Globalisation EQ2 Flashcards
What is global shift
Manufacturing and industrial activity has shifted from different parts of the world
1960s- Europe and USA
present caged in East ( china and India) due to large unskilled workforce and cheaper production costs for TNCs
Benefits of outsourcing
- workers receive middle class wages so disposable income increases
- businesses see more customers due to positive multiplier effect
- increased profits for TNC ceos
Cons of outsourcing
- Workers exploited with long shifts and lower pay than MEDC workers
- employees demotivated by repetitive nature of work
- inequality increasing as poorest still can’t access outsourced jobs
Why are sweatshops moving from china
Previously accelerated chinas globalised status
Cheaper labour in Bangladesh and Vietnam
Has Bad reputation
New technological outsourcing moved to china
Benefits of outsourcing manufacturing to china
- new production methods brought by TNCs adopted by local companies
- locals less dependent on subsidence farming and now earn a wage
Cons of outsourcing manufacturing to china
- Many employees exploited with dangerous working conditions, chemical contact and long hours
- high environmental degradation
- rivers and waterways polluted with arsenic , lead and dangerous chemicals
- air polluted with high levels of particulate matter
- rise in pollution related welted fatalities
What was deindustrialisation
1970s
Many factors workers lost their jobs as TNs relocated and outsourced manufacturing to the east
Example cities which experienced impacts of deindustrialization
Detroit
Glasgow
What were the impacts of deindustrialisation
Dereliction and contamination - buildings previously occupied by factories abandoned, chemical and industrial waste infiltrated soil and waterways
Increased unemployment - depopulation and deprivation of inner city areas
Increased crime rate
What are some urban pull factors in rural-urban migration?
- employment opportunities- large businesses and TNCs provide high range of jobs with higher wages
- services - better access to services as distance needed to travel is reduced, likely to be more specialised services available (healthcare, education, embassies)
- infrastructure - transport more reliable and faster, increased links, better internet and broadband connections, street lights make it safer to go out at night
Rural push factors
- poverty - only decreased farming earnings and seasonal tourist work available
- conflict (Sudan, darfur) - scarcity of resources, lack of safety
- land reform - TNCs claim land owned by locals, common in indigenous communities with less voice against TNCs
- agricultural modernisation- advancement of agricultural machinery so less people required on farm causing unemployment
- climate and natural disasters - crop failure, fatalities, destroyed houses, infrastructure
Challenges faced by growing cities
- Strain on services
- overcrowding and development of slums
- rising crime rates
- poor sanitation due to open sewers
- lack of green space
- congestion leads to pollution