Global Assembly Line O What example essay topic

THE GLOBAL ASSEMBLY LINE [ [ Human Geography Textbook: Chapter 12 ]] o What is the global assembly line? o What new patterns of industrial activity has it produced? o Why are Nike's made in China? o How has the new global assembly line affected local an THE GLOBAL ASSEMBLY LINE [ [ Human Geography Textbook: Chapter 12 ]] o What is the global assembly line? o What new patterns of industrial activity has it produced? o Why are Nike's made in China? o How has the new global assembly line affected local and regional societies, economies and environments? 1. Characteristics of the Global Assembly Line From Fordism (p. 350) to post-Fordism (p. 359) - see Table 12.1 on page 361. - increased locational flexibility in time and space. -from a spatially fixed to a spatially dispersed assembly line - is this the "end of geography"? no... An increasingly complex and interdependent system: Global scale spatial separation of manufacturing operations. - example: the "global" car. Increased global outsourcing of materials and components. - what is meant by "outsourcing"?

Global production chains - the integration of production. - "just in time" manufacturing on regional and global scales. - note the dominance of TNCs in controlling these chains. - "borderless" businesses and "stateless" organizations? 2. Spatial Shifts in the Production of Goods and Services Traditional Manufacturing Spaces: The G-7 and the OECD countries -- Western Europe, North America and Japan -- still dominate global production with 80% of world manufacturing production by value. The U. S, Japan and Germany account for 60%. But the W. European and N. American shares have been declining: the U.S. share declined from 40% in 1963 to 27% in 1994. This has resulted in the decline and abandonment of old industrial regions = rust belts. ( "de-industrialization" - see section 12.6) But also more recent manufacturing regions like Silicon Valley in California where the computer industry first developed, have experienced decline as production moved offshore to other regions.

New Economic Regions: - 1960's: rise of Japan, whose share of world manufacturing by value rose from 6% in 1963 to 24% in 1994. The biggest shift has been to the Newly Industrial Countries (N.I.C. s): - 1960-80's: South Korea, Taiwan, Singapore, Hong Kong - 1980's early 90's: Malaysia, Thailand, Indonesia, China. - 1990's to present: Brazil, Mexico, Philippines, India, Eastern Europe Overall we have seen the creation of new industrial zones and clusters of economic activity. - "new industrial spaces" (p. p. 368-370 in Human Geography) 3. What Drives the Global Assembly Line? (Why are Nike's made in China? - see box 12.6) Increased mobility of capital: massive increase in foreign direct investment. - see p. 330 box 11.7 in the textbook. The "new" and "newer" international divisions of labour. - what is meant by "division of labour"?

- Nike's international subcontracting networks. New technologies in materials and production systems. - can you think of examples of new technologies which would influence the globalisation of manufacturing? Changing government policies. - weakening labour laws (weakened "safety net") -the establishment of export production zones and maquiladoras. - Transportation and trade, especially the move towards global free trade. The Consumers' World (Read all of Chapter 14 in Human Geography) Is there a geography of consumption? Is there a global consumer culture?

How does consumerism relate to leisure and tourism? I. Consumer Society and Culture "The social production of false needs". A quote from Herbert Marcuse's book (1964) One-Dimensional Man. Marcuse believed that the products of consumer capitalism indoctrinate and manipulate society to promote a false consciousness of needs which become a way of life. He saw this as another form of totalitarianism which binds consumers to producers and uses the pleasures of consumer lifestyle as instruments of control and domination. Is this a profound threat to freedom and individuality? Do you agree with Marcuse's argument?

What arguments could you make against it? II. The Geography of Consumerism A. Local Consumer Spaces and Landscapes: - Consuming as a leisure activity. - Your neighbourhood = living space = consumption space. - Urban landscapes are consumed. How?

