Globalisation 1

Question	Answer
Transnational Corporations (TNC's)	Businesses whose organisations are spread across the world operating in many nations as both makers and sellers of goods and services. Many of the largest are instantly recognisable 'global brands' that bring cultural change to the places where products are consumed.
Gross Domestic Product (GDP)	A measure of the financial value of goods and services produced within a territory (including the foreign firms located there). It is often divided by population to produce a per capita figure.
Emerging Economies	Countries that have begun to experience high rates of economic growth, usually due to rapid factory expansion or industrialisation. There are numerous sub groups of emerging economies, including BRICS. They sometimes called Newly Industrialised Countries (NICs).
Remittances	Money that migrants send home to their families via formal or informal channels.
Interdependancy	If two places become over-reliant on financial or political connections with one another, then they have become interdependent. E.g. if an economic recession adversely affects a host country for migrant workers, then the economy of the source country may shrink too, due to failing remittances
Spatial Division of Labour	The common practise among TNCs, of moving low skilled work abroad (offshore) to places where land and labour costs are too low. Important skilled management jobs are kept at the TNC's HQ in its original country.
Intermodal Containers	Large capacity storage units which can be transported long distances using multiple types of transport, such as shipping and rail, without the freight being taken out of the container.
Shrinking World	Thanks to technology, distant places start to feel closer and take less time to reach
What is Globalisation?	'The increasing integration of economies around the world, particularly through the movements of goods, services and Capital across borders. There are also cultural, political and environmental dimensions of globalisation.
What are hyper-globalisers?	People who are in favour of globalisation, they claim that millions of people have escaped dollar-a-day poverty since the 1970's, and locally cultures have become more diverse as people from around the world mix.
Opposite reasons for hyper-globalisers	People fear uncontrolled migration and feel that Trans-national Corporations (TNCs) have lead to cultural homogeneity (uniformity) on a global scale.
3 Ways, that global connection was achieved in the past.	Trade- especially after 1492 when Columbus reached the Americans and the traditional world economy began to take place. Colonialism- by the end of the 19th century, the British empire directly controlled 1/4 of the world and its peoples. Co-operation- Ever since the first world war ended in 1918 international organisations similar to today's United Nations have existed
Stands of Globalisation SOCIAL	International Immigration has created extensive family networks that cross national borders- world city societies become multi ethnic and pluralistic. Global Improvements in education and health can be seen over time, with rising world life expectancy and literacy levels, although the changes are by no means uniform or universal. Social inter connectivity has grown over time thanks to the spread of 'universal' connections such as mobile phones, the internet and email.
Strands of Globalisation ECONOMIC	The growth of TNC's accelerates cross border exchanges of raw materials, c components, finished manufactured goods, shares, portfolio investments and purchasing. ICT supports the growth of complex spatial division of labour for firms and a more international company. Online Purchasing, for example, using Amazon on a smartphone.
Strands of Globalisation CULTURAL	Successful Western cultural traits come to dominate in some territories, e.g. the Americanisation or McDonaldisation of tastes and fashion. Glocalisation and hybridisation are a more complex outcome that takes place as old local cultures merge and blend with globalising influences. The circulation of ideas and information has accelerated thanks to 24-hour reporting; people also keep in touch using virtual spaces such as Facebook and Twitter.
Strands of Globalisation POLITICAL	The growth of trading blocs (EU) allows TNC's to merge and make acquisitions of firms in neighbouring countries, while reduced trade restrictions and tariffs help markets to grow. Global concerns such as free trade, credit crunch and the global response to natural disasters (Japan 2011) The World Bank, IMF, and the WTO work internationally to harmonise national economies.
Characteristics of Modern Globalisation Lengthening of Connections	Products are sourced from further away than ever before. Extreme cases like bottled water is now bought all the way too the UK from Fiji, 10,000 miles away.
Characteristics of Modern Globalisation Deepening of Connections	Food you eat is sourced from many different places. More or less impossible not to be connected to other people and places through the products we consume.
Characteristics of Modern Globalisation Faster Speed Of Connections	People are able to talk to one another in real time, using technologies such as Skype, or travel quickly between continents using jet aircraft.
Degree of Global Connectivity. What is the disparity in Brazil?	Brazil's core cities of Rio de Janeiro and Sao Paulo are globally connected, either as producers or as consumers of music and sport (e.g. Rio Olympics 2016). However, some Amazon tribes such as the Korubo people, have little or no knowledge of the outside world and lack any other connectivity.
