Approaches to Development (Edexcel GCSE Geography B)

Revision Note

Test yourself
Jacque Cartwright

Written by: Jacque Cartwright

Reviewed by: Bridgette Barrett

Top Down Development Strategies

  • Various approaches to tackling the problems of low and widening development gap

  • These are seen at both large and small scales and involve individual or multiple organisations (global players such as Trans National Corporations (TNCs), IGOs (International Governmental Organisations) and governments 

  • They can be an economic or holistic approach but both have advantages and disadvantages and aim to have a multiplier effect

  • Top down strategies are aimed more at an economic level and include large projects which hope to improve incomes for people through developing industry

  • A high level of technical support is usually needed with funding from foreign loans and IGOs such as the IMF and World Bank

  • Examples include:

    • Major roads, bridges, and railways

    • New airports and ports

    • Hydroelectric power dams

  • Freetrade:

    • This approach is where countries do not charge tariffs and quotas between themselves, this encourages trading which is free of taxes and charges

    • This can be beneficial to developing and emerging countries

  • Investment:

    • Where countries and TNCs invest money in developing countries which provide employment and income

    • Example: Chinese companies investing in Africa (mainly energy, mining, construction and manufacturing)

  • Industrial development:

    • Brings employment, higher incomes and opportunities to invest in housing, education and infrastructure

    • This has a multiplier effect

    • Example: China’s move away from agriculture to manufacturing made it one of the fastest growing economies in the world

  • Tourism:

    • Some countries have become tourist destinations

    • Which leads to investment and increased income 

    • Infrastructure is improved and direct and indirect jobs created

    • Tourism can become vulnerable during a recession

  • Debt relief:

    • Many developing countries borrowed money to develop their economies during the 1970s and 1980s

    • Some of these countries have fallen into serious debt and are unable to pay back these loans because of the high rates of interest

    • In 2006, the International Monetary Fund (IMF) agreed to cancel the debts of 19 of the world’s poorest countries 

    • This money saved in debt can now be used for development projects such as industry, resources and infrastructure

    • But corrupt governments may keep money

    • Example: Ugandan government has spent money to provide safe water to over 2 million people

Bottom-Up Development Strategies

  • Bottom-up strategies are aimed at social development, with smaller community projects that are aimed at improving health, education, or food supplies at a local level

  • Examples include: 

    • Wells and water pumps

    • Schools and health clinics

    • Training for farmers

  •  Aid:

    • Countries or non-governmental organisations (NGOs such as Oxfam) donate resources to a country to help or improve people’s lives

    • Aid can take the form of money, emergency supplies, food or technology, specialist skills

    • Helps reduce the development gap through investing in development projects

    • Focus is usually on health care, education and services

    • Example: Goat Aid helps families buy goats, which produce milk and meat

  • Intermediate technology:

    • This is where suitable, appropriate and sustainable projects, equipment and ideas are used

    • These are tailored to the needs and wealth of a local community 

    • Example: Micro-hydro for the remote villages of Nepal which the community build and maintains

    • Provides enough electricity to improve life for the villagers: enables children to study at night, families to watch TV and use mobile phones and the internet

  • Fairtrade:

    • International movement that helps producers in poor countries get a fair deal by setting standards for trade 

    • Farming is done in an environmentally friendly way

    • Product has a better position in the global market

    • Part of the end price is invested back into the local community and future development projects

    • Example: Over 90% of small coffee farmers in eastern Uganda have joined the Gumutindo Coffee Cooperative, which allows the coffee to be milled before roasting, which adds value to the coffee and increases the farmer's income

  •  Microfinance loans:

    • Small-scale financial support for small start-up businesses is usually aimed at women to help them become more self-sufficient

    • Example: Grameen Bank, Bangladesh, was set up in 1976 to help local women use their skills to develop small businesses. Initially, the bank lent women money to buy mobile phones, which the women then charged villagers to use, giving them a small profit, but also enough to repay the loan 

Examiner Tips and Tricks

Both NGO-led intermediate technology and IGO-funded large infrastructure have pros and cons.

IGOs fund large infrastructure developments that can benefit large numbers of people.

NGOs target intermediate technology at the specific needs of local people (a grassroots approach).

