Unit 1: Going Global

What is globalisation?
The process by which people, their cultures, money goods and information can be transferred between countries with few barriers
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Name a TNC that has diversified and glocalised.
Disney: It has diversified into music, themeparks (5), stores and clothes (728). It has glocalised with films to target markets like the Hunchback of Notre Dame (French) to raise the profile of EuroDisney
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How have connections lengthened and deepened post 1940s?
Lengthening: connections between places further away, like green beans air freighted from Kenya. Deepened: connections in all parts of life, e.g social media
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What was "globalisation" pre-1940s?
Colonialism, trade (East India Company), some international organisations like the League of Nations
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Give the 5 key factors that accelerate globalisation.
Transport - air travel (1960s jumbo jet), containerisation, cheap flights (EasyJet); IT and Technology - companies can be footlose ; International organisations (IMF); Affluent markets (China- demand grows) ; TNCs - outsource, vertical integration
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What is globalisation doing to countries in terms of the DTM?
Countries are being promoted towards stages 3,4,5 as they develop better healthcare, often more secular societies with less demand for children, and grow more tertiary based economies
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What is Lee's migration model?
There are intervening obstacles between locations of migration such as boarder controls or language. However there can also be intervening opportunities such as a job in another unintended destination
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How has globalisation stimulated population movement?
TNCs encourage rural-urban migration in factories (even HICs - Apple's draw to Silicon Valley); increased awareness through internet; trade blocs (EU) remove barriers; colonial links still today promote movement (commonwealth); BUT 9/11 reduced this
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Give 5 generic "pull" factors
Better climate; a wider range of jobs; healthcare and services; "bright lights" of cities (eg Bollywood); family already there
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What is the Brandt line and why is it not as applicable today?
The line between the rich "north" and poor "south". However, NICs and BRICs such as South Korea and Brazil have skewed this
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What are the LDCs?
The 50 Least Developed Nations, such as Chad, Somalia and Afghanistan. They have poor global power and often suffer dictatorships and conflict
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Which group would these countries all belong to: Nigeria, Venezula, Saudi Arabia
The OPEC nations, who have 2/3 of the world's oil reserves and thus are petrodollar rich.
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What is an NIC?
A newly industrialised country, characterised by recent rapid growth of the secondary industry and a lift from LIC status, such as China
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What is the OECD?
The Organisation for Economic Cooperation and Development, the richest and mot powerful nations who aim to solve and manage world issues. The most powerful are the G8.
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Can countries belong to more than one of these groupings?
Yes: some are descriptive (like NIC or LDC) and some are "real" organisations, such as OPEC and OECD. Countries such as the UK may be in the G8 as well as an MEDC and an EU member, for example.
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What are the two key advantages of trade blocs?
Comparative advantage - every country produces what they are best at (eg UK "light" industry) and Economies of scale - mass production for larger markets is cheaper, the consumer gets better quality cheaper products
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What are the aspects of the EU trade bloc that are not commonly found in others, such as NAFTA?
A common currency; low migration barriers (Schenghen); a Judicial system and a Parliament
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Give some benefits of the EU.
Trade and markets grow; products can be cheaper; subsidies under Common Agricultural Policy; political stability
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When did NAFTA come into effect and what was its aim?
1994, to eliminate tariffs and restrictions to free trade between Mexico, Canda and the US
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Give some advantages of NAFTA
Countries specialise, cheaper products made in Mexico, Canada saw an 80% trade increase in 5 years; regulations force Mexico to adopt better practices; employment infrastructure rose
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Give some negatives of NAFTA
Wage reduction in the US and watered down environmental lawsto compete with Mexico; Mexican farmers can't compete with US mechanisation, no more security of purchase or guarantee of prices, dangerous Mexican drivers, Maquiladoras- exploitation,
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How do TNCs grow?
Mergers - buy up competition to form a monopoly (Horizontal integration); Acquisitions, (eg Kraft); Vertical integration (Shell); subcontracting (Apple and Foxconn)
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Why do TNCs go global?
To be closer to markets, to operate where labour is cheaper and trade unions are banned (Spatial devision of labour, eg Indonesia), to spread business risk, to gain grants and take incentives (eg Free Enterprise Zones), operate inside trade barriers
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_(a)__% of Tesco's profits are from Asia. It employs _(b)_ people and has succeeded through _(c)_ and __(d)__ (for example, Wet markets in Thailand and its clothing range)
