Geography Revision; Going Global...
Globalisation – The process by which people, cultures, money, goods and information can be transferred between countries with few or no barriers.
Impacts of Globalisation;
Finance: Global trade barriers being removed. Cheaper mobile and Internet rates. A worldwide reduction in consumer prices. Trillions of dollars are exchanged. Some TNCs.
Politics: An expansion of international political organisations. (EU)
People: Cheaper mobile and Internet rates. Cheaper labour. Migrant labour flowing to areas of high wages.
Culture: Americanisation. Companies influence how people think on certain issues.
Core nations: Earn the highest incomes. Decisions made about economy. Provide most global investments.
Periphery nations: Has 75% of the worlds population. Earns low incomes. Manufacture has risen.
Origins of Global Connections;
· Increasing trade
· Information exchange
· Global brands
· Stock exchange
· IMF/ World bank
Disconnected means that some countries become less influential and less involved in economic decision making.
Modernisation theory is the means by which the world would become more economically uniform, using western investment aimed at reducing poverty.
TNCS' are companies which have operations in more than one country.
Glocalisation: Where a company changes a part of themselves to accommodate those in the 'local' markets that they have operations in, e.g. McDonald's changing their menu in different countries to suit the 'local' market.
Growth of TNCs;
Motives: To maximise profits by controlling costs.
Means: Financial support from banks.
Mobility: Improved transport and communications.
Switched on places: D Are nations, regions or cities that are strongly connected to other places through the production and consumption of goods and services.
Global Hubs: Provide a focal point for activities with a global focus, e.g. major cities or other settlements with a global reach. (London)
Switched on countries: North America and Australia
Switched off countries: Brazil and Madagascar