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Geography- GLOBALISATION OF INDUSTRY
Terms in this set (65)
What is subsistence?
Where all the farm produce is needed by the family or village and there is little if any surplus for sale
What is globalisation?
It is the way in which different countries and parts of the world are becoming even more closely connected by;
- Global communication and information technology
What are TNCs?
Trans National Corporations are companies with barnches and operations in several different countries. Typically, the headquarters is in a developed country and the production is elsewhere.
E.G Apple and Finaly's Farm
What is GDP?
Gross Domestic Product - The total market value of all goods and service produced in a country in a year
What is outsourcing?
When a company pays workers from outside the company to do the work or supply goods
How might labour encourage a TNC to locate to a Newly Industralsing Economy e.g India?
- wages relatively low
- highly educated,many graduates
- over 1.1 mil people
- no record of strikes
How might government encourage a TNC to locate to a newly industrialising economy? E.g.india
- tax incentives provided for foreign companies
- receive subsidies for training
- built new infrastructure
- no tax paid on imported goods
How might markets encourage a TNC to locate to a newly industrialising economy? E.g India
- located near export markets
- many large cities
- growing middle class
- special economic zones: trade and business laws relaxed
Why has globalisation happened faster in the last 20+ years?
-INTERNET:Shopping, Marketing- Cheaper premises, staff marketing, any location, available 24/7
-ICT: Access, Cost - Gadgets, apps to shop online, easier to contact companies, cheaper
-TRANSPORT: Long haul - aeroplanes travel further and quicker easier and cheaper to transport
-MORE WORLD TRADE: Free(r) trade, fall of communism
- TNCs and GLOBAL BRANDS: Available all over the world, more trade - wealthier, popular brand
Why has containerisation changed globalisation?
Speed up trade because they are easier to use as they are easier to transport, easier to empty and they are cheaper as the unloading time is quicker
What is an MDC?
More Developed Country
What is an NIC?
Newly Industrialising Country
What is an LDC?
Less Developed Country
What is GNI per Capita (US$)?
Gross National Income - Average income for a person living/working in that country
How is development measured?
-GNI per capita (US$)
-Doctors per 1000
-birth rate/death rate
-adult literacy rate
-infant mortatily per 1000 lives birth
- Average calorie consumption
-access to safe water
- mobile phones per 1000
-age of marriage
-access to electricity
What are some environmental problems of shipping environment?
- Responisble for 3.5-4% of climate change emissions
- 85% of all pollution is Northern Hemisphere
- 9% of Global Sulphur pollution- one large ship can generate 5000 tonnes of sulphur pollution in a year
- They use bunker fuel which is the dirties liquid fuel around
- Responsible for 18-30% of whole world's nitrogen oxide pollution
Why could climate change benefit shipping?
it could benefit it as it would allow summertime trips alond the 'Northern Sea Route' alond the Artic Circle which would save a lot of money(around £500,000 per trip. It would also be a shorter trip and it would avoid Somali pirates
Why does life expectancy increase as GDP increases?
- The government has more money to spend on healthcare
- The standard of living can be improved
- Education improved
What factors does the Human Development Index(HDI) account for?
-Health - life expectancy at birth
- Education - Average years of schooling and expected years of schooling
-Living Standards - GNI per capita (US$)
Why is the HDI a good measure of development?
- Shows wide range of data
- Easy to rank and analyse
- Combines different elements - very detailed indicator
What is surplus?
It is when the exports are bigger than imports
What is deficit?
it is when the imports are bigger than exports
What is free trade?
It is when countries don't discourage or restrict the movement of goods
What is protectionism?
it is when a country controls their trade by creating barriers to protect their own jobs and industries
What are tariffs?
Taxes or customs duties paid on imports, this is usally done to make the imported goods more expensive
What are quotas?
Limits on the amount of goods that can be imported, they are usually restricted to primary goods and therefore work against LEDCs (less economically developed country)
What are subsidies?
Money given usually by the government to encourage the developement of a product or project which might not otherwise be economically viable
What are Trading Blocs?
Countries that have grouped together to improve their trade balance e.g European Union Trading blocs try to increase the trade withinthe group so developing countries lose out
What is the positive multiplier effect?
It is where an increase in spending products can increase in national income and consumption greater than the inital amounts spent
What is appropriate technology?
Technology suitable and sustainable for the place where it is to be used
What are some characteristics of Science parks?
