The Effects of Globalisation Flashcards
On finance
Trillions of $ are exchanged electronically every day in payments, loans, shares and debt.
Uses cheaper labour in developing countries to supply consumers in MEDC’s.
A worldwide reduction in consumer prices
‘race to the bottom price’.
Some Trans National Companies (shell oil) have higher turnover than some countries GDP’s.
Global trade barriers being removed. (tariffs, quotas etc.)
On politics
A loss of national identity. Companies gain power over national governments. Governments may loose control over their countries.
An expansion of international political organisations. (EU)
On people
Cheaper mobile and internet rates mean communication between people and information is free flowing.
Migrant labour is flowing to areas of high wages and better standards of work.
People with IT, management and finance skills are moving around world to where jobs exist.
Global tourism has increased, transporting people to far flung locations.
On culture
Companies (news international – Sky, Sun, times owners) influence how people think on issues.
Emerging global village where people share common interests. (film)
‘Americanisation’ occurring with internet and media spreading western values and culture.
Globalisation- the effects on different people- Advantages.
Products are available to us from all over the world
Easier communication
Cheaper products
Provides jobs and improves economy
Globalisation- the effects on different people- Disadvantages.
Pollution is high
People in Britain lose jobs (mainly manufacturing) due to cheap labour in LEDCs
Ruined natural unspoilt islands- cultures eroded
Globalisation in Uckfield
Migrant workers- cleaners in the school
Transnational companies- TESCO, TR Fastenings, Costa Coffee, McDonalds
The clothes we wear
Key effects of globalisation on a global scale
a global village of interconnectivity
a growth in the global economy- more business opportunities.
lead to a more complex world- more difficult for governments to solve problems
The players that have accelerated globalisation
Governments of the rich countries- lending money to poorer countries, usually colonies, and creating debt you link countries together.
International organisations- bring countries together creating links, e.g The UN
The WTO (World Trade Organisation)- promoting free trade around the world.
Trade blocs- the EU, NAFTA
TNCs (Transnational Corporations)
