Case studies

Dyson

patterns of production, distribution and consumption

  • British technology company

  • moved production to Malaysia from the UK

  • HQ now in Singapore

  • main focus is trade with Asia

  • moved production due to;

    • cheaper labour

    • easier to import/export

    • less trade barriers

    • lower costs of production

    • high productivity workers

    • closer to components in China

    • offered incentives

Coca Cola

global marketing

  • 1.9 billion servings a day

  • 94% of the world recognise the logo

  • spend $4.1b a year on marketing

  • strategies

    • names on drinks

    • share a can

    • hug me machienes

    • specif songs

    • taste the feeling

  • by using one strategies costs are reduced

The EU

  • 27 countries

  • benefits

    • freedom of citizens to work, live and study anywhere

    • increased funding and investment

    • higher environmental, social and consumer standards

    • increases trade in the single market

    • job oppurtunities

    • lower production costs

    • smaller nations are better represented on a global scale

  • negatives

    • high membership costs

    • new regulations/policies

    • loss of financial control

    • loss of soveriegnty

NAFTA

  • between USA, Mexico and Canada

  • ended by Donald Trump

  • aims

    • gradual elimination of all trade barriers

    • promote economic competition

    • more investment oppurtunities

    • improve co-operatioon

  • purely for trade

  • impacts on:

    • USA

      • loss of manufacteuring jobs to Mexico

      • production moved

      • net increase in jobs

    • Canada

      • businesses pulled out of Canada as it was more expensive, causing job losses

    • Mexico

      • more jobs

      • better wages

      • exploited due to lack of human rights and environmental legislation

Russian gas and oil

unequal power relations

  • 1st largest producer of gas

  • 3rd largest producer of oil

  • pipelines supply areas with oil

  • have stopped supply to Europe

  • now supply to India and China

  • prices have increased

South China Sea

unequal power relations

  • China are building artifical islands, and stationing military

  • the nine-dash line

  • want to increase their economic exclusion line

  • importance

    • 30% of world trade

    • political power

    • natural resources; gas, oil and fish

  • other countries have claims over it too eg. Vietnam and Japan

Botswana

differential access to markets

  • left the LDC’s in 1994

  • valuable diamond and mineral reserves

    • 80% export income

  • tourism

  • reduced fertility rates and population increase

  • adopted modern technology

  • democratic leadership

  • literacy/school attendence = 90%

  • poverty reduced

  • invested in healthcare

Bananas

world trade in atleast one food commodity

key facts:

  • 4th most important food product

  • largest volume of food produced

  • India produce the most, but consume them

  • Ecuador is the worlds largest exporter

  • in a race to the bottom (moving to Africa)

  • USA and EU are largest importers of bananas

  • TNC’s in bananas; Chiquita and Del Monte

  • only grow in the tropics

The Banana Wars

  • the Caribbean was the largest exporters of bananas, however due to increased costs, many TNC’s moved to plantations in South America due to cheaper prices and less regulations

  • however the EU gave the Caribbean SDT and would buy a % of bananas from them

  • the USA TNC’s didnt like this as they could compete aswell in the EU, so they said they would ban imports of wine, cheese and whiskey from the EU

  • the EU didnt like this so stopped there SDT with the Caribbean

  • this lead to mass unemployment in the Caribbean, and lead to many farmers growing cannabis instead

  • however, many TNC’s now grow bananas in plantations in western Africa in the race to the bottom

Apple

the role of a TNC

  • 2nd largest IT company

  • 161,000 employees

  • spatial organisation

    • HQ- Silicon Valley, California

    • European HQ- Cork, Ireland

    • Manufacturing- by Foxcon, Shenzen

  • main growth in south-east Asia

  • Cork- IMac production, cloud data, customer care

    • SEZ

    • multiplier effect

    • fast growing economy

  • assembly in Shenzen (SEZ) and Taiwan

    • cheap labour

    • exploit laws

    • near materials

    • high skilled labour