- modern buildings - hitech quaternary industry
-good transport,easy to get to - edge of city, room to expand
-linked to unis, investment ,share knowledge
-facilities for workers e.g nursery gyms appeal to employess
Why has there been a growth in Science parks in developed countries?
-advances in techonolgy
-more money in country - to develop parks and research
- growing demand for hi-tech products
-well educated, high skilled labour supply
-research from unis benefit companies so locate near them
-money available for investing in facilities to attract firms
How has science park affect cambridge?
Shortage of houses = house price increase
/leads to new town built = traffic congestion up to 31000 vehicles per hour in rush time= increase congestion and accidents= guided buseway to ease congestion
1/4 of jobs in cambridge to linked to science park
= other companies developed to serve science park - positive multiplier begins - limited expansion in future due to green belt
New train station planned to seve science park to ease congestion and so can get workers from all over country
What are some benefits of industrial growth? E.G bangalore
BETTER EDUCATION- easier to get jobs- more businesses -dont need to employ people from other seas
LPG MADE MORE AVAILABLE-people can afford it ,less pollution
BANGALORE GROWN MAJORLY-moreland more area for busines and houses
FAIRSHARE OF HOUSEHOLD JOBS-women have more of a life -better quality of life for women
MORE MONEY IN AREA-build more houses ,supermarkets, can buy equipment/resuources, help improve water supply
MORE RESTURANTS,CLUBS,CAFES BUILT- more places to socialise
How can industry damage the environment?
- lead to low water supply, build over supply, not enough left
-can pollute air, more people traveling to area = more congestion
-damage roads - too many cars driving on them and congestion
-areas being destroyed - to build over communities being destroyed
CASE STUDY TNC APPLE - WHERE IT OPERATES
-Headquarters in California, America
-Operations all over world mainly eastern areas such as China, Japan and Thailand
CASE STUDY APPLE- Social Economic benefits
- Provides jobs for people which means they have an income
- afford to have education
- more income for country
CASE STUDY APPLE- Social economic problems
- conditions in factories not alway at correct standard
- child labour
CASE STUDY APPLE- Enivornmental problems
- more factories - more air pollution
- a lot of pollution caused by transporting goods from countries
CASE STUDY TNC FINLAYS FLOWERS - WHERE IT OPERATES
- Headquarters in England
- Flamingo,Naivasha Kenya
CASE STUDY TNC FINLAYS FLOWERS - Social/economic benefits
-provide jobs = gives people income around £390 month
-area more well known can get more support
-everyone can work, no one excluded
- 500,000 people employed
CASE STUDY TNC FINLAYS FLOWERS - Social/economic problems
-Built on farming land - less income
- tourists and migrant workers means more pressure on services and they bring influences into area and could lead to orginal culture being ruined
- relying on flower production- bad growth of flowers income lowered majorly
- losing as much as £312 million a year on flower exports due to tax avoidance
CASE STUDY TNC FINLAYS FLOWERS -Environmental problems
-built on lake - water supply lowered but water demand increased which means more droughts
- coral reefs damaged
- built on farming land
INVESTMENTIN LDC -BANGALORE, INDIA- REASON FOR GROWTH
-Highly graduated people
- Entrepenual interest
- World centre of industry
-Government allowing businesses
- Cheap labour
INVESTMENT IN LDC-BANGALORE,INDIA - Social/Economic benefits
ECONOMIC: - led to bigger middle clase - more millionaires over 13,000 -Electronic goods in houses - supermarkets more available - can afford LPG
SOCIAL: -young wealthy go out a lot, fee paying schools, better education , women go out a lot, men taken over everyday chores, women can get a degree
INVESTMENT IN LDC- BANGALORE, INDIA - Social/Economic problems
ECONOMIC: - Government can't investsome countries so have to get private companies to invest for outsourcing
-housing more expensive
SOCIAL: - more homework for children - 2 hours of homework min every night for 7 year old
INVESTMENT IN LDC-BANGALORE,INDIA - Environmental Benefits
- unused land been built on
- bangalore grown majorly
- LPG been used more - less polluting
INVESTMENT IN LDC - BANGALORE,INDIA -Environmental problems
- Some areas destroyed for new buildings
- low water supply as lake built over
- lowe energy supply
- many lakes used for dumping waster
- congestion happens more often =more pollution
INDUSTRIAL DECLINE- GRIMETHORPER COAL MINE CLOSURE - Background info
