Topic 3 - EQ2 - Globalisation

Question 1

What is the global shift?

Answer 1

The global shift is the changing geographical location of manufacturing to east, southeast and south Asia (starting with Japan, Hong Kong, South Korea and more recently China) and the outsourcing of services from developed to emerging economies such as India.

Question 2

What accelerated the most recent global shift?

Answer 2

• Individual Asian countries, such as India, began to allow overseas companies access to their markets, with a new open-door policy
• TNCs began to seek new areas for manufacturing (e.g. China) and for outsourcing services (e.g. call centres and software development in India)
• FDI began to flow into the emerging or re-emerging Asian countries

Question 3

What are 4 changes in FDI in recent history? Why?

Answer 3

1) Early 1990s FDI change in China - after the start of the Chinese open-door policy in 1978, FDI began to rise in China
2) Mid-late 1990s FDI stagnation - collapse of communism in the USSR and Eastern Europe leads to stagnated investment, which only picks up again after 2004, when many former communist countries join the EU (e.g. Poland)
3) Mid-2000s FDI change in India - After the start of the Indian open-door policy in 1991, India begins to attract significant FDI
4) 2008 collapse in FDI - Global financial crisis began leading to a major collapse in FDI across all regions

Question 4

What are the benefits of the global shift for China?

Answer 4

Infrastructure = China has developed the world’s longest highway network, rail system reached 100000km linking major cities with high speed rail

Poverty= since 1981 China has reduced its number of people in poverty by approximately 700 million, extreme poverty rate has plummeted and 300 million are now considered to be middle class

Urban incomes= sharply increased since 2000, variation between industries (much better than rural areas)

Education/training= free and compulsory 6-15, 94% literacy rate (compared to 20% in 1950), per capita spending on secondary education higher in Beijing than rural Guizho

Question 5

What are the costs of the global shift in China

Answer 5

Loss of farmland= industrialisation has led to an increasing loss of farmland since 2000

Informal housing= Urgent need for urban housing due to rapid industrialisation but decent housing is unaffordable leading to extra storeys, shanty towns and farmland becoming housing

Pollution and health= Beijing has frequent pollution alerts, 70% of rivers polluted, unsafe drinking water, air pollution causes asthma, lung cancer, heart problems

Land degradation= acidification of soils from industry, soil erosion, industrialisation has led to deforestation and overgrazing

Resource exploitation= despite China’s wealth in resources its supply still doesn’t match its demand, therefore land elsewhere is exploited for China’s industry (e.g. Amazon rainforest)

Loss of biodiversity= industrialisation has damaged natural environment and habitats

Question 6

Conclusion to assess question over costs and benefits of global shift…

Answer 6

The global shift and the wealth it has brought has definitely had some positive impacts on people, however, the benefits do not outweigh the numerous costs to health and well-being. The pollution crisis China is facing is a huge threat to the country and its population, the cost of the global shift truly has been huge.

Question 7

What two areas in the western world have been greatly affected by the global shift?

Answer 7

• Rust belt (Detroit) USA

- Leicester UK

Question 8

What industry did Detroit lose?

Answer 8

Car industry (went to Japan)

Question 9

What was the impact of the shift of industry out of Detroit?

Answer 9

Dereliction, deprivation, depopulation, unemployment and highest violent crime rate of major cities in America

Question 10

What industry did Leicester lose?

Answer 10

Textiles (S Asia and SE Asia produced much cheaper clothes)

Question 11

What were the effects on Leicester?

Answer 11

Derelict land, people with transferable skills leave, low income, lower life expectancy than UK average, poor inner city community of migrants that came to work in textiles and now can’t afford to move out

Question 12

What’s a megacity?

Answer 12

City with over 10 mil people (originals were NYC and Tokyo)

Question 13

What’s a world hub?

Answer 13

Cities with a major influence, based on: finance, law, political strength, innovation and ICT. These world cities represent hubs in the global economy. It is more about influence than population (E.g. Den Haag is a world hub for international governance, Cambridge for education and research)

Question 14

What happened in 2008 in terms of urbanisation?

Answer 14

Over half of the world’s population lived in settlements of over 10,000

Question 15

What is hyper-urbanisation?

Answer 15

Hyper-urbanisation is urbanisation happening at a rapid rate to the point at which it is unsustainable, rapid population growth often outstrips the ability of authorities to provide for basic needs (e.g. sanitation).

