Learning Intentions:
1. WHAT IS GLOBALISATION?
1.1 How have changes in industry allowed increased interdependence between countries?
1.2 What are the impacts of Globalisation?
Positive impacts (e.g New cultures)
Negative impacts (Sweat-shops)
2. What are the ECONOMIC and SOCIAL impacts of Globalisation.
2.1 Economic impacts of MNC’s
2.2 Social impacts of the enlargement of the EU (European Union)?
3.1 How have LEDC’s benefited from Globalisation
3.2 How have patterns of trade hindered economic progress in LEDC’s?
http://www.thegeographyofblackwoodgcse.wikispaces.com
EXPLANATION of KEY TERMS
WRITE ON THE SHEET WHICH OF THE EVENTS YOU THINK ARE DESCRIBED
Key Term / ExplanationGlobalisation
Interdependence
Culture
Development
Trade
Capitalism
Trading Blocks
Aid
Free Trade
Economic Progress
1. What is Globalisation?
Below is a range of cartoons which help to explain the process of Globalisation – all be it in a light hearted style.
1. Study each cartoon.
2. Explain what the main message is in each cartoon
3. Identify how each cartoon is linked to the term- globalisation
Using page 89 in textbook to copy out the diagram: Factors that drive globalisation
Homework: Find out the names of the worlds largest MNC’s (Multi-national Companies) ______
Watch the short video clip from the BBC “Wales Role in the Globalisation Process”
Globalisation is nothing new. From Swansea's Cape Horners to Newtown's woollen sleeping bags that clad the Russian army, Wales has long been at the heart of international trade.
In the space below, write down the range of ways in which Wales have contributed to the process of Globalisation.
______
Some Welsh researchers such as Eddie Butler, state that “Wales kick started the globalisation process.” What does he mean by this statement?
______
1.2 Benefits and threats of globalisation
2. Further Impacts of Globalisation
Impacts of globalisation can be both negative and positive. They can also be categorised in terms of ECONOMIC, SOCIAL & ENVIRONMENTAL.
SORT OUT EACH STATEMENT BELOW INTO POSITIVE OR NEGATIVE, ECONOMIC OR SOCIAL EFFECTS / Positive or Negative?Economic or Social?
Inward investment by MNCs helps countries by providing new
jobs and skills for local people. / E.g P, E, S
Globalisation operates mostly in the interests of the richest
countries, which continue to dominate world trade at the
expense of developing countries. The role of LEDCs in the
world market is mostly to provide the North and West with
cheap labour and raw materials.
MNCs bring wealth and foreign currency to local economies
when they buy local resources, products and services. The
extra money created by this investment can be spent on
education, health and infrastructure.
There are no guarantees that the wealth from inward investment will benefit the local community. Often, profits are sent back to the
MEDC where the MNC is based. Multi-national companies, with
their massive economies of scale, may drive local companies
out of business. If it becomes cheaper to operate in another
country, the TNC might close down the factory and make local people redundant.
The sharing of ideas, experiences and lifestyles of people and cultures. People can experience foods and other products not previously available in their countries.
An absence of strictly enforced international laws means that
MNCs may operate in LEDCs in a way that would not be allowed in an MEDC. They may pollute the environment, run risks with safety
or impose poor working conditions and low wages on local
workers.
Globalisation increases awareness of events in far-away parts of the world. For example, the UK was quickly made aware of the
2004 tsunami tidal wave and sent help rapidly in response.
Globalisation is viewed by many as a threat to the world's
cultural diversity. It is feared it might drown out local economies, traditions and languages and simply re-cast the whole world in
the mould of the capitalist North and West. An example of this
is that a Hollywood film is far more likely to be successful
worldwide than one made in India or China, which also have
thriving film industries.
Globalisation may help to make people more aware of global
issues such as deforestation and global warming - and alert
them to the need for sustainable development.
Industry may begin to thrive in LEDCs at the expense of jobs in manufacturing in the UK and other MEDCs, especially in textiles.
