GLOBAL CORPORATIONS

agricultural revolution

The Innovation: Domestication of plants and animals.

The Result: Far more productive than hunter-gatherer societies.

The Key Outcome: We had EXTRA food.

- Not everyone needed to farm.

- This led to permanent settlements, trade, and population growth.

Industrial revolution

New Tools: Steam engines, manufacturing, mass production.

New Way of Working:

From: Working at home, making a product from start to finish.

To: Wage labor in factories, specializing in a single task.

The Result: Massive increases in productivit, rising standards of living, and a wider variety of goods.

CAPITALISM

- is a system in which all natural resources and means of production are privately owned.

- It emphasizes profit maximization and competition as the main drivers of efficiency.

INVISIBLE HAND

- Is a concept by Adam Smith.

- It means that when people pursue their own self-interest, they unintentionally benefit society

MONOPOLY

Is a situation in the market where only one company controls a product or service, and it has no direct competitors.

SOCIALISM

property is owned by the government and allocated to all citizens, not only

those with the money to afford it.

SOVIET UNION

was a country that followed a socialist/communist system

Global corporations

- operate in many countries.

- Also called multinational or

transnational corporations.

- International trade allows them to grow worldwide.

- Trade groups help regulate global business.

GLOBAL CORPORATIONS

- Products are made in different countries.

- Materials may come from various places.

- Factories are often located where labor is cheaper.

- Goods are sold worldwide.

EX: Mcdonald's, Coca-cola. Apple

Positive effects

- Create jobs worldwide

- Lower prices of products

- Increase economic growth

- Spread technology and ideas

Negative Effects

•Low wages in developing countries

•Poor working conditions.

•Job loss in home countries.

•Influence on politics and trade laws

Trade

spreads culture andideas.

Internet

Makes communication faster.