- The human geography of shopping malls: a) They are "planned" retail environments. -developed, designed and managed as a single unit. -tenancy and common areas are under private control. -dominated by national and international retail chains. b) Large suburban, planned malls emerged in the 1960's. -part of the private land development industry. -synergy of developers and major retail chains. c) The "hollowing-out" of many Cds. -especially along "main streets" of mid-sized towns. -the major retail chain store moves to a suburban mall. d) The privatization of public space. -the internal space is built to encourage consumption. -video cameras and guards = safety, but also monitoring -operated for profit, not as an open space for gathering. -the interaction of people is controlled. B. Global Dispersal of Consumer Culture: Is there a global consumer culture? (read the argument on pp. 407-414 of Human Geography) What does "indigenization" mean? How is it different from the concept "homogenization"? The symbols of consumer culture may spread globally... Coca-Cola, McDonalds, Microsoft, Marlboro, etc... but the meaning of these symbols changes in each new context. They may even seem exotic.

Each symbol is incorporated into the local (indigenous) culture differently in different places (at different times). see the discussion of McDonalds on pp. 411-412 If the values of the consumer society are becoming adopted in more and more places around the world... does this jeopardize the prospects for "environmentally sustainable development"? The Global Tourism Industry Tourism, especially mass tourism is a good example of the globalization of consumer culture in two ways: -it involves consumption by tourists of goods and services on a global scale (many places in many countries). -it plays a significant role in spreading the values and the material expressions of consumer culture around the world. A. The Rise of the Leisure Industry: The fastest growing sector of the global economy. Sub-sectors include: Entertainment, shopping, fashion, travel, sports Factors contributing to its emergence: growth of leisure time and expectations increased real incomes demographic and social change changes in the nature of work affluent retirement the marketing of leisure B. The Rise of Global Tourism: Increased demand for tourism... emergence of leisure culture escapism, desire to be elsewhere desire for travel, to experience other places education, to learn about other places business travel Increased supply of tourism opportunities... transportation revolution economic development policies tour companies, travel agents airlines and cruise lines hotel and resort chains travel credit plans - "Air Miles" foreign direct investment in tourism marketing of tourist destinations C. Where Do the Tourists Go? Dominance of W. Europe and N. America as both a source of tourists and a tourist destination... however, the LDCs are increasingly popular. Tourist visitors to the Caribbean: 1959: 1.5 million 1965: 2.5 million 1970: 4.25 million 1991: 11.65 million (excluding cruise arrivals) Since 1985, this is an annual rate of increase of 7%, compared with the world average of 5.8%. D. What are the Tourists Looking For?

The mass tourist experience: sun, sea and sand - the winter getaway, heliotropic landscape entertainment - resorts, casinos sports - golf, skiing, watersports shopping the "complete" package - enclaves, cruises The selective experience: scenery - the tourist gaze history and heritage - the nostalgia industry culture - art, architecture, folk tradition environment - ecotourism adventure - trekking, rafting sex E. Problems Associated With Tourism: The "invasion" syndrome. Tourism as a questionable basis for development: a) economic concerns -Appropriation of local business, property and employment to serve the needs of tourists. -Fabrication of a new, externally dependent sector that does not serve local needs. -Exploitation of the local labour force with low wage, gender discrimination and underemployment.

-Com modifying basic needs, e.g. supermarkets and fast-food. b) environmental concerns -Appropriating scenic areas, e.g. parks and coasts -Fabricating tourist environments: hotels, resorts, golf courses, theme parks = reshaping the physical and cultural landscapes. -Exploiting and degrading natural resources: loss of agricultural land, coastal erosion, animal habitat destruction, water depletion and pollution. F. The Commodification of Nature: Ecotourism Safari parks Nature reserves Is this a trend to be hopeful about? or is it an extension of past practices, marketed in a new way? Can tourism help to promote environmentally sustainable development? Uneven Development, Marginalization and Poverty o What is 'development'? o Why is it globally uneven? o Does the Third World exist? o What are the obstacles to sustainable and equitable development? I. The Meaning of "Development" Evidence suggests that, despite recent increases in rates of global economic growth, the gap between rich and poor countries, regions and people persists and even shows signs of widening. See: 2003 UN "Report on the World Social Situation" web Canada, Income changes, 1989-99 Highest fifth: +6.6% ($96,175) Middle fifth: - 1.0% ($44,019) Lowest fifth: - 5.2% ($17,662) In 1998 the top 20% received $5.40 for every dollar that went to the bottom 20% = increase from $4.80 in 1994.

