Global Winners And Losers Flashcards
(29 cards)
What is effected by winners and losers (who/what is the winner or loser)
Both people and the physical environment
Winners
Benefit from globalisation
Loser
Lose out due to globalisation
Where had the global economy shifted to
Asia
Economic dominance trends
Most of 19th century Europe controlled the global economy, after Second World War the USA took over greater economic power
Global shift
The majority of industrial activity has shifted from one part of the world to another
Global shift in manufacturing (1950)
Low tech products such as toys and textiles started being manufactured in the first Newly Industrialised Countries (NIC)
This was due TNCs wanting to cut their costs by moving their operations overseas to make use of cheep labour
Outsourcing due to services
Global businesses need business services to operate, these need to be 24 hours a day without large increases for labour costs, improvements in communication allowed workers in distant countries to communicate with customers
Global shift impact in chinas economy
It has driven mass economic growth
Why is there lowered production costs in china
Their large population offered supply for cheaper, often well educated labour to the global manufacturing sector
Working conditions in china
Initially they were very poor and dangerous in the factories, however due ti their regular and attractive wages, jobs in factories caused large scale rural to urban migration, searching for new jobs in manufacturing hubs such as Shenzhen
FDI
Foreign Direct Investment
Why did major brands set up in china (apple)
As FDI flowed into china it was able to invest in greater industrial infrastructure and higher level training for workers, making china an attractive manufacturing destination fort higher order goods such as consumer electronics
India
Huh for outsourcing due to large number of youthful graduates
What are three of the benefits of global shift
Infrastructure investment
Education, training and healthcare
Waged work and poverty reduction
Infrastructure investment - benefit of global shift
Greater investment in transport and energy infrastructure in Asian countries ( the capacity of the Shenzhen port has increased so that it can now have more ships berthed), new power stations are also being built in China to meet the energy demands, (Longyangxia Dam Solar Park)
Education, training and healthcare - benefits of global shift
Increased national revenues through industrial growth leading to increased investment in schools and healthcare, more children are able to complete schooling resulting in higher literacy rates and more people seeking graduate level qualifications
Wages work and poverty reduction - benefits of global shift
Asia, mostly china have seen a rise in the wealth of its citizens, wages work had allowed people to have greater levels of disposable income, creating a rise in the number of people in the middle classes and fewer people living in poverty, (percentage of people in china living on less than $2.15 a day dropped from 72% in 1990 to 0.7% in 2017), Remittance payments have spread this wealth beyond the immediate earner
Land degradation- envo problems
Growing pressure on land resources is causing land degradation, demand for industrial space has led to increased deforestation and a loss of productive land, agricultural land is farmed more intensively which can cause soil erosion and desertification
Over exploration of resources - envo problems
Resources such as minerals, energy and water are being over exploited and used at an unsustainable rate
Loss of biodiversity - envo problems
Loss of natural habitats means loss of biodiversity, rate pollution is also responsible for the loss of species as pollutants enter and disrupt food chains
Urbanisation - social problems
Widespread rural to urban migration has led to rapid urbanisation putting pressure on urban infrastructure and resources, limited housing in cities has led to illegal unplanned settlements being built
Pollution - envo problems
High levels of air and water pollution, reduced environmental monitoring in some counties makes them attractive locations for companies who wish to focus on profit rather than environmental accountability
Urbanisation
The growth olin proportion of people living in urban areas