Globalisation

Question 1

Explain how improvements in communications (ICT) have increased globalisation

Answer 1

Email, Internet, mobile phones, phone lines can carry more info and faster
Makes it easier for businesses all over the world to communicate with each other. Overseas headquarters and branches in other countries. Increases efficiency

Question 2

Explain how improvements in transport have increased globalisation

Answer 2

More airports, high-speed trains and larger ships
Easier to communicate face to face
Increases trade: Easier to export product around the world

Question 3

Explain why call centres are more common to be overseas nowadays

Answer 3

It’s just as easy to phone a faraway country as to phone in one’s own country
Labour is cheaper abroad which reduces running costs

Question 4

Define localised industrial region and describe the example of Motorsport companies in Oxfordshire and Northamptonshire

Answer 4

Industries develop around a specific region that’s useful to them, but still have global connections
Close to Silverstone race circuit and the area has lots of skilled workers. Internet is used to send and receive data globally

Question 5

Define TNC

Answer 5

Transnational companies produce or sell products or are located in more than one country

Question 6

How do TNCs increase globalisation?

Answer 6

Link countries together through production and sale of goods

Bring culture

Question 7

How do TNCs affect economic development?

Answer 7

Create jobs —> taxes and spending
Taxes improve infrastructure, attracts more businesses. Multiplier effect
TNC factories in poor countries where labour is cheap - get more money

Question 8

Advantages of TNCs

Answer 8

Advantages - create jobs with reliable income and some skilled jobs, which encourages education and training; spend money to improve infrastructure; new technology brought to poor countries; local companies supply TNCs, increases their income

Question 9

Disadvantages of TNCs

Answer 9

Lower wages for longer hours and bad in poor than rich countries; profits go back to rich countries; large sites attract traffic, increasing pollution; jobs aren’t secure, TNCs can relocate; local companies lose business

Question 10

Define industrialisation

Answer 10

Countries see a massive growth in their manufacturing industries

Question 11

Define globalisation. Why does it happen?

Answer 11

The process of the economies becoming more integrated, as well as the integration of cultures and politics
International trade, international investment and improvements in communications