Scale of Globalisation

Question 1

Uneven Globalisation:

Answer 1

Globalisation has affected places differently due to a variety of different reasons such as:
- Variations in Poverty
- Physical factors such as resource availability and accessibility
- Government policies and attitudes for and against globalisation

Question 2

What are the two ways uneven Globalisation can be measured?

Answer 2

• KOF index
• AT Kearney index

Question 3

KOF Index:

Answer 3

• Produces an annual index of Globalisation
• Measures the social, economic and political aspects of Globalisation
• Countries scored out of 100 (higher the number the more Globalised the country

Question 4

What are the weaknesses of the KOF index?

Answer 4

• The information is only available for 122 countries
• Some of the indicators used are outdated
• Cultural bias in some of the indicators e.g. the number of McDonalds
• It does not take into account environmental factors

Question 5

What are the strengths of the KOF index?

Answer 5

+ Globalisation is measured across 3 indexes, giving a wide view of global connections
+ Produces quantitative data, meaning it can be analysed easily
+ Offers a global scale, it can be therefore compared to different countries

Question 6

AT Kearney Index:

Answer 6

• Aims to look at how countries cope with population growth and a shrinking world
• Ranks cities based on their ‘business activity’ ‘cultural experience’ and ‘political engagement’
• Data for this includes the number of TNC headquarters, museums and foreign embassies
• Includes countries which account for 96% of the worlds GDP and 84% of the population

Question 7

What are the weaknesses of the AT Kearney Index?

Answer 7

• Only includes 156 countries
• Limited dimensions - only focuses on economic globalisation, political engagement and technological connectivity (doesn’t include social/cultural dimensions)
• Does not incorporate environment or sustainability measures
• Relies on data from variety of resources e.g. World Bank which may not provide consistent data or accurate data

Question 8

What are the strengths of the AT Kearney Index?

Answer 8

+ Is measured across 3 broad categories
+ Combines quantitative and qualitative data providing a more detailed understanding
+ The information is collected from reliable resources e.g. The World Bank
+ Updated annually, allowing for real time monitoring

Question 9

TNCs and Glocalisation:

Answer 9

• TNCs are vital to globalisation as they connect paces across the world
• TNCs try to build their global businesses through
  1. Offshoring
  2. Outsourcing
  3. Global production methods

Question 10

Whats Offshoring?

Answer 10

Moving parts of a companies production process, such as factories or offices to other countries to reduce costs

Question 11

Whats Outsourcing?

Answer 11

Contracting with a different company to produce goods and services they need

Question 12

What are Global production networks?

Answer 12

Setting up chains of connected suppliers of parts and materials that contribute to the manufacturing or assembly of consumer goods

Question 13

Switched off places:

Answer 13

There are some places in the world, often LDCs that remain switched off from global networks
Flows of trade and investment does not occur in these countries