Factors promoting globalisation

View mindmap
  • 5 Factors promoting globalisation
    • Flows of services
      • Low level services (e.g. customer service)
        • Companies re-locate these services to LICs (its cheaper)
      • High level services (e.g. financial consultants)
        • Located in HICs
      • Increasing flows of services = more interconnected
        • People connected through having bank accounts
    • Flows of labour
      • The movement of people from one place to another for work
        • Skilled workers move to HICs
      • Between 2000  & 2015 there has been a 40% increase in migration
      • 55,000 of the 1.2mil NHS staff are from other EU countries
      • 600,000 Polish workers have moved to the UK since 2001
    • Flows of information
      • Financial data & current affairs info can be spread
      • The internet and social media allow info to be shared quickly
      • Increasing flows make the world more interconnected
    • Flows of capital
      • Capital = invested money
      • Historically, money was invested within a country
        • (Inward investment)
      • Capital investment in foreign countries has increased
        • Foreign direct investment (FDI)
        • Global FDI had increased from $400bil in 1996 to $1500bil in 2016
      • Modern ICT software has improved capital flow
    • Flows of products
      • UK & other HICs used to have manufacturing industries
        • Manufacturing has decreased in HICs
      • Low overseas labour costs cause many companies to re-locate
        • Products are then imported back to the country of origin
      • Case study:
        • Dyson vacuums production moved to Malaysia in 2002, but the product is still sold in the UK


No comments have yet been made

Similar Geography resources:

See all Geography resources »See all The economy and global superpowers resources »