(Services & Settlements) Key Issue 3 Flashcards
What is a Global City?
A Major center for the provisions of services in the global economy
what are the 3 Business Services that Concentrate in large numbers in global cities?
Finacial Services
Headquarters of Large Corperations
Professional Services (Lawyer + accountant)
Financial Institutions (reason for being clustered in global cities)
So since global cities are a center for finance they attract headquarters of many Banks and ither financial places
Why are Global cities and the Global economy closely related to each other?
Because they are both the center of information and Capital (Money)
Headquarters of Large Corperations (reason for being clustered in global cities)
Global cities are the center of information and you need to obtain information in a timely way in order to buy and sell shares
Shares of these coperations are bought and sold in stock exchanges located in GLOBAL CITIES!!
Professinal Serivces (reason for being clustered in global cities)
To Provide advice to major corporations and financial institions
WHat type of Professional Services help Coporations?
Advertising Agencies
Marketing Firms
Why is there a bunch of Consumer Services Clustered in Global Cities
1.** Because of its large Size** (cosumer serivces with extensive market areas meaning its widley available and distiributed)
2.Lots of wealthy people (More luxurious items are sold there
3.** Large threshholds and Ranges** (required for leisure activities)
Ex. ( Concerts Operas Restuarants and sporting events)
Why is there a bunch of Public Services Clustered in Global Cities
- Most Global cities are national capitals and they contain mansions for the head of the state and any other important stuructures for offices for goverment agencies
- Offices for groups having business with the goverment (Ex .Professional Organizations +Labor Unions
Why is New York Still a Global City even though its not a national Capital?
Its Home to the World’s Major International Organization the United Nation (UN) So it attracts diplomats and employees with business at the UN
Beligum is global city because it is the most important center for European Union Activites
What are the 3 levels Global Cities are divided into?
Alpha
Beta
Gamma
What are the Factors used to idenifiy and Rank global Citites
Economic Factors
Political Factors
Infrastructure Factors
Cultual Factors
Communication
T ransportation
Descibe Economic Factors
Number of Serivces that influence the global economy
Describe Political Factors
- Hosting Headquarters for International Events
- Capital of Country play a Leading Role in international events
Describe Infrastructure Factors
- Major International buildings (Ex. Hospitals Aiports)
- Advanced Communication Systems
Describe Cultural Factors
Presenece of Influencial Media Outlets, Sports Facilities and Cultual institutions
Describe Communications Factors
Communicate Immedietly with coworkers, clients, and customers around the world (because pf phones and computers)
Describe Transportation Factors
Vehicles, Railroads, and Airplanes made it possible to deliver people, inputs, and products quickly.
Modern transportation and Communication enables industry to decentralize (which means to distribute power or athoutirty away from cental authority
What 2 distintive types of Business Services do developing Countries specialize in?
Offshoring + Back-Office Functions
Why Does Offshoring + Back-Office Functions locate in developing Countries
- Low wage workers
- Supportive Laws
- Weak Regulations
What type of Countries exploit niches in the world of a lobal capital by offering Offshoring and Back- Ofiice Functions?
Small Countries Usually islands and MicroStates
What are the 2 important functions in the global circulation of capital that Offshoring Centers Provide?
- Low or Non-Existent Taxes on income, profits, and capital gain
- Privacy- Bank secrecy laws can help people and businesses protect some of their assests from creditors
(because of these functions the extent of whats legal and whats illegal is unknown)
What is 1 Organization that maintain lists of offshore financial services centers?
The International Monetary Fund
What are the names of the offshore financial service centers?
- Dependencies of the UK
- Dependencies of countries othen than the UK
- Independent Island Countries
- Independent Countries that are not islands
Examples of Dependencies of the UK (offshore centers)
- Ilse of Man
- Jersey in the english channel
