Impact of Covid on Globalisation and dimensions and factors of globalisation

Question 1

Give an example of a major impact of globalisation on a major supply chain?

Answer 1

Bangladesh lost estimated $3.2 billion from cancelled exports in 6 months

Question 2

What other factors challenged globalisation before Covid?

Answer 2

2008 financial crisis - start of ‘slowbalisation’
Nationalist policies - Trump’s protectionism - ‘Make America Great Again’, leaving EU

Question 3

What is the future of Globalisation?

Answer 3

IMF forecasts that Global GDP could fall by 4.9%
Post globalised world - more fractious and regionalised.
Growth in the online shopping model

Question 4

Who created the Core-periphery model?

Answer 4

Frank and Wallerstein

Question 5

Define the core periphery model?

Answer 5

A model based on Frank’s dependency theory and Wallerstein’s World systems theory. Show general pattern in major flows of capital, labour, products, services and information.

Question 6

Why is the core periphery model limited?

Answer 6

Arguably oversimplifies multifaceted economic relationships between countries or regions.

Question 7

What are the elements / factors of globalisation?

Answer 7

economic, society, technological, environmental and political.

Question 8

What are the 5 flows of globalisation?

Answer 8

capital, labour, products, services and information

Question 9

How have flows of capital changed?

Answer 9

Deregulation of world financial markets (the removal of laws and regulations in the market to increase competition)

Question 10

What is ODA?

Answer 10

Aid / official development assistance
financial support for poor nations

Question 11

What’s the difference between repatriation of profits and remittances?

Answer 11

Repatriation of profits - TNCs investing in overseas production take profits back to their own country. ‘leakage’.
Remittances - money sent back to home country by migrants.

Question 12

How have flows of products been changed?

Answer 12

CONTAINERISATION!!
Demand from wealthy populations
low wage economies and mass production.

Question 13

What does footloose mean in business?

Answer 13

Can locate anywhere

Question 14

What are the new trends in services?

Answer 14

Outsourcing from developed to developing countries.

Question 15

What are conglomerates in business?

Answer 15

Combination of two or more businesses that fall under one corporate group.

Question 16

How do TNCs relate to global marketing?

Answer 16

Glocalisation
Economy of scale - cheaper to have one marketing campaign for whole world.

Question 17

What is the international division of labour?

Answer 17

Skilled - highly paid research and managerial jobs - developed countries.

Unskilled- little pay - industrialising countries.

Question 18

What are NICs?

Answer 18

Newly Industrialised countries.

Question 19

What was the effect of the global shift?

Answer 19

Emerging economies could become strong and competitive.

Question 20

Why did they outsource?

Answer 20

Lower labour costs.
Tax breaks.
Transfer of tech, improved transport communications have facilitated this.

Question 21

Give 3 future predictions for distribution and consumption.

Answer 21

Distribution and consumption will shift to the east.

As Asian exports grow, most of Asia’s exports will shift to go to other countries in Asia.

Question 22

Who are the Asian tigers?

Answer 22

The first NEWLY INDUSTRIALISED ECONOMIES (Hong-Kong, Singapore, South Korea, Malaysia, Taiwan, China)