Globalisation case studies Flashcards

1
Q

What is an example of a country that was helped by the IMF and the World Bank, and when?

A

Bolivia, in 1999

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2
Q

What did Bolivia have to do to receive financial aid from The World Bank and the International Development Bank

A
  • Water privatisation was a requirement for the Bolivian government in order to retain ongoing state loans
  • The World Bank pressurised the government to give up its control of municipal water supply
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3
Q

Who did Bolivia transfer control of water supplies to?

A
  • To the company Aguas del Tunari
  • It’s a multinational group owned by International Water, of which the San Francisco-based company Bechtel was the main shareholder
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4
Q

What happened as a result of Bechtel’s water investment and management in Bolivia?

A
  • When the company took over local wells and informal pumps as well as the public system infrastructure, many consumers were priced out of the market and were unable to pay the increased rates
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5
Q

What was Bechtel’s revenue in 2000 and what does this compare to?

A
  • Bechtel made an annual revenue of over $14 Billion in 2000
  • Bolivia’s national budget at the time was only $2.7 Billion
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6
Q

How did Bolivians react to being priced out of water?

A
  • Riots eventually broke out in Cochabamba
  • Violence shook the confidence of the local government and international investors
  • Bechtel was forced out, resulting in chaos in water delivery but also seriously affecting foreign investment in the country
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7
Q

Why did the water privatisation project in Bolivia fail?

A
  • The government, World Bank and IMF decided to implement their private-market-led policies despite previous failed attempts at structural adjustment in Bolivia
  • Bolivia is a small, poor economy so the government likey felt pressured to side with the powerful TNCs
  • Foregin investors never sought the input of indigenous people or considered the impact of their policies on them.
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8
Q

What are the goals of the European Union?

A
  • Promotes peace and well-being of citizens
  • Offer freedom, security and justice without internal borders
  • Sustainable development based on balanced economic growth and price stability
  • Enhance economic, social and terrotiral cohesion and solidarity among EU countries
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9
Q

What countries is ASEAN made up of?

A

Brunei
Cambodia
Indonesia
Laos
Malaysia
Myanmar
Philippines
Singapore
Thailand
Vietnam

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10
Q

What is the goal of ASEAN?

A
  • To facilitate common interests through regional cooperation whilst simultaneously recognising each country’s cultural, social and economic identity
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11
Q

When did McDonalds first open in the world, and in the UK?

A
  • First restaurant opened in the US in 1955
  • First UK branch opened in 1974
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12
Q

How many McDonalds restaurants are there now?

A
  • 30,000 restaurants in around 120 countries
  • There are 1200 restaurants in the UK
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13
Q

How many customers do McDonalds get?

A
  • 50 million customers a day in the world
  • 2 million customers a day in the UK
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14
Q

Where does McDonald’s revenue come from?

A
  • 32% comes from the US
  • 40% comes from Europe
  • 23% comes from Asia/Pacific, Middle East and Africa
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15
Q

Give some examples of McDonalds glocalisation:

A
  • In Muslim countries, pork has been removed from the menu
  • In locations like Antigua in Guatemala, McDonald’s has changed its store frontage to blend in with local architecture
  • The types of products are changed to local tastes e.g McRice in Indonesia
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16
Q

What are the benefits of outsourcing to India and manufacturing to China?

A

Investment in infrastructure

Reduction in poverty

Increase in urban incomes

Better education and training

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17
Q

Describe investment in infrastructure due to outsourcing to India:

A
  • Economical development means that India can afford to expand roads and public transport, such as Mumbai monorail
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18
Q

Describe investment in infrastructure due to shift of manufacturing to China:

A
  • China built 11,000km of new motorways in 2015
  • Infrastructure expansion such as Three Gorges HEP dam has occurred
  • 82 airports built since 2000
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19
Q

Describe reduction in poverty due to shift of manufacturing to China:

A
  • Over 600million people in China have escaped poverty
  • Extreme poverty levels went from 88% in 1981 to only 0.7% in 2018
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20
Q

Describe better education and training due to shift of manufacturing to China:

A
  • Chinese companies are increasingly developing their own products
  • TNCs invest in training and skill developments to improve workforce productivity
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21
Q

Describe the reduction in poverty due to outsourcing to India:

A
  • Large English speaking population makes India a popular location for marketing call centres to find workers, providing more and more people with a stable income
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22
Q

What are the costs of outsourcing to India and shifting manufacturing to China?