Question 16

Why is New Delhi experiencing hyper-urbanisation?

Answer 16

Rural urban migration and natural growth (high birth rates). There are two main types of rural migrants who have caused this hyper-urbanisation:

• The rural poor, who lack opportunities in their villages and who hope for a better future in the city
• The rural rich, who move to cities to invest in urban property and provide a better education and standard of living for their families

Question 17

What are pushes away from rural area?

Answer 17

• Lack of services
• Drought, flooding and exposure to natural disasters
• Rural poverty
• Low pay
• Lack of opportunities, services and investment

Question 18

What are pulls to urban areas (New Delhi)?

Answer 18

• Increased FDI has created many new jobs, in New Delhi its financial district has made it a global finance hub + CocaCola and Microsoft have their Indian operations there
• Better paid jobs (remittances)
• Better services
• Growth in outsourcing jobs in New Delhi (call centres)
• All round better opportunities

Question 19

What are social challenges to rapid growth?

Answer 19

• Half of world’s urban dwellers live in poverty
• Governments face challenge of providing basic services like housing and education
• Expensive accommodation = homeless people
• Sprawling squatter settlements due to uncontrollable urban growth

Question 20

What are environmental challenges of rapid growth?

Answer 20

• WHO identified New Delhi as worst for air quality
• Sewage, chemical dumping, fuel spillages
• India and Pakistan’s monsoon rains put stress on poorly built sewers
• Rapid increase in cars and car emissions

Question 21

How are social and environmental challenges linked?

Answer 21

Many environmental challenges come as a result of social challenges, e.g. squatter settlements result in the contamination of water supplies and chemical dumping

Question 22

Where is an example of strong migration interdependence we have studies?

Answer 22

UK and Eastern Europe. Eastern European migrants fill many job roles in the UK and the UK economy is highly dependent on this Eastern European labour, in return EE gains form remittances.

Question 23

What are elite migrants?

Answer 23

Elite migrants = skilled, wealthy migrants (experts in finance and investment)

Elite international migrants are highly skilled/socially influential individuals. Some elite migrants live as global citizens and have multiple homes in different countries. They encounter few obstacles to migration. Most governments welcome highly skilled/wealthy migrants (Americans/Russians in UK). A third of all foreign purchases of residential property in London between 2004 and 2014 went to Russians (most oligarchs). The Financial Times reported that foreign buyers were involved in 82% of property deals in Central London.

Question 24

What are low wage migrants?

Answer 24

Low wage migrants are migrants that work low-payed labour jobs, often to fulfil labour shortages. For the UAE, India and Pakistan are the main sources of low wage migrants, for Qatar it is Nepal too, however, Egypt, Sri Lanka and the Philippines also supply a large amount of low wage migrants. Jobs are standard low wage jobs, like jobs in kitchens, construction, etc.

Question 25

Benefits of migration on host countries of migration?

Answer 25

• Receive skilled foreign workers
• Fills skills shortages in key areas
• Gain lower skilled workers for jobs which are difficult to fill (the dirty, difficult and dangerous jobs)
• Can sustain the lifestyle of its middle classes, by gaining workers to provide childcare, cleaning and elderly care
• Can often balance an ageing population with young adults (the most common age for migrants), particularly if they have children - increasing the birth rate

Question 26

Benefits of migration on source countries of migration?

Answer 26

• Reduced unemployment as people emigrate to find jobs elsewhere
• Earns remittance payments sent home by overseas migrants e.g. South Asian migrants in the UAE

Question 27

Negatives of migration on source countries of migration?

Answer 27

• Suffers an imbalanced population, because many young people migrate, leaving a dependent population (children and the elderly) who may face managing farms and businesses on their own)
• Loses it’s most skilled and dynamic workers (brain drain) in key areas (e.g. healthcare) as well as those with entrepreneurial and business skills, and similarly those with innovative ideas
• Horrific working conditions for citizens abroad (see notes on vide)

Question 28

Negatives of migration on host countries of migration?

Answer 28

Pressure on housing, healthcare and school places. Some say causes cultural erosion.

Question 29

What is culture?

Answer 29

Culture is a ‘way of life’, which is influenced by tradition, accepted norms, religion and beliefs, language, art and symbols, clothing and values

Question 30

How has Cuba changed in recent years due to globalisation?