Advantages & Disadvantages of Development Approaches

Globalisation and development

  • Globalisation has played a significant role in development through trade

  • Countries trade because one country has something that another country does not

  • There are many processes and players (transnational corporations (TNCs), governments) that have contributed to globalisation, with some countries benefitting more than others from this

  • Countries that have embraced globalisation have seen more progress than those that remain 'switched off'

    • Rise in the internet and mobile communications making data transfer cheaper, faster and easier than ever before

    • Goods are moved around the globe cheaply and in bulk on container ships

    • People travel easier and cheaper around the world on aircraft etc. 

  • Developments in technology have encouraged many TNCs to invest in emerging countries such as India and China, by shifting the production of goods and moving data processing, call centres and administrative functions overseas

  • This shift has benefitted emerging countries by creating new jobs and improving income levels and a better quality of life for some

  • Emerging countries have made it easier for TNCs to locate and offer incentives for investments through:

    • Creating special economic zones (SEZs) and export processing zones (EPZs) which have no, or very low taxes

    • Restricting workers' rights, banning workers from joining unions and having no, or very low minimum wage

    • Limiting environmental, pollution, health and safety laws, to reduce costs for new factories and offices

Examples of Advantages and Disadvantages of Globalisation on Development

China  

USA

Foxconn workers earn approx. £180 a month making iPads and iPhones for Apple.

Most live in dormitories within the factory compound and can work up to 60 hours or more of overtime a month on top of their normal working hours

Pay is higher than in the rural areas and this attracts many internal migrant workers

Major car industries have closed their factories in cities such as Detroit and moved them to Brazil and Mexico.

Thousands of male, well-paid workers lost their jobs as labour costs were cheaper elsewhere. 

This has left many cities without a main employer and a cycle of decline to begin

Bangladesh

Sub-Saharan Africa

Low-priced, throwaway clothes are made in Bangladesh by women working for up to 80 hours a week but earning as little as £12.

Accidents are frequents and factory fires and exploitation are common. 

Globalisation has had little impact on Sub-Saharan Africa despite continued attempts. This is partly due to poor infrastructure, power and water supplies but also the physical features of the land (tropical rainforest, mountains etc.)

Education and skill levels are low and governments are often corrupt, which discourages large-scale TNC investments. 

Bottom-up vs top-down

Table to show Advantages and Disadvantages to Development Strategies

 

Bottom-up NGO-led social 

Top-down IGO-funded investment

Advantages

Targets specific needs of local people and creates local jobs

There is access to large sums of money from IGOs such as the IMF and World Bank

Large infrastructure developments are beneficial to many people

Disadvantages

Governments can often rely on NGOs rather than developing their own systems to help their people

Lack of education and training means that high-tech investments are costly to maintain 

Local people may not benefit at all 

Worked Example

Explain the disadvantage of TNC investment in developing or emerging countries.

(2 marks)

Answer

  • TNCs will locate elsewhere if it is to their advantage or for profit (1)

  • Poorer working conditions compared to similar factories in developed countries (1)

  • Higher level jobs (management and technical skills etc.) are usually allocated to the TNC country, (1) leaving the developing country as the resource extractors and producers (1)

Last updated:

You've read 0 of your 10 free revision notes

Unlock more, it's free!

Join the 100,000+ Students that ❤️ Save My Exams

the (exam) results speak for themselves:

Did this page help you?

Jacque Cartwright

Author: Jacque Cartwright

Expertise: Geography Content Creator

Jacque graduated from the Open University with a BSc in Environmental Science and Geography before doing her PGCE with the University of St David’s, Swansea. Teaching is her passion and has taught across a wide range of specifications – GCSE/IGCSE and IB but particularly loves teaching the A-level Geography. For the past 5 years Jacque has been teaching online for international schools, and she knows what is needed to get the top scores on those pesky geography exams.

Bridgette Barrett

Author: Bridgette Barrett

Expertise: Geography Lead

After graduating with a degree in Geography, Bridgette completed a PGCE over 25 years ago. She later gained an MA Learning, Technology and Education from the University of Nottingham focussing on online learning. At a time when the study of geography has never been more important, Bridgette is passionate about creating content which supports students in achieving their potential in geography and builds their confidence.