GEOG 332 Study Guide - Final Guide: Foreign Direct Investment, High High, Tacit Knowledge
19 Dec 2016
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Dicken"s 5 arguments about globalization: the world is not flat, the world is not borderless, global corporations do not rule the world, globalization is not always good, globalization is not always bad. Old globalization: before 1914, all trades were done in an arms length style with shallow integration. New globalization: after 1914, gpns become more apparent and tncs start to grow in numbers; trade has become more complex with deeper integration. Business functions of tncs and how they are geographically dispersed. Tncs focus on coordination and control, research and development, marketing and sales, and production. (they care more about making a profit than stimulating the economy along with maximizing shareholder value) Sourcing information/material directly in one place and transforming it in a different location these firms shape economies by determining where and where not to work. Labor and wages are a main factor for why tncs want to be flexible because these differ geographically.
