Introduction and Globalisation Flashcards
What is global governance?
coordination/management/rules on a global level and dealing with issues that cross borders
Give some examples of issues that global governance should deal with
Species protection
Trafficking - (drugs, humans, animals)
Resource distribution
Information - (cables)
Migration
Trade
Oceanic pollution - (oil, sea levels, chemical, plastic, warming)
Climate change
Conflict
Give some examples of global organisations
UN - WHO
EU
NATO
WEF
G7, 8, 20
Commonwealth
What are some of the problems with global governance?
- difficult to get overall agreement
- enforcement is difficult
- rules/laws aren’t always necessarily carried effectively
What is globalisation?
increased geographical movement of people, commodities, money, information and pollutants across national borders
- involves widening and deepening global connections, interdependence and flows
- basically the increased connectivity of the world
What has facilitated globalisation?
- IMPROVED TECHNOLOGY
- internet
- undersea cables - IMPROVED TRANSPORT
- flight = safe, access more areas, cheaper
- container ships
Which sectors can globalisation impact?
Socially
Economically
Politically
Environmentally
What is the difference between a TNC and an MNC?
MNC = Multi-National Company/Corporation
e.g. McDonalds
- investment in different countries, but does not have coordinated product offerings in each country
- they focus on adapting their products/services to each individual local market
TNC = Trans-National Company/Corporation
e.g. Shell Oil
- investment in foreign offerings, have a central corporate facility
- but give decision-making, R&D and marketing powers to each individual foreign market
What is Americanisation?
- the influence of American culture altering another place’s culture
- HOMOGENISED: loss of local culture
Give some example flows of gobalisation
FLOWS OF:
- labour
- people
- capital
- services
- products
What is a flow of labour?
Highly skilled/unskilled workers migrate from one country to another bringing aspects of their culture with them
What is a flow of capital?
Money is invested by countries overseas - FDI
What is a flow of information?
Information such as news spreads easily and quickly by social media, internet and email
What is a flow of services?
Customer services are often provided in LEDCs to serve the needs of customers in HEDCs
What is a flow of products?
Manufactured goods are often produced in LEDCs due to outsourcing and then exported for sale in HEDCs
What is the KOF index?
an annual index of globalisation measuring the social, economic and political aspects of globalisation
- Uses a wide range of data such as participation in UN Peace-keeping missions to TV ownership
- score out of 100, higher = more globalised
- done by the Swiss Institute for Business Cycle Research
What are the economic measurements of the KOF index?
- economic flows
- restrictions on trade and capital
What are the social measurements of the KOF index?
- personal contacts
- tourism
- internet users
- cable/satellite TV subscribers
- radios
- number of international newspapers sold
What are the political measurements of the KOF index?
- number of embassies and high commissions
- membership of international organisations
- participation in UN peacekeeping missions
What is global marketing?
Give an example
- the promotion and sale of goods all over the world using one global marketing strategy
e.g. Coca-Cola sells soft drinks in over 200 countries with brand identity recognised globally
Having one global strategy reduces costs and develops global awareness
- This enables companies to boost sales and achieve economies of scale due to global awareness of, and trust in, the brand
- When customers around the world recognise a particular brand or logo, this contributes to the acceleration of globalisation
What is a global supply chain?
where countries locate different parts of the production process in differenet countries to take advantage of lower labour costs, local expertise and availability of resources
What is economic connection in globalisation?
Economic connections refer to the exchange of goods and services across borders and the creation of global supply chains
What is social connection in globalisation?
Social connections refer to the exchange of cultures and ideas e.g. people sharing their thoughts and experiences via social media, the increase of multicultural societies
What is political connection in globalisation?
Political connections refer to countries working together in international organisations such as the United Nations or the European Union
