Y1) TERM 4- GLOBAL SYSTEMS AND GLOBAL GOVERNANCE (PART 2) (E) Flashcards
what is Glocalisation
global and local fusing into one
TNC’s change products to fit the local demographic
explain the multiplier effect if a TNC opens a factory
the factory needs workers, these workers need food so small food shops open to feed the workers. the workers then need homes so these are built. this helps build the country’s economy.
why do TNC’s set up factories around the world (clue- profit)
They do this to get around import and export taxes and then their products mainly don’t need to be transported so they save money therefore increasing profits.
In Bhopal what was the incident that occurred? (BHOPAL)
What was the chemical?
How many effected?
A pesticide factory had a leakage of a deadly chemical called Methyl Isocyanate. This impacted the 520,000 people surrounding the factory.
What company was responsible (BHOPAL)
Union Carbide
What was the impact of the Bhopal tragedy (BHOPAL)
It caused sickness, burning, suffocation, local hospitals became overwhelmed and there was no knowledge of it.
how many initial deaths
deaths in one week
beyond one week
overall health impact (BHOPAL)
3000
8000
15-20k
1/2 million
What caused the gas to leak (BHOPAL)
water got into the storage tank, it reacted causing it to be released
All 3 safety systems not working
Where are Walmart stores located (WALMART)
how many names does Walmart operate as
Globally scattered
America, England, South Africa, India, China, Nigeria, Japan
55 different names, examples:Asda-UK Seiyu-Japan
How much revenue did Walmart make in 2009 (WALMART)
$505 billion
Walmart is the biggest employer in how many states (WALMART)
how many employees
25 states
2.1 million employees (7x population of Iceland)
Host country benefits from TNC growth
Jobs - pay more, less strenuous as ones in local community
Quality of life improves, standard of living increase
Companies use local suppliers- able to expand more businesses by selling/ expanding goods
Jobs - more taxes help local communities
Company’s invest in environmentally friendly/ sustainable development is the host country
Improved relations between countries
Host country costs from TNC growth
Jobs - sweatshops, poor working conditions bad pay
Dangerous working conditions = death
fast fashion
‘race to the bottom’
Environmental concerns- corners are often cut to secure FDI
Host countries have no power in decision making
Home countries benefits from TNC growth
Customers - wide range of fashion
Profits maximised
cheap products - due to low production cost
asses new markets and resources
Green brands are becoming more popular, improving the environment
improved relations between countries
Home country costs from TNC growth
Shop workers often work long hours with poor pay ( minimum wage )
Deindustrialisation of home countries as factories are being used abroad
cloning - branded, mass produced products , outcompeting local businesses
less employment in home country as jobs are sent abroad
Shipping - huge carbon footprint
Consumerism - waste products form are in home countries
What is a commodity (TRADE)
a useful/ value item ( often a crop or raw material ) that can be sold- oil, coffee, copper, etc
what is Fairtrade (TRADE)
is an arrangement designed to help producers in growing countries achieve sustainable and equitable trade relationships. Members of the Fairtrade movement add the payment of higher prices to exporters, as well as improved social and environmental standards.
What is Fairtrade premium (TRADE)
Is an extra sum of money, paid on top of the selling price, that farmers or workers invest in projects of their choice such as improving their farming, business or health and education in their community.
What is ‘RACE TO THE BOTTOM’ (TRADE)
Almost a competition, where a company, state, or nation attempts to undercut the competitions prices by sacrificing quality standards or worker safety ( often defying regulation ) or reducing labour costs.
what is the bean belt (COFFEE)
A strip around the world ( between the tropics ) where all the world coffee is grown.
Globally how many cups of coffee do we drink per day (COFFEE)
1.5 billion
coffee is the (?) most widely traded commodity after oil (COFFEE)
(?) = 2nd
who are the main producers of coffee (3) (COFFEE)
Africa, South America, Asia (LIC’s or NEE’s)
what was the crisis in Colombia (COFFEE)
Due to prices of coffee falling and violence increased people have little to no choice but to change to growing coca ( cocaine ).
