development gap- global players

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  • Created by: chinwe
  • Created on: 17-02-16 14:30

international organisiations

example1;

  • The UN
  • World bank
  • IMF

How do they impact developing countries?

 They provide investment for for econonic and social projects, to improve standards of living.This is often done using a top-down approach.

example 2;

  • EU
  • WTO (world trade organinsation)

How do they impact developing countries?

They promote trade between developed and developing countries. Increase competitivness for developed countrey companies. BUT...can created barriers to free trade. Or create trade dependency. 

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TNC'S

example;

  • Nike 
  • Coca-cola
  • LG

How do they impact development?

TNC's are the most influential players. The top TNC's economic wealth, power and trading often match that of countries. They aim to constantly increase profitability, in order to reward shareholders. Therefore their poductions takes place in developing countries, where labour is at its cheapest, in order to stay globally competative.

TNC's provide forign direct investment into developing coutries. They provide employment, increasing spending power of particular reigions. BUT... TNC'S often exploit workers. There is leakedge as funds return back to parent company

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Political organisation

example;

  • Gouvernments

How does this effect development?

The gouvernment hes the responsibility to regulate the economy. Decisions to attract inward investment and maintain economic competitvness. Create the right environment for economy to flourish. Through physical development, i.e; infrastructure (cars,roads, technology). Also, tackling social issues such as crime, the quality of public services (hospitals and education).

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NGO'S (non-gouvernmental organisations)

example; 

  • Fair trade
  • oxfam 

How do they influence development?

NGO's focus on bottom-up development proggrammes. Therefore they take into account the locals oppinion.  Self-help schemes can allow small communities to break free from the povetry cycle, creating better living standards and oportuninty. 

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