Global trends Since 1960, the start of the first United Nations Development Decade, disparities in global wealth distribution have doubled. By 1999, wealthiest fifth of the world population controlled: 86% of world income (GNP), 82% of world export markets, 68% of FDI, and 74% of the world's phone lines. The lowest fifth had 1% of world income. In 1960: the top 20% of countries had 30 times the average incomes of the poorest 20%. By 1995 this had risen to 82 times. Increasing GDP in Latin America, but roughly same % living in poverty.

A definition of development Wealth is distributed throughout the population, is increasing faster than population growth, is creating capital which is invested in infrastructure, both public and private, which stimulates social and economic improvements. Sustainable development "Development which meets the needs of the present without compromising the ability of future generations to meet their own needs". (UN Commission on Environment and Development, 1984) This embodies concepts of: o basic needs, and o limitations on present and future carrying capacity of the environment, i.e. limits to growth. II.

Measurements of Disparity and Development A. Financial o Gross National (domestic) Product - crude and per capita. What are the problems with this as a measure of wealth? Overall GDP in any country may increase, but this masks disparities between regions, sectors, families and individuals. o Distribution of income and wealth: e.g. the Gini Coefficient of Disparity 0 = perfect equality 1 = perfect inequality If you " re particularly interested in the inequality issue go to this part of the World Bank website: web Gini coefficients: Canada 1989: total income 0.329 after tax income 0.292 1994: total 0.334 (+1.4%) after tax 0.292 (0%) 1998: total 0.357 (+ 6.4%) after tax 0.315 (+ 7.3%) Gini coefficients: Mexico 1984: total 0.491 1994: total 0.549 (+11.8%) Can you think of any weaknesses in this method of measuring income inequality? What about looking at poverty levels?

For Canadian poverty rates, see the Canadian Council on Social Development website: web What are the problems of using poverty levels to measure disparities in levels of living? For Developing countries we can use foreign debt ratio. Measured as % of GDP - over 200% in poorest countries. What are the limitations of using income levels and distributions as indicators of levels of development? B. Social Education and literacy -Ratio of teachers to students -Percent who complete various grade levels -Percent who can read and write Health and Welfare -Nutrition -Infant Mortality -Medical Services Employment -Unemployment levels -Working conditions, e.g. child labour C. Infrastructure Sanitation, Roads, Housing, Telecommunications e.g. Haiti: average per capita income = $250 per annum, cell phone = $550 plus $20/month. OECD countries have 16% of the world population but 91% of the internet users. D. United Nations Human Development Index Combines several measures of development: - Life expectancy at birth - Adjusted GDP / capita - Knowledge (literacy and education) .

Concentrations of Wealth and Spreads of Poverty o Structural - concentrations of wealth in high tech industry; spreads of poverty in agriculture. - concentrations of wealth in the hands of owners of capital and investors; spreads of poverty amongst workers. o Urban / rural - metropolitan affluence, rural poverty o Cores and Peripheries - wealth at the centre, poverty around the edges o Marginal Regions and Places - the places left behind - degraded environments IV. Defining the "Spaces" of Development ( (Read pp. 275-279 in the "Human Geography" textbook) ) There are problems with the concept: "the Third World". The arbitrariness of the North-South division - The Brandt Line. The idea of two distinct worlds -- developed and underdeveloped -- is based on neo-colonial attitudes and western values of development. Are these concepts out-dated now because of globalization? V. Theories of Development ( (Read pp. 280-283 in the "Human Geography" textbook) ) 2 schools of thought (paradigms): Modernization theory and Dependency theory What are the main differences between these 2 schools of thought? Which approach would you support and why?

