EQ 1 (more on )

• Why is the EU highly connected?


  • shared currency
  • financial hubs
  • EU/trade block increases migration due to free movement of people
  • tourist attractions and affordable transport
• What are the disadvantages of a company like Apple to have a globalised production network?


  exploitation of workers (low wages long hours)

  conflict minerals

  environmental impacts (CO2 emissions from shipping)
• what are the disadvantages for a a company like apple to have globalised production networks?


  employment opportunities and profit for companies

  economic growth for countries
• what is globalisation?


  the variety of ways people and place are more connected with one another than they ever used to be

  deepening global connections, flows and interdependence
• what is globalisation due to? (simple terms)

  developments in:

  trade

  transport

  technology and improved communication
• What are the five different global flows?


  Commodities

  Capital

  Migrants

  Informations

  Technology
• globalisation involves w…… and d….. global connections, i…… and f…..?


  globalisation involves widening, deepening global connections, interdependence and flows
• what is the shrinking world?


  DISTANT places start to feel CLOSER and take less time to reach
• what is the space-time compressions?


  heightened CONNECTIVITY has changed our PERCEPTION OF TIME, DISTANCE and potential BARRIERS to the MIGRATION OF PEOPLE, goods, money and information
• why is the shrinking world happening?


  due to falling costs in technology and advances in information transmission
• what are the five factors that have accelerated globalisation?


  1. TNCs
  2. lower TRANSPORT COSTS
  3. computer and internet TECHNOLOGY
  4. international organisations
  5. NEW MARKETS
• HOW has globalisation contributed to the shrinking world?


  containerisation (transporting goods much faster and cheaper)

  costs 30%-1% of profit given to transport
• How have TNCs accelerated globalisatisation?


  built links between places by buying and selling goods across nations and FDI
• How have lower transport costs accelerated globalisation?


  railways, containerisations and aviations all transport goods faster and cheaper so more rapid trade
• How has technology accelerated globalisation?


  info transferred easily in manufacturing industry and social media has increased awareness of global brands
• how have international organisations accelerated globalisation?

  trade relies on trust and cooperation between nation and organisations such as UN and WTO help preserve this
• how have new markets accelerated globalsiation?


  companies invest in new markets to make profits and spread
• why is containerisation so significant?

  • highly efficient
  • ship cargo cheaply and in larger quantities
  • up to 50,000 containers
  • unit cost dramatically reduced (as faster loading time from previous 1-2 weeks to 12-36 hours)
• what are some problems with containerisation?


  • 1/4 of nitrogen oxide pollution comes from shipping
  • shipping market saturated as too many shipping companies operate
  • oil spills damage to wildlife and habitats
• when was Easy Jet founded and what did it start as?


  1995

  started as a low cost airline focus to make air travel afforable

  started with 2 routes (from london luton)
• what has Easy Jet done? (globalisation wise)


  increased globalisation of migrants and tourists

  now Europes largest low cost airline
• How has Easy Jet expanded so quickly?


  • no frills approach
  • operates out of secondary airport (away from city centre so cheaper)
• what pricing strategy does Easy Jet have? what has this led to?


  dynamic pricing strategy (based on demand) and digital booking system

  led to EXPANSION
• EASY JET has ___ routes ___ destinations across __ countries? it employs ____ people.


  900, 150,35. Employs 13,000 people
• Easy jet has a digital _________ strategy. what does this enhance?


  marketing

  customer loyalty and operational efficiency
• How has easy jet helped increase globalisation?


  low cost airline- travel for pleasure more accessible, increase flows of migrants and tourists

  no-frills approach

  operates out of secondary airports

  dynamic pricing strategy
• how has ICT and communication has impacts economically?

  allows managers of distance offices to communicate and stay in touch (e.g video conferencing)-helps TNCs expand to new territories
• How has ICT and communication has impacts socially?


  Skype (2003) is a cheap and powerful way to maintain long-distance relationships, ICT use supports migration
• How has ICT and communication had impacts politically?


  green peace spread their message online and social networks can raise awareness about political issues
• How has ICT and communication has impacts culturally?


  language/music adopted and hybridised faster(making cultures the same)
• What is the role of the world trade organisation?

  deals with rules of trade between nations

  lends money on a global scale

  gives direct grants to developing countries
• when was WTO founded?


  1995
• what positive impacts does WTO have on globalisation?


  advocates for trade liberlisation

  in favour of untaxed trade

  settle trade disputes
• what negative impacts does WTO have on globalisation?


  hinders developing economies

  have failed to stop richest countries (UK + USA) subsidising their food producers

  have ignored needs of developing world
• what are some negative impacts of the IMF on globalisation?


  • only lend to countries if they agree to their conditions
  • can increase poverty
  • livelihoods of people in poor countries destroyed by UNFAIR COMPETITION
• What are the postive impacts of the IMF on globalisation?


  • promotes national money
  • increases economic growth
  • financial advice
• who are the IMF and what is theur role? when was it founded?


  founded 1944

  aim to ensure global monetary stability

  provide loans to keep countries economically strong
• `what is the world bank and what do they do?


  -provide loans to developing countries

  -decisions led with commitment to promotion of foreign investment and international trade
• what positive impacts has the WB had on globalisation?


  poverty reduction

  kickstarting projects (dam in DR congo)
• what negative impacts has the WB had on globalisation?


  weighted/ unfair decision as 17% of vote to USA due to their investment

  wealthier dominate poorer countries

  can result in significant debt