16 terms

Dimensions of globalisation

STUDY
PLAY
Globalisation
The process by which the world's local and regional economies, societies, and cultures have become integrated together through a global network of communication, transportation and trade.
Flows of Capital
Money that moves between countries and which is used for investment, trade and production.
Foreign Direct Investment
Investment made mainly by TNCs based in one country, into the physical capital or assets of foreign enterprises.
Repatriation of Profits
TNCs investing in overseas production will normally take any profit made from that headquarters. The majority of these flows return to companies based in richer countries.
Aid
Financial support for poorer countries that can be provided through the UN (multilateral) from contributions made by richer countries, or provided bilaterally from one government to another.
Migration
Usually takes place from poorer countries to richer countries and involves skilled workers from poorer countries moving to richer countries.
Remittance payments
Transfers of money made by foreign workers to family in their home country.
Flows of labour
Movement of migrants mainly seeking better employment opportunities. E.g. movement from developing countries in South Asia, Africa and Latin America to the richer areas of North America and Europe.
Flows of products
The international movement of products which is facilitated by the reduction in costs of trade.
Containerisation
A system of standardised transport that uses large standard-sized steel containers to transport goods.
Protectionism
A policy by government to impose restrictions on trade in goods and services with other countries.
Tariffs
A tax or duty placed on imported goods with the intention of making them more expensive to consumers so that they do not sell at a lower price than home-based industries from foreign competitors.
Flows of services
Economic activities that are traded without the production of material goods.
High Level services
Services to businesses such as finance, investment and advertising
Low Level services
Services to consumers such as banking, travel and tourism
Flows of Information
Movement of cultural ideas, language, industrial technology, design and business management support.