A

Loss of productive farmland

An increase in unplanned settlements

Pollution and health problems

Land degradation

Over exploitation of resources and resource pressure

Loss of biodiversity

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23
Q

Describe an increase in unplanned settlements due to outsourcing to India:

A
  • Widening gap between rich and the poor, with 86.8 million people still living in extreme poverty
  • This means many can’t afford planned housing
  • Many migrants come to the city with little savings and can’t afford formal housing, leading to the growth of shanty towns and slums
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24
Q

Describe loss of biodiversity due to outsourcing to India:

A
  • Housing and industry development is resulting in loss of green spaces
  • Biodiversity within most cities has decreased as concrete covers most land, resulting in the loss of habitats
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25
Describe loss of productive farmland due to shift of manufacturing to China:
- Over 3 million hectares of arable farmland has been polluted with heavy metals - Increased usage of pesticides and fertilisers has led to farmland near rivers being taken out of production
26
Describe an increase in unplanned settlements ue to shift of manufacturing to China:
- Rapid industrialisation has created an urgent need for more urban housing, resulting in many informal houses - Land prices have massively increase and made decent housing unaffordable for many - Villagers add extra storeys to their houses and then rent them to migrant workers
27
Describe pollution and health problems ue to shift of manufacturing to China:
- Dangerous conditions in sweatshops do occur, with workers potentially losing limbs or fingers- however conditions have improved - Air pollution in China decreases the life expectancy by 5 years, and deadly particles in the air can cause cancer and strokes
28
Describe land degradation ue to shift of manufacturing to China:
- Rivers and waterways have been polluted with chemicals - 40% of China's farm land is degraded because of pollution and increased building - Rich black soils in the North are eroding, whilst soil in the South is suffering from acidification caused by industrial emissions - land clearance has led to deforestation and over-intensive grazing
29
Describe over-exploitation of resources and resource pressure due to shift of manufacturing to China:
- China is abundant in oil and coal but cannot keep up with demands - The Chinese government has sought additional resources in Africa and Latin America
30
Describe loss of biodiversity due to shift of manufacturing to China:
WWF found that China's terrestrial vertebrates had declined by 50% since 1970
31
What did the UN estimate happened in 2007
That it was the year when more people in the world lived in urban than in rural areas
32
By how much does the world's urban population increase every year?
By about 60 million
33
Give some examples of megacities:
Tokyo Delhi Shanghai Cairo Sao Paulo
34
How many people lived in Mumbai's metropolitan area in 2018?
An estimated 26 million people
35
How does Mumbai's population in compare to its 1970's population?
More than doubled in size since 1970
36
Where do people migrate to Mumbai from?
The impoverished rural states of Uttar Pradesh and Bihar
37
What are the job opportunities like in Mumbai?
- Urban employment covers a range of economic sectors and skill levels - Global brands from Asia, Europe and North America are present in Mumbai - In retail areas, like Colaba Causeway, large numbers of local people work selling goods to the country's rising middle class
38
What sort of people live in Mumbai?
- Some very wealthy people, including Bollywod stars and the senior management of large TNCs such as Tata and Reliance Industries, some of whom are billionaires
39
Describe work in Dharavi:
- 5000 people are employed in Dharavi's plastic recycling industries
40
How has Lagos' population changed?
- It had a population of just over 1million in 1970 - In 2018, its population was between 13 and 21 million people
41
How much does Lagos' population increase by each year, and why?
- By about 300,000 people each year - Many of them are rural-urban migrants escaping poverty in rural Nigeria and the Boko Haram conflict in the North of the country
42
Why is Lagos so important?
- It is crucial to Nigeria's economy, as the country's major port - Its a critical telecommunication hub for West Africa
43
What are living conditions like in Lagos?
- About 60% of people live in informal housing areas, with no reliable access to clean water or sanitation
44
Who makes up the majority of the UAE's workforce?
Migrants, mostly of South Asian origin
45
What human rights abuses have migrant workers in the UAE experienced?
- Made to sign new contracts in English or Arabic upon arrival that pays them less than originally had been agreed - Some workers have their passports withheld by their employer, to ensure the workers cantleave
46
What did Human Rights Watch discover about working conditions in the UAE?
- Confiscated passports by employers - Wages weren't fully paid - Overtime was required - Food, living conditions or medical treatment was insufficient - Physical or sexual abuse
47
Describe Cuba as a communist state:
- Cuba's head of government, Fidel Castro declared Cuba a communist state in 1959 - This resulted in Cuba's isolation from the Western Capitalist world for 50 years
48
What has changed in Cuba since the collapse of the Soviet Union?
- Subsidies from the USSR supported Cuba's economy - Cuba had to begin accepting some foreign capital, particularly from tourism, bring Cubas into contact with tourists for the first tie
49
What are some examples of national resistance to a 'global culture'?
Iran - In the early 2000s, the Islamic Government confiscated Barbies from toy shops because they said they were un-Islamic France - To protect French culture, it limited how much foreign culture could be broadcast, and 40% of broadcasts had to be French
50
What are the 8 MDGs?
1. Eradicate extreme poverty and hunger 2. Achieve universal primary eduction 3. Promote gender equality and empower women 4. Reduce child mortality 5. Improve maternal health 6. Combat HIV/AIDS, malaria, and other diseases 7. Ensure environmental sustainability 8. Develop a global partnership for development
51
Give an example of a diaspora in the UK:
- New Polish migrants have joined a long established diaspora community in Balham, London (first formed in the 1940s) - Many non-Polish Balham residents have welcomed new arrivals and their contribution to the local economy and society - Some locals worry that young migrants have increased the crude birth rates beyond the capacity of the area's primary schools
52
Give an example of a British diaspora:
- UK residents began relocating to the Mediterranean coastline (France, Italy, Spain)
53
Give an example of tension from globalisation:
Paris Charlie Hebdo Attack
54
When did the Paris attacks happen?
January 7th 2015
55
What happened during the Charlie Hebdo attack?
Gunmen attacked Charlie Hebdo, a satirical weekly newspaper in Paris. Twelve people were killed, and eleven more were injured
56
Why did the Paris Attack happen?
- The newspaper had mocked Islam and Muslims, often with cartoons. - The newspapers offices were previously firebombed in 2011 after they published cartoons of the Prophet Muhammed
57
What are the two case studies for rising tensions?
First Nations in Canada China and the Mekong river
58
Who are the key players in the First Nations Canada conflict?
- Canada is home to six indigenous groups of people, known as the First Nations. Their occupation of the land long pre-dates the arrival of Europeans - Oil TNCs including Shell, Exxon Mobil, Imperial Oil and ConocoPhillips Canada are exploring Canol Shale in Canada and assessing its potential for Shale Oil
59
Why is there conflict between first nations and Oil TNCs?
- Some first nations people of the Mackenzie and Yukon River basins oppose the attempts of global oil companies to 'switch on' their region
60
What impact is the First Nations conflict having environmentally?
Exploitation of oil is causing: - The death of trout and other fish in oil-polluted lakes - The Dene residents of the Sahtu region have experienced negative impacts of globalisation and petroleum development near the settlement of Normal Wells- over 200 million barrels of oil have been extracted there since 1920. - Fracking has been linked with water pollution
61
What impact is the first nations conflict having politically and socially?
- Death of fish from oil pollution affects the Dene's cultural identity, as a lifestyle based around subsistence fishing, hunting and trapping is fundamental to them. - Alcohol and drugs brought by oil workers impact the behaviour of young Dene people
62
Who are they key players in the China and Mekong river conflict?
China - Owns half the length of the Mekong river Myanmar - Contains several tributaries of the Mekong Thailand - 36% of Thai territory is within the Mekong basin Vietnam - Mekong Delta supports 40% of Vietnam's population Cambodia - Nearly all of Cambodia is within the Mekong basin Laos - 90% of its population depends on the Mekong for agriculture
63
Why is there conflict with China and other players surrounding the Mekong river?
China wants to dam the Mekong to generate hydroelectric development in one its poorest regions - This would reduce the river flow in Vietnam, 10% has already been lost - Cambodia depends on the river for the annual flooding of its rice growing area - Dams would also reduce the flow in Laos
64
What are the environmental impacts of the Mekong conflict?
- Reduction of river flow - Flooding when large amounts of water are released at once
65
What are the political and social impacts of the Mekong river conflict?
China - Damming the river would help economically develop their poorest region Laos - The majority of the population depends on the Mekong for agriculture Cambodia - HEP would boost the country's economy, but it would also displace villagers who live besides the river Thailand - The water and energy generated can be used for industrial development and to aid rural investment to stem flow of rural-urban migrants.
66
What are some exampls of low cost airlines?
RyanAir Wizz Air EasyJet
67
Where is a popular easyJet flight location, and what does it do?
Tallinn in Estonia is an affordable destination for UK citizens. - Places that easyJet adds to its flight network immediately become switched-on to a greater degree
68
How many people used easyJet in 2023?
83 million
69
Where's an example of offshoring?
US guitar maker Fender opened its Mexican plant at Ensenada in 1987
70