Deforestation and removal of coffee plantations for coca
What does Fairtrade do to help the coffee farms in Columbia (COFFEE)
Fairtrade pay farmers a premium to protect them against economic downturn.
what problems do coffee plants suffer with (COFFEE)
Blight, pests, poor weather, expensive fertiliser, unfair trade, conflict, glyphosate and corruption
what percentage of the supermarket price do the coffee farmers receive. (COFFEE)
7-10%
TNC’s make all the profit
Between 1999 and 2002, the price of coffee globally ….. by …..% to a 30 year …. (COFFEE)
fell 50% low
what causes market price fluctuations (COFFEE)
supply vs demand - no financial security
how does climate change impact coffee (COFFEE)
growing in dryer conditions is becoming to difficult
why is fertiliser and pesticides a problem for coffee farmers (COFFEE)
they are expensive
why are costs of coffee so low (COFFEE)
LIC’s ( where the coffee is grown ) have little power to dictate prices to the HIC’s which buy the produce ( race to the bottom )
what is the whole process from planting the coffee pants to it being purchased in shops. (COFFEE)
Coffee tree- planted as a seed ( one tree = 1kg of coffee per year )
harvested- ( 120 kg of harvest = 25kg of coffee to be sold )
separated from the husks
fermentation ( for 12 hours )
Dried for 5 days
bagged
taken to cooperative ( market )
sampled, checked , analysed, graded, weighed, purchased (farer payed)
beans processed ( blended, roasted, grounded, freeze dried, packed )
exported
purchased, enoyed
social benefits of Fairtrade (COFFEE)
benefits wider community
creates a future for the next generation of coffee farmers
a movement of change connects consumers and producers
environmental benefits of Fairtrade (COFFEE)
better more sustainable farming
improved productivity
climate change adaptation
economic benefits of Fairtrade (COFFEE)
direct and transparent relationships
investment in better farming practices
increased stability through diversification
pros for Fairtrade
minimum wage payed to workers
no child labour
minimum price paid for coffee or market price if its higher
premium paid too
cons for Fairtrade
costs $600 (minimum each year) to join Fairtrade
There’s no guaranteed buyer
Competition is often too great (FT vs established/ known growers)
can cause financial inequality
what is debt diplomacy (between china and Africa example)
China could give Africa a port out of loans and once built, Africa owe China the price + interest. When Africa can’t pay back they then own that area of Africa and can avoid taxes etc…
what are the aims of WTO (GLOBAL GOVERNANCE)
make the rules of trade between nations + regulate trade enforcing rules
positives of WTO (GLOBAL GOVERNANCE)
free trade increases interconnectedness/ interdependence increases competition
negatives of WTO (GLOBAL GOVERNANCE)
Free trade benefits HIC’s over LIC’s
what are the aims of WHO (GLOBAL GOVERNANCE)
eradicate and prevent disease
positives of WHO (GLOBAL GOVERNANCE)
eradication of smallpox and almost polio
negatives of WHO (GLOBAL GOVERNANCE)
AIDS is still a big issue worldwide
what are the aims of the World Bank/ IMF (GLOBAL GOVERNANCE)
reduce poverty and improve standards of living
positives of the World Bank / IMF (GLOBAL GOVERNANCE)
inequality and world development issues better understood
negatives of the World Bank/ IMF (GLOBAL GOVERNANCE)
WTO has more power, and subject to economic ideology
what are the aims of G7 (GLOBAL GOVERNANCE)
A forum for 7 of the wealthiest developed countries which strengthen the power of developed countries
positive’s of G7 (GLOBAL GOVERNANCE)
Supported the education of millions of children in the poorest countries
negatives of G7 (GLOBAL GOVERNANCE)
They strengthen the power of developed countries rather than encouraging equality between them and the less developed countries
what are the aims of UN security council (GLOBAL GOVERNANCE)