(a)60 ; (b) 450,000 (c) Glocalising (d) diversifying
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What are some negatives of TNCs like Tesco and Apple?
Encourages homogenisation/Westernisation; degredation of environment (Bohpal disaster, Apple's screen cleaners); worker exploitation (Foxconn suicides - 14 dead); tax avoidance; shipping of products (CO2 emissions); reduce democracy (too much power?)
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What are positives?
Run schools and train employees; invest in local communities; provide new and cheap products; more regular wages and higher pay; positive multiplier effect
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Why would a TNC use a local supplier?
To maintain goodwill, to glocalise products to appeal to locals, if the products are perishable, it may be cheaper
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What are nodes, flows and hubs?
Nodes are destinations, such as cities or large TNCs. Flows are what connect them, through networks, such people and capital. Global hubs are well connected nodes (eg World Cities)
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How is the internet a global connection?
Allows the secure transfer of capital, it can keep markets up-to-date and investors in touch with their FDI, allows companies to be footloose and people to work from home, is a way of learning and communicating (VLEs), it reached 50M in 4 years
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What is time space compression?
The "shrinking world" idea, whereby we have made the world more navigable and more efficient to communicate within. Far away places are accessible to a wider demographic (cheap flights).
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Who are the "winners" of globalisation?
TNCs and private investors, affluent HIC consumers, trade bloc countries, professionals and the skilled, global cultures, tourist destinations
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Who are the "losers"?
Manufacturers in HICs, smaller companies, local cultures, environmentalists, people with no assets or skills, those who rely on the State and public services (dependents)
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What is a Structural Readjustment Programme?
A controversial policy from the IMF that states that in return for aid countries need to move towards capitalist economies, such as privatising water firms.
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What is a Technopole? Give examples
An area where technology is innovated and businesses are attracted to, like Silicon Valley, M4 corridor, Silicon Fen
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What is cumulative causation?
An explanation for why wealth accumulates in one area, like the multiplier effect: more investment and attraction of businesses, larger populations
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Why is China "switched on"?
It has natural resources (coal) (HEP from 3 Gorges Dam); transport by river (Yangtze); not landlocked (can have container ships) ;large population (1.3BN), an economy in Secondary industry that doubles every 8 years; Export Processing Zones
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What sacrifices has it had to make?
100 cities have water shortages, 360M don't have safe water to drink, 70% rivers and lakes are polluted, 80% banned chemicals found in Chonquing water
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Where in India is being switched on?
Bangalore; the growing IT hub of India (a technopole). India has $56BN of outsourced industries, aided by internet growth. This is at the expense of rural regions, however.
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What factors make a country switched off?
PHYSICAL: Vulnerable to climate change, extreme climate, isolated (landlocked) and difficult to access (mountains), no natural resources HUMAN: dictatorships, war, lack of skills, inflation and low power purchasing parity
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When did North Korea legalise internet on mobile phones?
2008.
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What is Kwangmyong?
The N.Korean intenet service, which is very restricted and mostly has scientific articles and domestic news
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Give economic benefits of globalisation.
Trade blocs reduce costs, standardisation of quality, spatial division of labour reduces costs, larger more affluent markets
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What are the economic costs?
Interconnected markets - a collapse in one affects the others (2008 crash); no regulatory bodies (growth too fast);small industries loose out; rich-poor disparities grow; little tax control; illicit and irresponsible spending
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What are the socio-political benefits?
Global law and justice; more cultural awareness; improvements in education; NGO growth; more political stability with agreements; spread of cultures and practices; more ethnic diversity
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Give the socio-political costs.
Unemployment in secondary industry (HIC); cultural homogenisation; reduction of democracy (TNCs too powderful); women's rights undercut by profit drive; exploitation and child labour
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Give some environmental costs.
Oil spills (Exxon Valdez, BP); deforestation - 30% Honduras deforested; soil erosion from ranching; waste generation; few factory regulations; monocultures introduced (farms)
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How can we offset this?
Recycling; buying local; organic buying; carbon credits; Green tech; Fairtrade and ethical goods
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What does Fairtrade do?
Form long term relationships with producers, who are paid a premium to go towards development of communities, for example the Kuapa Kokoo organisation that produces beans for Divine chocolate at fair prices.
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How can you investigate your roots?
