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Globalisation

TNCs, glocalisation, outsourcing and switched-off places

  • 3 things to know
  • Papers 2 and 3

Overview

How TNCs spread globalisation through production networks, glocalisation, new markets, outsourcing and offshoring, and the historical, physical, political, economic and environmental reasons some places stay switched off, with North Korea and rural Niger as examples and maps used to explain them.

What you need to know

Answer each one before you reveal it.

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Evaluation

Define offshoring.

Key term

What physical factors can cause locations to remain detached from globalisation?

Key term

How do transnational corporations contribute to the spread of globalisation through their production arrangements?

Questions from this subtopic

Each one with the model answer underneath.

  1. 1

    How do transnational corporations contribute to the spread of globalisation through their production arrangements?

    Model answer

    TNCs develop global production networks that coordinate manufacturing and services across multiple countries, linking different locations into integrated supply chains.

  2. 2

    Define glocalisation.

    Model answer

    Glocalisation is the process by which TNCs adapt their products, services and marketing strategies to suit local markets and cultural preferences while maintaining global operations.

  3. 3

    Why might a fast-food chain offer different menu items in different countries?

    Model answer

    This is an example of glocalisation, where TNCs adapt products to suit local tastes and cultural preferences while maintaining their global brand and operations.

  4. 4

    How do TNCs spread globalisation by developing new markets?

    Model answer

    TNCs expand into previously untapped regions, creating new consumer bases and integrating local economies into global systems through investment, employment and trade connections.

  5. 5

    Define outsourcing in the context of TNC operations.

    Model answer

    Outsourcing involves contracting business functions to external companies, often in different countries with lower costs.

  6. 6

    Define offshoring.

    Model answer

    Offshoring involves relocating business operations or production facilities to another country to reduce costs.

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