulations do not exist in some poorer countries or are not enforced
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15
Q

What are strikes?

A

Periods of time when large numbers of employees refuse to work due to disagreements over pay or other grievances

Prohibition of strikes is also an influence on industrialisation

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16
Q

How has the prohibitions of strikes affected industrialisation?

A
  • Companies such as Nissan and Toyota came to the UK on the understanding that strike action would not be allowed
  • Strikes themselves can have an adverse effect on manufacturing and industry which led to the prohibition of strikes and reduction in the power of trade unions
17
Q

What are tax incentives and tax free zones and how have they influenced industrialisation?

A
  • Tax incentives take a variety of forms but all seek to offset costs. This can be done through job-creation grants, business rate/rent free periods and help preparing business plans.
  • Tax free zones are areas in which businesses do not need to pay tax
18
Q

Reasons for China’s rapid growth

A
  • Government legislation
  • The home market
  • The Olympics factor
  • Energy
  • Labour
19
Q

How has government legislation caused rapid growth in China?

A
  • In 1977 Deng Xiaoping wanted to end China’s isolation and stimulate industry.
  • Foreign investment was encouraged but the government maintained overall control over the economy so that China would have maximum benefit
  • Between 1980 and 1994 special economic zones (SEZs) were set up to provide tax incentives to foreign companies to encourage foreign investment
20
Q

How has the home market caused rapid growth in China?

A
  • The one child policy (1979) reduced population growth, making families wealthier and increasing consumer demand
  • China has a large and rich urban population demanding air conditioning, electrical household goods, cars and computers
  • The home market will continue to grow
21
Q

How has the Olympics factor influenced China’s rapid growth?

A
  • The 2008 Olympics were held in Beijing, providing China with the opportunity to showcase the country,
  • The opening ceremony was an attempt to convey China as a modern, open and friendly country
22
Q

How has energy influenced China’s rapid growth?

A
  • China generates 2/3 of its electricity at coal-fired power stations and many new plants are being built
  • China produces more HEP than any other country and it accounts for 13.9% of electricity (2010)
  • Industrial development on a large scale demands large resources of electricity
23
Q

How has labour influenced China’s growth?

A

Cheap labour helps the economy thrive - wages are 95% lower than in the USA

24
Q

What are they causes of increasing global demand for energy?

A
  • World population growth
  • Increased wealth
  • Technological advances
25
Q

Why does increased wealth cause a higher global energy demand?

A

As people become wealthier they demand more products and consumer items, such as electrical items, which require more energy to make and use

26
Q

Technological advances and their role in increasing global demand for energy

A
  • Supplied us with increasing amounts of energy and a wide variety goods to buy
  • Development of steam using coal led to large scale production in the UK and it fuelled the Chinese economy
  • Led to development of other sources of energy (e.g. nuclear) and resources can be more easily exploited from areas that they could not have been taken from before
  • Companies compete with each other to produce products, this requires energy to run, make and develop
27
Q

Effects of increasing global demand for energy

A
  • Incidence of lung related diseases (e.g. emphysema, bronchitis) increase as more areas experience industrialisation (e.g. In UK)
  • Many people choose to cycle for environmental and economic reasons
  • Areas people go on holiday can change because of changing air fares and rising fuel costs
  • Energy becomes more expensive as energy sources are used
  • Some cities are shrouded in a haze made up of chemicals from coal, smoke and ozone etc
  • Transportation of oil has led to major oil spills and pollution
28
Q

Notes on renewable energy

A

Important in sustainable development

-HEP, solar, tidal and wind power

29
Q

Kyoto protocol

A

An international agreement to cut carbon dioxide emissions to help reduce global warming.

30
Q

Environmental impacts of increasing global food production

A
  • Transporting food longer distances increases carbon footprint. People in the UK demand out of season produce which means greater food miles
  • Food produced within the UK can also produce greater emissions because of the technology used
  • Land can become even poorer quality in countries where there is pressure on food production. As crops are harvested, no goodness is returned to the soil so it becomes exhausted and prone to soil erosion
31
Q

Political impacts of increasing global food production

A

-Disagreements can occur over water that is necessary for irrigation (e.g. Problems over the river Indus)

32
Q

Social impacts of increasing global food production

A
  • Health and safety can be problematic in some areas
  • Water supplies are often affected by fertiliser
  • Population can increase
  • Food shortages because land is not grown for food production but for cash crops
33
Q

Economic impacts of increasing global food production

A
  • Small scale farmers sell surplus food for money
  • This can be invested in their farms
  • Rural debt can be created as use of fertiliser and pesticides needs to increase