Nationally: census data, every 10 years since 1901; Local: Parish records, library records, marriages/deaths/births ; Personal: Family trees, oral histories, photos and diaries
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What are the key changes to the UK population?
BR has fallen; life expectancy has risen; more migration and ethnic diversity; more gentrification + shift to middle class
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What has driven the falling birthrates?
Cost of raising a child is too high: £150,000; the 1970s oil crashes and depression; emancipation of women (persue careers before children); birth control (1960s); secularisation; legalisation of abortion
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Why do we have an ageing population?
1950s baby boom; NHS and government drives for public health (eg smoking ban); better diet; better vaccinations and medical knowledge
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What are the challenges accociated with this?
A rise in NHS waiting times; rising taxes to pay for dependency ratio; pressure on greenbelt for sheltered housing; house prices increase by 310% in Cornwall as residents live longer, young leave work to care for the elderly, low state pension
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What are some benefits?
Have workers with experience - many people still active past retirement age; charity workers; look after grandchildren; may earn money and pay tax
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When was the Post Acession Migration?
2004 - when Poland (and other Eastern European nations) joined the EU
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Why did migration to the UK drop in 2008?
The Credit Crunch meant there were fewer jobs available, many returned home.
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What is the attraction for migrants to rural regions?
Work as SAWs (in agriculture) and in care for the elderly; capital is too expensive; brain drain housing left to take; jobs available in food processing (30% of Salmon processors in the Highlands are migrants)
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What were the UK impacts?
27,000 child benefit claims made; upsurge in buy-to-let; social and racial tension as enclaves made; increased police demand (17% increase in driving offences); evens dependency ratio; fill 3D jobs; add 5% to regional output; diversity of goods
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Impacts on Poland?
35% construction jobs can't be filled; Offered £5,000 to come home; cycle of decline; families break up as fathers leave; remittances sent home (but only 8% income); less land demand; brain drain; ageing population - large dependency ratio;
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What are the pulls to the Spanish Costa del Sol?
60% lower utility bills; 10oC warmer climate; land available for development; beach facilities; slower pace of life; lower taxes; already have base there (80% of residents in Alicante Urbanicions are foreign, many British)
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How many illegal houses were built on the Costa?
50,000
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Give two benefits for Spain for the migration flow there.
Land becomes more valuable; employment opportunities in carers/waiters etc
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Give three benefits for the UK for the emigration.
Healthcare costs lower with fewer old people to take care of; relieves pressure to build on greenfield; balances immigration and evens out dependency ratio
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What is the cycle of urbanisation?
An explaination for how HIC megacities and cities grow: urbanisation, suburbanisation; counterurbanisation and reurbanisation
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Why did London undergo suburbanisation?
Railways and better Underground links (e.g. to Edgware) lead to decentralisation, as well as the attraction to cheaper and more land in "safer" suburbs.
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What is London's current population (whole metropolitan area)?
14 million
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Give one (a) immature (b) maturing (c) consolidating (d) mature megacities.
(a) Lagos (b) Sao Paulo (c) Cairo (d) London
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How many new migrants come to Mumbai per day? What are the pulls?
600; better paid and a wider range of jobs (including the informal economy); "bright lights" of Bollywood; services and housing
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What is Vision Mumbai?
A $2.3BN project to remove Mumbai's slums such as Dharavi and their 200,000 dwellers and provide new housing, transport and 325 new green spaces. Also to boost economic growth by 10%
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How many people die on the Mumbai rail network every day?
15
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Give some general examples of unsustainable megacity growth
Hyperurbanisation; no social services; no waste collection; poor planning control; traffic and congestion
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How is London a sustainable city?
It has hydrogen buses, Santander Bike system; green spaces; congestion charge and low emissions zones; developments like BedZED
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Card 2

Front

Name a TNC that has diversified and glocalised.

Back

Disney: It has diversified into music, themeparks (5), stores and clothes (728). It has glocalised with films to target markets like the Hunchback of Notre Dame (French) to raise the profile of EuroDisney

Card 3

Front

How have connections lengthened and deepened post 1940s?

Back

Preview of the front of card 3

Card 4

Front

What was "globalisation" pre-1940s?

Back

Preview of the front of card 4

Card 5

Front

Give the 5 key factors that accelerate globalisation.

Back

Preview of the front of card 5
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