maintain world peace and security
positives of the UN security council (GLOBAL GOVERNANCE)
supported nuclear disarmament, 170 successful peace- keeping missions in LIC’s
negatives of the UN security council (GLOBAL GOVERNANCE)
nuclear weapons still increasing in some places (N Korea)
what are the aims of the UN (GLOBAL GOVERNANCE)
set up in 1945 to establish a peaceful and fair world
positives of the UN (GLOBAL GOVERNANCE)
193 member countries, practically every country in the world is a member. Promote G + S
negatives of the UN (GLOBAL GOVERNANCE)
developed countries hold most of the power
what are the 5 global commons
Atmosphere
Oceans
Antarctica
Outer space
Cyber space
what is the idea of the tragedy of the commons
how one greedy person impacts everyone
an example of the tragedy of the commons (the fish pond)
A pond of fish that every night 2 fish will produce a fully grown fish. If the local people are not greedy and take one fish each ( the ones produced overnight ) then the next day there will be the same amount of fish produced to eat again. if one person eats an extra then overnight one less fish will be produced and eventually the population of fish will die. So that one greedy person destroyed it for everyone.
how can the tragedy of the commons not be repeated ( sustainability )
if we use resources sustainably, without overexploiting them to help people in the short term whilst not destroying anything in the long term.
how much does a holiday trip to Antarctica cost (ANTARCTICA)
$9-13k
Roughly how many tourists visit each year (ANTARCTICA)
37,000
how much would the sea levels rise if Antarctica melted (ANTARCTICA)
around 70m
what is Antarctica (ANTARCTICA)
A global common
what was the lowest temperature ever recorded there (ANTARCTICA)
-89 Degrees Celsius
who is responsible for protecting and monitoring Global Commons (5)
CCAMLR
IWC
ASOC
ATS
UNEP
what are the 5 threats to Antarctica (ANTARCTICA)
Climate change
fishing
scientific research
tourism
Mineral resources
positives for CCAMLR (ANTARCTICA)
reduction in seabird mortality
challenges illegal fishing
regulating bottom fishing
negatives for CCAMLR (ANTARCTICA)
In 2018 CCAMLR failed to deliver increased protection for fragile Antarctic ecosystems
positives for PEP Madrid (ANTARCTICA)
designates Antarctica as a ‘ natural reserve devoted to peace and science ‘
prohibits mining indefinitely
environmental principles that must be taken into consideration when any plants are put in place
plans to respond to environmental emergencies
negatives for PEP Madrid (ANTARCTICA)
the protocol is not applicable to overflight not other areal activities where they do not land in the Antarctic.
positives for IWC (ANTARCTICA)
Training workshops for how to safely and effectively respond to entangled whales.
investigation into whale migration routes
negatives for IWC (ANTARCTICA)
lacks a compliance and enforcement programme
positives for ATS (ANTARCTICA)
free access and research rights to all countries.
prohibits military activity
bans the dumping of nuclear waste
sorted territorial claims
negatives of ATS (ANTARCTICA)
no new territorial claims can be made whilst treaty is in force
what is upwelling (ANTARCTICA)
cold nutrient full water rises from the bottom of the sea and warm water at the surface sinks
what governance is for the threat of climate change
COP27
what governance is for the threat of fishing
CCAMLR
IWC
what governance is for the threat of tourism
PEP Madrid
IAATO
what governance is for the threat of mineral exploitation
PEP Madrid
what governance is for the threat of scientific research
ATS
PEP Madrid
What does IWC stand for?
International Whaling Commission
What does CCAMLR stand for?
Commission for the Conservation of the Antarctic Marine Living Resources
What does ATS stand for?
Antarctic Treaty System
What does IAATO stand for?
International Association of Antarctic Tour Operators