Whats an example of a foreign merger?
Royal Dutch Shell has headquarters in the Uk and the Netherlands
71
What policies were used by China to globalise?
- China agreed to export more 'rare earth' minerals to other countries in line with a WTO ruling - Foreign TNCs are now allowed to invest in some sectors of China's domestic markets, including its rail and chemical industries - Introduction of SEZs meant the worlds largest TNCs were quick to establish branch plants or trade relationships with Chinese factories
72
What policies were used in the UK to globalise?
- Free market liberalisation, helping London become the worlds leading global hub - Privatisation resulted in ownership of many services passing overseas - Sunday trading was introduced in 1994, making the UK a more attractive market for foreign retailers, such as Burger King
73
Describe Zambia:
- The world's eighth largest producer of raw and part-processed copper - It's a landlocked country - It relies on good political relations with its neighbours to access ports on the Tanzanian or Angolan coasts by rail.
74
What is Zambia's political past?
- As a UK colony it lost its independence until 1964, and even after then its wealth was mined and profits exported overseas - Chinese investment in the 1970s led to a rail link to the Tanzanian coast enabling increased exports to China
75
How is Zambia starting to be switched-on?
- Privatisation, debt cancellation and billions of US and Chinese FDI have been invested in the copper industry, increasing the country's income - FDI has been used to build hydroeletric power, improving Zambia's development
76
What are the social effects of global shift in the UK?
PROS - Diverse populations present in previously industrial towns CONS - Population in industrial towns fell- Newcastle-upon-Tyne's decreased by 12% in the 70's - Many poorer areas have a bad reputation for crime - Inner city areas become rundown
77
What are the economic effects of global shift in the UK?
PROS - UK companies can make a greater profit by outsourcing to where labour and materials are cheaper - Low cost housing due to people leaving CONS - people on low incomes or unemployment benefit moved to cheap areas, causing them to become pockets of deprivation - Closure of industries results in job loss
78
What are the environmental effects of global shift in the UK?
PROS - Less industrial work happening in the UK, so less pollution here CONS - Derelict industrial land is contaminated from previous dumping of chemical waste or from manufacturing domestic gas from oil
79
What were criticisms of the MDGs?
- Considered too narrow in scope and too modest in ambition - They failed to mainstream gender issues - They failed to focus on the structural barriers to equality which exist in many societies - Progress was made for the relatively better off, but the acutely poor are still marginised
80
How did the people of Totnes show their dedication to locally sourced products?
- When Costa looked to open a store in Totnes in 2012, 75% of the towns population signed a petition supporting the boycott of Costa - The town was proud of its independently owned outlets and didn't want Totnes to become a 'clone town'
81
What are the three main goals in Totnes?
Resilience - Ability of a system to withstand shock from outside Relocalisation - Going beyond localism, which has large potential for local economies and reduces oil dependency and carbon emissions Regenerative Development - decreased reliance on scarce resources whilst still developing Totnes
82
What might take place in transition towns such as Totnes?
- Localised food production - Using of unused land - Encouraging pedestrians and bikes - Developing alternative energy sources - Local currency to keep money in the local economy - Developing more sustainable ways to build and maintain homes
83
What is Incredible Edible Totnes?
- Community growing of nots/fruits/herbs/veg - Reduces supermarket stranglehold on country and localises food supply
84
How many transition initiatives are there?
Estimated to be around 2000-3000 communities involved in transition initiatives in over 50 countries
85
What culture has been affected by Westernisation?
Amazonia and Papua new Guinea's tropical rainforest tribes
86
Descibe the Amazonia and Papua New Guinea's tropical rainforest tribe:
- Among the world's last isolated groups of indigenous people - They have occupied the place where they live for thousands of years without interruption
87
Describe the cultural impact of Westernisation on the Amazonia and Papua New Guinea tribes:
- Due to the tropical climate, indigenous people traditionally wore little in the way of clothing - Today, many Amazonians and New Guineans are wearing modern, Westernised clothing - Many young Amazonians are moving from the rainforest to urban areas like Manaus- they leave behind their traditional thatched homes
88
Describe the environmental impact of westernisation:
- It's possible to take the view that indigenous people no longer value local ecosystems the way they used to, on account of cultural erosion. - Like the rest of the world, they want income, education and health improvements for their children. - These social goals becoming more important can drive indigenous people to hunt endangered species for food or to sell
89
What Southern American animals are endangered?
Papua New Guinea's tree kangaroo Peru's jaguars