Answer 30

Since 2012 Cubans have been able to buy and sell houses and cars, take out loans and set up private businesses (but guarantees of state employment have gone). New spirit of openness in Cuba has led to improved relations with the US, which began to isolate Cuba from 1959 onwards, US embassy opened in Havana in Aug 2015 followed by an official visit from Obama in March 2016. However, political relaxation has been accompanied by social and economic changes leading to growing inequality. The spread of satellite TV and the internet is broadening what Cubans are exposed to and have challenged Cuba’s traditions and values diluting Cuban culture. In some locations this cultural erosion due to globalisation has resulted in changes to the environment, e.g. beach resorts have changed Cuba’s coastline, and its coral reefs are now threatened by increased tourist activity, forced isolation had previously protected Cuba from this. Cultural diffusion has also taken place where Western attitudes have moved to Cuba due to closer and faster connections to places around the world. Food, fashion, music, architecture are all changing and it takes a big effort to maintain a strong Cuban identity.

Question 31

What is western culture and western cultural diffusion?

Answer 31

Cultural diffusion is where western culture, including increased cross-border movement of goods, services, capital, technology, people and ideas, cultures will influence other and in turn be influenced themselves. Examples of westernised culture include English as a global language, the dominance of Western music acts like Drake, Ed Sheeran and Katy Perry. Big western brands have become globally recognisable, e.g. Coca Cola, McDonalds, Disney and Nike.

Question 32

How is British culture influenced by other cultures?

Answer 32

Sport is a big part of British Culture and Britain’s favourite sports were all made in Britain, however, music has been influenced greatly by America (e.g. British Drill music created in Chicago USA), lots of Britain’s TV has come from other parts of the world (e.g. Squid Game from South Korea brought over via Netflix).

Question 33

How has media accelerated globalisation?

Answer 33

The ownership of the global broadcasting, film and music industries by TNCs and international business has enabled the sharing of culture very easily

Question 34

How has cultural change affected the tribal lifestyles of those in Papua New Guinea?

Answer 34

Cultural diffusion has led to the loss of traditional culture and cultural practices. E.g. modern New Guinean tribes are wearing modern, westernised clothing, especially the T-shirt. Inevitably, social goals are becoming more important and this can drive indigenous people to hunt endangered species for food or to sell.

Question 35

How has cultural change affected people and the environment?

Answer 35

• Global media
• Loss of tribal lifestyles (Papua New Guinea)
• Nutrition transition in Asia
• Paralympic movement = acceptance of disabled people
• Spread of western food (TNCs like McDonalds)
• Indonesian forests burnt for palm oil
• Replacement of regional language and sometimes national language in business (often replaced by English)

Question 36

How has cultural change affected the diet of Asia?

Answer 36

Meat has become more important in the Asian diet in the last 50 years

Question 37

How has cultural change (Paralympic movement) affected disabled people?

Answer 37

Global Paralympic movement has increased worldwide acceptance of people with disabilities

Question 38

How has cultural change caused damage to Indonesian forests?

Answer 38

Indonesian forests have been burnt for palm oil as lots of processed products contain palm oil, increased demand for processed products with globalisation, more demand = more burning.

Question 39

Explain the causes of cultural diffusion…

Answer 39

• Increased migration
• Global media
• Increased tourism
• Growth of TNCs

Question 40

How has France protected itself from the effects of global media?

Answer 40

In a world heavily influenced by the internet and the English language. The French government is extremely supportive of French film and music and subsidises works filmed in French. Under local law, 40% of tv output must consist of French productions. French language music is heavily promoted on radio stations.

Question 41

How has China protected itself from the effects of global media?

Answer 41

The “great firewall of China” prevents internet users from using BBC or Facebook services. China’s gov’t sets a strict quota of 34 foreign films per year. Western culture is still gaining a foothold in China though.

Question 42

Define cultural erosion

Answer 42

Cultural erosion is the loss of language, tradition and social relations, it can also change the built and natural environments, in this case due to the ease of communications and the cultural supermarket effect due to globalisation.

Question 43

Give an example of cultural erosion…

Answer 43

Papa New Guinea. Papua New Guinea is estimated to be home to more than 7000 cultural groups, often divided linguistically too, and so is very culturally diverse with a large proportion of people living in small villages or hamlets. Papua New Guinea came under European colonial rule in 1884, them Australian rule from 1905 to its independence in 1975. Under colonial rule, Papua New Guineans experienced political, social and economic integration. Missionaries and administrators suppressed tribal warfare to allow freedom of movement, and integrated villagers into the colonial economy as plantation workers and mission helpers. Class differences emerged and increasing intermarriage between cultural groups meant that many couples failed in passing on their native language to their children, alienating their village kin, and in places direct cultural conflict has taken place.