2.1 Economic Impacts: Investigating the role of MNC (Multi-national Companies) in the global world of business
CASE STUDY: Nokia (see page 90-92)
Multi-national companies (MNCs)
Globalisation has resulted in many businesses setting up or buying operations in other countries. When a foreign company invests in a country, perhaps by building a factory or a shop, this is called inward investment. Companies that operate in several countries are called multinational corporations (MNCs) or transnational corporations (TNCs). The US fast food chain McDonald's is a large MNC. It has nearly 30,000 restaurants in 119 countries.
Examples of multinational corporations
Shell
A Shell filling station
The majority of TNCs come from MEDCs such as the US and UK. Many multinational corporations invest in other MEDCs. The US car company Ford, for example, makes large numbers of cars in the UK. However, TNCs also invest in LEDCs - for example, the British DIY store B&Q now has stores in China.
Factors attracting TNCs to a country may include:
· Cheap raw materials.
· Cheap labour supply.
· Good transport.
· Access to markets where the goods are sold.
· Friendly government policies.
2.2 Social Impacts: Visit website below
http://news.bbc.co.uk/cbbcnews/hi/newsid_4240000/newsid_4246300/4246393.stm
EXAM STYLE Question:
What are the social impacts of the enlargement of the EU? (See page 98+99)
______(6)
Things to help you:
· Use the eurostat website to explore the nature of modern Europe. See page 99
· Be sure you are clear of what the word SOCIAL means
· Bullet point a range of Positive Impacts – explain each point
e.g One of the benefits of the EU enlargement has been the ability of young families from the UK to be able to buy ‘villas’ in Bulgaria which are of greater value for money than those in Spain. Low cost airlines such as Ryanair are frequently visiting such destinations making them a suitable destination.
· Bullet point a range of negative social impacts – again, explain each point
REMEMBER: You only need to explain 3 points in total in order to get the 6 marks available
3. How have LEDC’s Benefited from Globalisation?
CASES STUDY EXAMPLE: India (See page 100- 105)
Statistics about India
· 1.2 million people (2nd most populated country in the world). 17% of the worlds population.
· The majority of all UK migrants are born in India
· GDP is rising by almost 10% year on year.
3.2 Trade – how have patterns of trade hindered development in LEDC’s?
a). The world pattern of trade.
PUPIL TASK: Place the term/words (bottom box) in the correct parts of the map (top)
b). Single Product Economies
All countries buy things they need and sell what they have. This is called trade. Trade earns a country money, and helps it become richer. Many developing countries rely on just one or two products to provide jobs at home and income from exports. They are called single product economies. These countries may struggle to survive because the world price for that product may fall.
Pupil tasks
1. Using Information from the diagram opposite, fill
in the map below showing which countries of the
world over-rely on just one major product.
2. What is the problem for a country which does rely
too heavily on one or two products?
c). RESEARCH ACTIVITY: Fair Trade vs Free Trade
Pupil Task: To research one of the types of trade and present your findings to your class in the form of a presentation.
Either: Fair-trade products guarantee to give people who produce them a fair
share of the profits. Find out more at www.fairtrade.org.uk and present your findings.
OR: Free Trade is the trading of goods and resources without any limits or controls.
______
d). Trading Blocks – these are set up by a group of countries as a way of increasing the volume and value of their trade. Often these countries are found within the same continent (e.g the EU) or on the border with other countries (OPEC) in the same region of the world.
One Vital Trading Block is missing from
the map above!
ANSWER = OPEC
Research 2 – what region of the world can
Opec countries be found in?
______
Extra Activity
“Ever since the early explorers trade between counties has existed. In the early 19th century trade relations existed between countries all around the world – and it wasn’t only goods which were sold!!”
Key words:
· Import______
· Export______
· Surplus ______
· Deficit______
True or False.
World Trade is dominated by MEDC’s. [TRUE / FALSE]
MEDC’s only trade with other MEDC’s. [TRUE / FALSE]
LEDC’s are major contributors to primary products such as maize and cocoa.
[TRUE / FALSE]
Countries prefer to trade in within a given region as opposed to dealling with countrie on the other side of the world. [TRUE / FALSE]
Key Examination Questions:
· Using an MEDC country which you have studied, explain how it is a major contributor to world trade?
· Explain how trade is different between an LEDC and a MEDC country?