A Level Geography - Understanding globalisation
- Created by: Becca1304
- Created on: 24-02-21 09:10
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- Understanding globalisation
- Globalisation contained
- Container ships getting bigger - can hold more freight and therefore the transport prices are cheaper.
- Cheaper because they need to fill the containership up, so its an incentive to get companies to ship more for the same price
- July 2013 - Maersk took delivery of the world's largest containership, with 18,000 containers.
- This new ship used 20% less fuel per container than one carrying 10,000 containers
- January 2015 - China Shipping Container Lines' huge new ship Globe arrived at Felixstowe Port in Suffolk, from China, on its maiden voyage - with 19,000 containers
- A month later, the Mediterranean Shipping Company's ship oscar became the biggest container ship of all, with 19,224 containers
- Supersized containerships were all built in South Korea, and they all seem to sail between ports of Asia and Europe - the World's largest trade route
- The large distance between these ports makes size important to keep costs down.
- In 1990, the average containership held just 4000 containers, and there were many shipping companies
- Now, fewer but much larger shipping companies dominate global trade. Containerised shipments have shifted the balance of economic power from Europe and Asia
- Container ships getting bigger - can hold more freight and therefore the transport prices are cheaper.
- The Jounrey back to China
- Almost everything on board the globe was made in China by European- or US companies.
- Outsourcing production to Asia exploits cheaper asian labour costs
- Howvever, the journey to China often only carries waste from Europe for recycling or incinerating.
- So these huge ships bring high-value goods to europe and take back low-value waste in return
- Almost everything on board the globe was made in China by European- or US companies.
- Amazon Primed for take off
- Many of the products in the Globes' containers will probably be ordered by shoppers through Amazon.
- Amazonis a product of the digital age, and - as an e-tailer - it has reshaped the retail industry
- Many people now buy online instead of in a physical shop.
- Quick delivery times allow amazon to take advantage of global connections to reduce the costs of storing large numbers of items in warehouses for long periods.
- In 2014, Amazon established a base in Shanghai, because its Chinese sales are now rising as China';s wealth increases
- Amazon has a media machine selling music, movies and books through its 11 websites across the world
- It offers manufacturing companies, sellers, writers and musicians access to a global market for their sales through its warehouses
- It has grown from being an online bookseller to become the world's leading e-tailer , with customers in 180 countries
- It "prime" product offers online TV and Films
- Its tablets (kindles) give its customers access 24 hours a day, anywhere in the world
- Operating in most countries, Amazon is working in a world with no borders
- As a result, the national governments find it hard to keep track of its sales in each country, in order to calculate the level of business tax that it owes in each location
- The throw away society
- Items purchased through amazon are cheaper than in shops
- This is because of lower operating costs and bulk buying (known as economies of scale)
- Economies of scale and a race to deliver ever-cheaper goods - called the race to the bottome
- This means that people in the 21st century buy and throw away more.
- Just like the cargo of return waste on the Globe, over 30% of what is purchased will be thrown away within a year
- Not including packaging
- Items purchased through amazon are cheaper than in shops
- Globalisation contained
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