Urbanisation - Mumbai case study

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Urbanisation ­ Mumbai
Mega city on the West Coast of India and India's finance centre
Capital of India with a pop of 20million ­ grown from 4million in 1947 more than 8
million was from internal migration.
Population density of 22,000 per sq km
Major centre for out-sourced work.
Economic strength is a problem: to attract companies and investment, India's tax
rates are low meaning companies and high-income earners pay little tax. This
causes low revenue from which to provide public services ­ water, sanitation or
public health. Most low-income earners cannot afford charges for these services =
no private investment = development of slums.
Receives around 1000 new migrants a day
Services ­ banking, insurance, IT and call services. Mumbai's universities produce
well-educated, English-speaking graduates who are employed by large western
companies (e.g. BT) who contact them to provide services ­ outsourcing. India's wage
rates are low e.g. a high salary = $5000 a year.
Manufacturing ­ half of Mumbai's factory workers work in the textiles industry, producing
cotton textiles for export. Other booming industries: food processing, steel,
engineering, cement and computer software.
Construction ­ demand for housing, factories and offices = boom in construction
Entertainment ­ Mumbai has world's largest film industry ­ Bollywood
Leisure and business services ­ e.g. hotels and restaurants.
A rapid amount of people are drawn in from the countryside due to work being so varied
from highly skilled jobs to practical work and people believe they will have better life
chances in the city
Travellers from Europe used the ports that became known as "The gateway to India".
The area around the port became industrialised as a result and became used for
importing and exporting goods.
A variety of services grew around the port and this led the city to grow during
British rule, and even more rapidly when British rule had left in 1947

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This economic development and rapid urbanisation....
provides 33% of India's entire tax revenue
Means 40% of international flights to India land there
Demand for property has driven rents in exclusive parts of the city higher
than those in London or New York.
Has headquarters of Indian TNCs like Tata Steel and Mukesh Ambani Oil
Causes India's middle class now numbers over 300 million people and their
tastes/preferred lifestyles are often decided in Mumbai.
There are many problems that rapid urbanisation cause...…read more

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Small workshops = cheap pottery, plastic toys, clothes etc...
Average incomes are low as Mumbai is very expensive they cannot afford to
move out.
Many people are forced to work in the informal sector (self-employed work
that has little security e.g. street trading)
However, 80% of Mumbai's waste is recycled in Dharavi ­ the recycling
industry is worth $1.5million a year and employs 10,000 people.…read more

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Raise adequate financing and reduce administrative expenditure
3. Improve transport infrastructure, provide more train carriages and buses;
increase the number of freeways and expressways and the amount of
parking space
4. Make governance more efficient and responsive
5. Boost economic growth 8-10% per year e.g. by focusing on services and
making Mumbai a `consumption centre'
6.…read more


Gauranga Purohit

Thanks, this is really helpful!

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