How is the movement of capital a connection between places successful?	At a global scale, major capital flows are routed daily through the world's stock markets. A range of businesses, including investments banks and pension funds, buy and sell money in different currencies to make profits. In 2013, the volume of these foreign exchange transactions reached US$5 trillion per day.
How is the movement of commodities successful?	Valuable raw materials such as fossil fuels, food and minerals, have always been traded between nations. Flows of manufactured goods have multiplied in size in recent years, fuelled by low production costs in China and even lower-waged economies, such as Bangladesh and Vietnam. In 2015, GDP fell just short of US$80 trillion in value. Of this 1/3 was generated by trade flows in agricultural and industrial commodities.
How does the flow of information successful?	The internet has brought real-time communication between distant places, allowing goods and services to be bought at the click of a button. Social networks have ballooned in size and influence, with Facebook gaining 1.5 Billion users by 2015. On demand TV has increased data usage further. Information is stored in enormous 'server farms' such as Microsoft Data Centre in Washington State and Facebook's date centre in Lulea, Sweden (cold temperatures reduce the cost of cooling hard drives).
How is the flow of tourists successful?	Many of the world's air passengers are holiday makers. Budget airlines have brought a 'pleasure periphery' of distant places within easy reach for the moneyed tourists of high-income nations. Increasingly, people from emerging economies travel abroad too, using budget airlines such as Air-Asia and East Africa's Fast Jet. China is now the worlds biggest spender on international travel, with 120 million outbound trips made in 2014
How does the flow of Migrants successfully promote globalisation?	Of all the global flows, the permanent movement of people still faces the greatest number of obstacles due to border controls and immigration laws. As a result, most governments have a 'pick n mix' attitude towards global flow: they embrace trade flows bu attempt to resist migrants flows unless there is a special need (such as Qatar's encouragement of Indian construction workers). Despite restrictions, however, record flows of people are recorder every year. The combined number of economic migrants and refugees world wide reached almost 1/4 of a billion in 2013. The same year around US$500 billion of remittances were sent home by migrants.
Important Innovations in Transport Steam Power	Britain became the leading world power in 1800's using steam technology Steam Ships and Trains moved goods and armies quickly along the trade routes into Asia and Africa.
Important Innovations in Transport Railways	In 1800's railway networks expanded globally. By 1904, the 9000km Trans Siberian Railway connected Moscow with China and Japan. Today railway building remains a priority for governments across the world. The proposed High Speed 2, railway (linking London and Northern England), will have the same journey.
Important Innovations in Transport Jet Aircraft	The arrival of intercontinental Boeing 747 in 1960's made international travel more common place, while recent expansion of the cheap flights sector, including easy Jet has brought it to the masses in richer nations.
Important Innovations in Transport Container Shipping	Around 200 million individual movements take place each year. Some commentators describe shipping as the backbone of the global economy since the 1950's. Chinese Vessel Cosco is 366 M long and 48 M wide and can carry 13,000 containers.
Benefits that containerisation has brought to industry.	Allows easy and quick transferring or goods from ship to lorries and trains. Reduced the unit cost of international transport from 30% to 1%. Cut theft and losses due to breakages. Retailers and manufactures can use containers as mobile store rooms reducing the cost of warehousing. Ships have rapidly increased in size, quantities can now be transported.
How has containerisation aided the acceleration of globalisation?	The value of trade has increased from 42% of the world GDP in 1980 to 60% in 2013 FDI increased to more than US$1.4 trillion in 2012.
Time Space Compression	Heightened connectivity changes our concept of time, distance and potential barriers to the migration of people, goods, money and information. This perceptual change is called time space compression. As travel times fall due to new inventions, different places begin to feel closer together than in the past. This is also called the shrinking world effect.
When was Easy Jet founded and by whom?	Sir Selios Haj-Loannou 1995
How was the company first marketed?	'making flying as cheap as a pair of jeans - £29 one way'
From when did the company start to expand at a much quicker speed?	1996 Flights to Barcelona commenced and there after the company expanded at breakneck speed.
How many flight routes does it now have in the EU?	300 Several that extend beyond to Egypt, Morocco, Turkey and Israel
How has Easy Jet encouraged further globalisation?	Countries have become more interconnected. In 1995 there were 30,000 passengers, by 2014 the company owned 200 aeroplanes carrying 65 million people to their destinations. Places Easy Jet fly too instantly become more switched on to a greater degree. Tallinn in Estonia is a city of 400,000 people, 2004 began to fly there for £40. City is affordable for UK citizens, increasing connections between countries.
