What is globalisation?
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What is globalisation?
Globalisation is the process whereby the world has become more economically, politically and socially interconnected.
Define the term global village.
The global village is a term used to describe the breakdown of differences between nations, where almost all nations and peoples are influenced and affected by other nations.
What are the three main aspects measured by the KOF Index?
The three main aspects measured by the KOF Index are social, economic, and political.
True or False?
The KOF index produces an annual index of globalisation scored out of 1 000.
False.
The KOF index produces an annual index of globalisation scored out of 100.
What is global shift?
Global shift is the process where Transnational Corporations (TNCs) have moved production to Emerging Market Economy (EME) countries to take advantage of cheaper costs of land and labour.
True or False?
Global marketing strategies are always identical in every country.
False.
While many companies use global marketing strategies, some adapt their strategies to local markets, a process known as glocalisation.
True or False?
The largest markets for manufactured goods are in Less Developed Economies (LDE).
False.
The largest markets for manufactured goods are in Highly Developed Economies (HDE).
What are the five main types of flows in globalisation?
The five main types of flows in globalisation are flows of:
Labour.
Information.
Capital.
Products.
Services.
What does EME stand for?
EME stands for Emerging Market Economy.
Define economies of scale.
Economies of scale are when companies are able to reduce costs by expanding production.
What is time-space compression?
Time-space compression refers to the shrinking world effect caused by technological developments that enable faster communication and travel over long distances.
Define financial deregulation.
Financial deregulation is the reduction of barriers to capital flows, which facilitates quicker and easier flows of money, goods and services between countries.
What was the main cause of the Global Financial Crisis of 2008?
The main cause of the Global Financial Crisis of 2008 was a fall in the US housing market.
True or False?
Containerisation has decreased the rate of globalisation.
False.
Containerisation has significantly increased the rate of globalisation by allowing larger volumes of goods to be transported more quickly and easily.
What is the North Atlantic Treaty Organisation (NATO)?
NATO (North Atlantic Treaty Organisation) is a political and military alliance founded after World War II to promote peace and cooperation in Europe.
What is the primary aim of the Organisation for Economic Cooperation and Development (OECD)?
The primary aim of the OECD is to improve the economic and social well-being of people around the world, thereby increasing economic stability and security.
Define trade bloc.
A trade bloc is a group of countries that work together to increase trade and boost economic growth by removing or reducing barriers to trade between them.
True or False?
Trade agreements always increase trade with countries outside the trade bloc.
False.
Trade agreements often create external barriers or restrictions which may reduce trade with countries that are not part of the trade bloc.
What is Brexit an example of?
Brexit is an example of a backlash against loss of sovereignty, resulting in a member leaving a trade bloc.
What are tariffs and quotas in the context of trade?
Tariffs and quotas are barriers to trade that trade blocs aim to remove or reduce between member nations to facilitate free trade.