General Globalisation Revision 7 Flashcards
(32 cards)
What is one benefit of outsourcing for workers?
Workers receive middle class wages, increasing their disposable incomes
This increase in disposable income can lead to greater spending in the local economy.
How do other businesses benefit from outsourcing?
They see more customers and increased spending, creating a positive multiplier effect
This effect can particularly benefit sectors like shopping malls and nightclubs.
What is a financial benefit for companies receiving outsourced services?
Increasing profits
Outsourcing can reduce operational costs for companies.
What is a common belief among workers regarding outsourcing?
Many workers believe they are exploited
This includes concerns about long shifts and lower pay compared to MEDC workers.
What effect does the repetitiveness of work have on employees?
Employees have become demotivated
Repetitive tasks can lead to job dissatisfaction.
What is a consequence of outsourcing on income inequality?
The inequality between the richest and poorest is increasing
Poorly educated individuals are less likely to benefit from outsourced jobs.
What did cities like Shenzhen and Dongguan offer to investors in the 1990s?
A large pool of cheap labour for manufacturing
This attracted many transnational corporations (TNCs) for outsourcing.
What has happened to the popularity of sweatshops in China?
They have become less popular
This is due to cheaper labour elsewhere and the negative reputation of Chinese products.
Where are sweatshops moving to as they decline in China?
Bangladesh and Vietnam
These countries are now seen as alternatives for cheap labour.
What benefit do new production methods from TNCs provide?
They are adopted by local companies, causing local economic development
This can lead to improved efficiency and productivity.
What is one positive outcome for locals in rural areas due to outsourcing?
They now earn a wage
This is particularly significant for those who previously relied on subsistence farming.
What is one cost associated with outsourcing regarding employee conditions?
Working conditions are often dangerous
Issues include chemical exposure, long hours, and limited human rights.
What environmental impact does outsourcing have?
Rivers and waterways become polluted with dangerous chemicals
This includes substances like arsenic and lead.
What economic trend occurred during the 1970s in Europe and America due to outsourcing?
Deindustrialisation
Many factory workers lost their jobs as TNCs relocated manufacturing.
What is one social impact of deindustrialisation in cities like Detroit and Glasgow?
Increased rates of unemployment
This can lead to depopulation as residents move for alternative employment.
What can be a direct consequence of companies moving away from an area?
Increased deprivation in inner city areas
This often correlates with an increase in crime rates.
Fill in the blank: Many textile companies in the UK Northern cities closed, leading to _______.
dereliction and contamination
Abandoned buildings and chemical waste are common results of factory closures.
What is rural to urban migration?
The migration of people within a country to seek better employment opportunities or a better perceived standard of living
What are urban pull factors?
Factors that attract migrants to the city, including:
* Employment Opportunities
* Services
* Infrastructure
What role do employment opportunities play in urban migration?
Large businesses and TNCs provide a wide range of jobs, with opportunities for promotion and higher wages
What services are more accessible in urban areas?
Education, healthcare, government embassies and offices
How does infrastructure influence urban migration?
Faster and more reliable transport links, better internet and broadband connection, and safety features like street lights
What are rural push factors?
Factors that deter people from rural living, including:
* Poverty
* Conflict
* Land Reform
* Agricultural Modernisation
* Climate and Natural Disasters
How does poverty act as a push factor in rural areas?
High poverty and deprivation due to limited job opportunities and decreasing earnings in farming