-1965 - Gas discovered in North Sea- cleaner and more efficient than coal
-1970- imported coal cheaper than mined coal for first time
-1979-Thatcher came to power plans to make coal mining industry more efficient
-1981-Census recorded 44% of workers living in Grimethorpe were miners
-1983- Brithish Coal Boardannounced plans to close pit-cutting jobs
-1984-5- UKS miners' strike protest about pit closures
-1993- Grimethorper Colliert shut, loss 6000 jobs
-1994- Grimethorpe named poorest villiage in UK
INDUSTRIAL DECLINE - GRIMETHORPE COAL MINE CLOSURE- Socal/economic problems
- left many peple without jobs -6000 jobs lost
- population declined people moved away to find job
- local businesses had to close as not enought profit made
- low income for area
-unemployment 8.6% compared to 6.8% around rest of UK
INDUSTRIAL DECLINE -GRIMETHORPE COAL MINE CLOSURE - Enivronmental problems
- left factories and land unused
-buildings became rundown as people couldn't afford to keep with maintainance
- houses become derelict as many people moved away and new people didn't move in
INVESTMENT AND INDUSTRIAL CHANGE IN A MDC - GRIMETHORPE, ASOS - Background info
-village rundown and poorest in UK due to mine closure
- £100m spent in village from 1996-2008
-2000: Best neighbourhood watch scheme in country
-New roads and public transport
-Burgularies decreased by 23%
- Car crime decreased by 43%
- 100,000 tonnes of contaminated and toxic waste cleared
- Industrial estate developed - more business including ASOS
INVESTMENT AND INDUSTRIAL CHANGE IN A MDC - GRIMETHORPE, ASOS - Social/Economic benefits
- employed 3200 people, local people within 20 mile radius
- high income for people
- more money put back into area
- means can improve area even more, build more houses and schools
- more people visit area
- build schools - better education
- re do buildings, buildings being used again
INVESTMENT AND INDUSTRIAL CHANGE IN A MDC-GRIMETHORPE,ASOS -Social/Economic problems
- Take a lot of work to get it back to a good area
-More people coming to area - more pressure on services
INVESTMENT AND INDUSTRIAL CHANGE IN A MDC GRIMETHORPE, ASOS - Environmental Impacts
POSITIVE: Built on site of old coal mine which means using up space that would have just been wasted
NEGATIVE: more people coming to area - more congestion - more pollution
- Factory may cause pollution as well
APPROPRIATE TECHNOLOGY- RAGBAG, INDIA - Social/Economic reasons for being sustainable
- provides local people with jobs therefore they have money so can provide food from themselves and family
- employees are homeless young people this is so they can money in order to try to improve their life
-income for area
APPROPRIATE TECHNOLOGY- RAGBAG, INDIA- Enivronmental reasons for being sustainable
- no damage to environment as made out of recycled newspapers which would have just been thrown away so it is helping decrease pollution
SUSTAINABLE INDUSTRY -LARGE SCALE INDUSTRIAL DEVELOPMENT-M&S PLAN A/GREEN FACTORY - Social/economic ways it is sustainable
- provides jobs
-income for area
-free medical services for employee
SUSTAINABLE INDUSTRY -LARGE SCALE INDUSTRIAL DEVELOPMENT-M&S PLAN A/GREEN FACTORY - Enivornmental ways it is sustainable
- set in natural jungle landscape shaded by trees - doesnt damage environment
-eco-factory - no damage to environment
-made from compressed earth bricks and roof top grass and plants - helps cut down on the amount of heat getting in, air conditioning use lowered
- lots of windows - natural light without heat , less electricity
-building energy efficient stores- ues less energy, energy lasts longer, less damage to environment
-lowering fuel use - less damage /pollution
-recycling - less pollution, doesn't damage
What is the primary sector of work?
-the expolitation of raw materials from land, sea or air e.g farming and mining
What is the secondary sector of work?
- manufacturing of primary materials into finished products e.g car building,food processing, construction
What is the tertiary sector of work?
- providing of services to individuals and other businesses e.g teaching, banking,retail and nursing
What is the quaternary sector of work?
- generation and sharing of hi-tech knowledge e.g medical research, google glasses development or web page designs
What are some problems with TNCs?
- less land/ space for locals
- many migrants - outside influence, more pressure
- small businesses less popular
- more pressure on services
- low water supply
- more pollution
What are some benefits of TNCs?
- better education
- more people into area
- more people into area
- provides jobs
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