Question 44

Cultural erosion’s impact on language and society in Papua New Guinea…

Answer 44

Papua New Guinea is estimated to be home to more than 7000 cultural groups, often divided linguistically too, and so is very culturally diverse with a large proportion of people living in small villages or hamlets. Papua New Guinea came under European colonial rule in 1884, them Australian rule from 1905 to its independence in 1975. Under colonial rule, Papua New Guineans experienced political, social and economic integration. Missionaries and administrators suppressed tribal warfare to allow freedom of movement, and integrated villagers into the colonial economy as plantation workers and mission helpers. Class differences emerged and increasing intermarriage between cultural groups meant that many couples failed in passing on their native language to their children, alienating their village kin, and in places direct cultural conflict has taken place.

Question 45

What is cultural erosion increasing?

Answer 45

The improvement in ease of communications and the cultural supermarket effect due to globalisation. Western culture is taking over in particular, for example, English is becoming more useful as a second language than regional languages, e.g. Frisian.

Question 46

How do built environments change and how are they protected?

Answer 46

Stonehenge, modern like London’s docklands, to mixed like the Louvre and its pyramid in Paris. As a result, most are mixed today. Built environments constantly change as buildings are demolished and replaced. Most developed countries protect their cultural landscapes. For example, the UK has 400,000 listed buildings, 20,000 scheduled ancient monuments and over 40 registered historic battlefields, however emerging economies may have a limited capacity to directly protect their cultural landscapes, but UNESCO aims to help preserve and promote the common heritage of humanity protecting nearly 1000 sites worldwide. However, the built environments of the least developed countries remain highly vulnerable to cultural erosion.

Question 47

What is cultural imperialism?

Answer 47

Cultural imperialism is the promotion, or sometimes imposition, of a politically powerful culture over a less politically powerful nation and its culture. AKA cultural colonialism.

Question 48

Of the Forbes top 10 brands what patterns are there?

Answer 48

8 of the 10 top brands are from the USA, 1 from South Korea and 1 from Japan. Clear pattern of American dominance in worldwide capitalism.

Question 49

What is the pessimistic view of hyper globalisation?

Answer 49

Think that languages around the world are disappearing as use of English continues to spread and fear a global trend in the devaluing of ecosystems.

Question 50

What is the optimistic view of hyper globalisation?

Answer 50

Think that globalisation and cultural erosion can bring positive change on a worldwide scale.

Question 51

How did Iran resist global culture in the early 2000s?

Answer 51

In the early 2000s, the Islamic gov’t led a backlash against Mattel’s barbie dolls for their un-islamic image. Barbies were confiscated from toy stores. Gov’t liberalised its position since then because of the need for international cooperation against radicalism and because Iranian youths were increasingly accessing banned social media such as Twitter and Facebook (both home to a plethora of un-Islamic images). This was a matter of cultural globalisation.

Question 52

How did France resist global cultures in the early 90s?

Answer 52

Until the early 2000s, France paved a way in rejecting globalisation. To protect French culture and language, the gob’t excluded culture from its trade agreements. It limited how much foreign music, film and TV could be broadcast, and 40% of broadcasts had to be French with no more than 55% American film imports. However, internet downloading of music and films has placed this in dispute, and so since 2007, the French Gov’t has been more accepting of globalisation because of successful French TNCs (e.g. EDF Energy). This was a matter of cultural globalisation.

Question 53

What is the WSF and WEF?

Answer 53

World Social Forum

World Economic Forum

Question 54

Why do the WSF and WEF have different future actions towards globalisation?

Answer 54

Word Social Forum and World Economic Forum have different future actions towards globalisation because of who is represented in the forum. World Social Forum is a forum for social movements opposed to Neo-liberalism and a world dominated by capital or by any form of imperialism to come together to pursue their thinking. Forum focuses on supporting the poorer people of the planet who have lost out in the growing inequality driven by a power grab from wealthy elites who have made an economic system in their favour. World Economic Forum is for business leaders to make deals and discuss global issues (where big deals on trade and FDI are made. They see globalisation as the means to drive economic growth and cooperation for the benefit of all countries and companies. The priorities of the two forums directly oppose, therefore, explaining why their future actions are different.