Topic 3: Globalisation

Question 1

What is the definition of globalisation?

Answer 1

Refers to the increasing integration of economies around the world, particularly through the movement of goods, services , diffusion of technology and capital across borders. Also shown through culture, lifestyle and global processes such as climate change.

Question 2

What is deepening of connections?

Answer 2

The sense of being connected to other people and places now penetrating into almost every aspect of life. The number and types of connections increase and volume of flows grow.

Question 2

What is widening of connections?

Answer 2

Lengthening the connections between people and places with products sourced from further away than ever before.

Question 2

What are the UK’s top 5 exports?

Answer 2

Machinery including computers: US$68 billion (15.3% of total exports)
Vehicles: $53.7 billion (12.1%)
Mineral fuels including oil: $35.6 billion (8%)
Gems, precious metals: $32.8 billion (7.4%)
Pharmaceuticals: $32.8 billion (7.4%)

Question 2

What is intedependence?

Answer 2

What happens in one place increasingly has impacts on another.

Question 2

What are global flows?

Answer 2

• Capital
• Commodities
• Infomation
• Tourists
• Migrants

Question 2

Who are the UK’s top 3 trading partners?

Answer 2

1. United states- $59.9billion(13% of total UK exports)
2. Switzerland-$39.5billion(8.6%)
3. Germany- $38.8billion(8.4%)

Question 3

Movement of Capital.

Answer 3

Captial flows are the movement of money for the purpose of investment, trade or business production.

Question 4

Movment of Commodities.

Answer 4

Valuable raw materials such as fossil fuels, food and minerals are traded between nations.

Question 5

Movment of infomation.

Answer 5

The internet allows products to be bought and sold between countries at the click of a button. Social media has grown in size and influence. Also phone calls, text messages and the media.

Question 6

Movement of tourists.

Answer 6

Budget airlines allow people to reach more places at a much cheaper price.

Question 7

Movement of migrants.

Answer 7

Huge rise in migration as a result of globalisation both external and internal, legal and illegal. Permanent movement of people still faces great obstacles due to border controls and immigration laws. Governments attempt to resist migrant flows unless a special need.

Question 8

What is the meaning of interconnected?

Answer 8

trade and migration flows have increased due to technology, market forces and political decisions

Question 9

What is the idea of a shrinking world?

Answer 9

Due to advancements in communications and transport have reduced the importance of distance which has aided globalisation.

Question 10

How have railways contributed to a shrinking world?

Answer 10

Railways link major cities together even in different countries. 9000km Trans-Siberian railway connects Moscow with China and Japan.

Question 11

How have stream ships contributed to a shrinking world?

Answer 11

Increased the speed travelled and capacity of goods that could be transported across the globe.

Question 12

How has jet aircraft contributed to a shrinking world?

Answer 12

Boeing 747 jumbo jet in the 1960’s reduced the cost of air travel allwoing middle class people to acess a wide variety of interational destinations in a fast time.

Question 13

How has containerisation contributed to a shrinking world?

Answer 13

Transport costs are lower as can transport goods in bulk. reduces labour costs, less time to load and unload goods as all done mechanically so shipping costs are less, very efficient so low transport cost.
South Korean HMM algeciras is 400m long and carries 23,964 containters.

Question 14

What is the space time compression?

Answer 14

The increasing sense of connectivity that seems to be bringing people closer together even though their distances are the same.

Question 15

How has mobile phones contributed to globalisation?

Answer 15

• Smart phones, tablets and watches extended infomation flows beyond landline networks.
• Reduced mobile phone costs expanded usage from an expensive business tool to an ubiquitous consumer products
• Used even in countries with a lack of communication infrastructure. By 2015 70% of people in Africa had a mobile phone. Now more phones can people on the planet

Question 16

How has internet contributed to globalisation?

Answer 16

Internet access became common from the mid 1990s, followed by fast broadband.
Close to 50% of the world’s population uses internet.
Broadband internet in the 1980s and 90s meant that large amounts of data could be moved quickly through cyberspace.

Question 17

How has social networks contributed to globalisation?

Answer 17

Social networks and Skype allow people to communicate instantly and without charge (with an internet connection). In 2014, 5 billion Facebook ‘likes’ were registered each day.
The development of social media (Facebook 2006, Instagram 2010, WhatsApp 2010) enabled much cheaper communication between friends and family than landline telephone.
This has led to space-time compression, where the cost (time or money) of communicating over distance has fallen rapidly, so people can communicate regardless of distance.
Since 2003 Skype has allowed cheap, direct, face-to-face communication, allowing migrants to maintain stronger bonds with their distant family.
​

Question 18

How has economic banking contributed to globalisation?

Answer 18

The rise of mobile phones means they can be used for economic banking, revolutionising life for individuals and businesses. In Kenya:
The equivalent of one third of the country’s GDP is sent through the M-Pesa system annually. This is a mobile phone service that allows credit to be directly transferred between phone users.
People in towns and cities use mobiles to make payments for utility bills and school fees.
In rural areas, fishermen and farmers use mobiles to check market prices before selling produce.
Women in rural areas can secure micro-loans, using their M-Pesa bills as proof they have a good credit record.
Electronic banking extends capital flows beyond the physical banking network
In-store barcode recording automatically orders a replacement from a distant supplier, reducing warehouse and wasted transport costs. ​.
E-banking allows migrants to transmit remittances of money back to their home countries.
It has been a huge benefit to businesses, since they can:
Keep in touch with all parts of their production, supply and sales network, locally and globally.
Transfer money and investments instantly.
Instantly analyse data on sales, employees and orders from anywhere within their business.

Question 19

How has fibre optic cables contributed to globalisation?

Answer 19

Fibre-optic cables
Land-based and sub-sea fibre optic cables in the 2000s increased the speed and volume of data transmission through cyberspace, and allow instant, global communications.
More than 1 million kilometres of flexible undersea cables carry the world’s data.
Global positioning systems (GPS) use continuously broadcasting satellites as beacons to triangulate information.
Delivery vehicles can continuously locate and transmit their position whilst satellite navigation (SATNAV) systems reduce costs from vehicles getting lost.
Satellite-based television has meant that popular channels are available worldwide, in many languages.

Electronic banking extends capital flows beyond the physical banking network

Question 20

What are other ways ICT can contribute to globalisation?

Answer 20

Cultural Globalisation
Cassette recorders, MP3 players and iPhones enable a rapid global transfer of music and video.
e.g. South Korean K-pop and Psy’s 1.8 billion online views of ‘Gangnam Style’ in 2012
TNCs bring foreign styles and products, e.g. McDonalds, Starbucks, possibly creating a global ‘McCulture’?

Political Globalisation
Social networks can be used to spread political messages, e.g. an environmental campaign or enhanced impact of a terrorist atrocity. ​

Economic Effects of Globalisation:
Globalisation allows economic specialisation where the country focusses on production of certain goods/services it can produce most efficiently, lowering production costs.
The focus of specialisation determined by the country’s mix of natural resources (land). people (labour) and technology (capital)
Specialisation and trade allows for an increase in global output and increases choice, raising quality of life.
Globalisation reduces self-sufficiency and increases interdependence - mutual reliance on inputs from other countries.
Increased complexity of global flows may reduce resilience as it increases vulnerability to shocks anywhere in the world, e.g. a natural disaster, economic recession, war, or political conflict.