How has the Earth-Rise Photo helped with globalisation?	Apollo 8 astronauts in1968, first time people saw the Earth as a single entity, helping to foster sense of global citizenship. Since the photo, successive innovations in ICT have further transformed how citizens, businesses and states interact with one another.
Important Elements of ICT Telephone/Telegraph	First Telephone cables across the Atlantic in 1860's replaced 3 week boat journey with communication. Revolutionising how businesses were conducted. Remaining a core technology for communicating across distance. Parts of Africa are 'leap-frogging' straight to mobile phones.
Important Elements of ICT Broadband/Fibre Optics	Advent of broadband internet in 80's and 90's, large amounts of data could move quick through cyberspace. Loads of data conveyed across ocean floor by fibre optic cables owned by national governments/TNC's.1 million + KM of undersea cables carry worlds emails...
Important Elements of ICT GIS/GPS	First positioning system satellite launched in 1970's. 24 situate 10,000km above Earth, broadcasting time data and position of the world. Deliveries can be tracked by companies using vehicle tracking, helping growth of global production networks.
Important Elements of ICT The Internet/Social Networks/Skype	Internet began life as part of a scheme by US Defence during cold war. The early computer network ARPANET was a design during 1960's as a way of linking important research computers in different locations 2014- 5 Billion Facebook likes per day.
Why did Amazon cause a demise for some established businesses?	Amazon started selling media such as books, films and music and traditional retailers like woolworth in the UK and Blockbuster in the US closed because they couldn't compete.
What did Nike do to stop their company from failing online?	More and more general goods were being sold online like consumer electronics and clothing. So companies like Nike adapted by building their own online shopping sites. Nike Official Site.
What gave small businesses access to a global customer base?	Establishment of online market places. 2011 -Amazon had 12% of online share in North America Taobao had 80% in China These platforms are established to take more than US$1 trillion in annual sales.
The Traditional Supermarket...	...model is also now being challenged with online food and grocery shopping and the 'click and collect' model of home shopping.
How has businesses changed the way they operate to suit the needs of customers?	Offering free delivery to build customer loyalty. High sales volumes also enable the new digital marketplaces to put pressure on other suppliers to reduce their costs and speed up delivery on stock. Businesses take advantages of flexible employment laws. 0 hour contracts
How has technology contributed to... ECONOMIC Globalisation	ICT allows managers from distant places to keep in touch easier (video conferencing). Helping TNC'S to expand to new territories, to make/sell products. Each time barcode is scanned of M&S food purchase in UK, automatic adjustment is made to size next order in suppliers in distant countries (Kenya)
How has technology contributed to... SOCIAL Globalisation	The maintaining of long distance social relationships through ICT use is a factor that supports migration. Since 2003, Skype has provided a cheap and powerful way for migrants to maintain a strong link with family they have left behind.
How has technology contributed to... CULTURAL Globalisation	Traits, such as language or music, are adopted, imitated and hybridised faster than ever before. During 2012 South Korean singer Psy clocked up over 1.8 billion views of Gangnam Style, the most watched video of all time.
How has technology contributed to... POLITICAL Globalisation	Social networks are used to raise awareness of political issues and to fight for changes on a global scale. Environmental charities like Greenpeace, spread their message online, while the militant group Isis, has used social media to spread its message of terror globally to gain recruits.
How are mobile phones changing lives for the better in Africa?	In 2005, 6% of african people owned a mobile phone. By 2015 this had risen more than 10-fold to 70% due to falling prices and the growth of provider companies such as Kenya's Safari com.
Rising uptake of mobile phones in Asia has led to what?	Led to more mobile phones than people on the planet. In India over 1 billion people are mobile subscribers)
2007, Safari Com, launched M-Pesa, a simple mobile phone service that allows credit to be directly transferred between phone users. This has revolutionised life for individuals and businesses in Kenya, how?	Equivalent of 1/3 of countries GDP is now sent through the M-Pesa system annually. People in towns/cities use mobiles to make payments for utility bills/school fees. Rural Areas, fishermen/farmers use mobiles to check market prices before selling produce. Women in rural areas are able to secure micro loans from development baks by using their M-Pesa bills as proof of good credit record. Lifting rural families out of poverty

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	Created by Ethan Molloy over 7 years ago