VI. Globalization and Uneven Development development occurs wherever investment yields the highest return. capital is invested unevenly in time and space. wealth concentrates in major capital centres: the world cities. As a result, flexibility of the system on a global scale in time and space causes shifts in locations of development. VII.

Conclusion How do the main elements of globalization that we have studied in the course cause uneven development and increased disparity? The Global Supermarket e.g. declining farm incomes shift from local food production to export production Global Assembly Line e.g. maquiladoras and sweatshops economic power of TNCs Global Tourism e.g. dependency on foreign investment vulnerability to global economic conditions labour exploitation The New World Order e.g. World Bank and IMF: structural adjustment programmes and debt. Free trade (WTO) and downward harmonization Power of G-7 The New World Order (read pp. 444-453 and Chapter 16 in Human Geography) Is there a new world order? What are its main institutions?

Who controls it? What are its underlying ideologies? U.S. President George Bush, Sr. - Sept. 17, 1990: "Out of these troubled times... a new world order can emerge; a new era - free from the threat of terror, stronger in the pursuit of justice, and more secure in the quest for peace; an era in which the nations of the world, east and West, North and South, can prosper and live in harmony". I. Geography of the Cold War, 1949-1989 (read pp. 444-448 in the textbook) Capitalist "West" vs. Communist "East" U.S.A. vs. U.S.S.R. Contrasting socio-economic systems: private vs. public ownership of the means of production. Global scale nuclear military stand-off: Mutually Assured Destruction (M.A.D.) The "Iron Curtain" in Europe... therefore a "cold" war between 2 superpowers But... also, "hot" zones of containment: These are located in the "3rd World" Examples: Korea, Cuba, Vietnam... the "domino effect" metaphor of geo-politics II.

A New Global Political Economy 1989: Collapse of the Soviet Bloc, end of the Cold War New power relations: one superpower (the U.S.A. and its "satellites" - N.A.T.O. and the U.N.) Breakdown of the last barriers to the global economy: now there is more and freer international commerce shifts in trade patterns - U.S.A. is the world's market But... does the Cold War continue in Asia? (see p. 450) . Institutions of the New World Order A. Dominance of Nation-States: Issues of sovereignty and independence. How are nations perceived / imagined ? - race, religion - they identify a common history - they represent an ideal social form Are there nations without (place) states? (see Box 16.1 on p. 457) B. Sub-State Threats to this Dominance: Nationalist movements (see Box 16.2 on p. 464) Ethno-religious factionalism Decline of central planning and state intervention "Privatisation" of public institutions De-regulation of "free" enterprise C. Supra-State Threats: Political institutions and relations: NATO, UN, EU Economic institutions and activities: World Bank and I.M.F., World Trade Org., N.A.F.T.A., O.E.C.D., O.P.E.C., TNCs... The global media: C.N.N., B.B.C., Al-Jazeera... International non-governmental organisations: Greenpeace, Amnesty Int'l., labour unions... IV.

Control of the New World Order A. "The Establishment": Trans-national corporations Nation-states working together: G-8, E.U., U.N. Security Council Financial institutions, investor organizations The U.S. military: Technological dominance Why attack Iraq B. "The Anti-Establishment": NGOs: environmental, human rights, anti-poverty The anti-globalization movement: Anarchists, union members, feminists... Seattle, Quebec City "fence", Montreal... Canadians: N. Klein, M. Barlow, J. Singh... V. The Underlying Ideologies in Conflict Neo-liberal: the global free market, wealth "trickles" Social democratic: interdependence Marxist: global capitalism vs. international socialism Also: Green: the global commons, universal stewardship (true) Anarchist: "smaller communities are better" Self-determination and human rights, respect diversity Is there a "Cyber-ideology"? ... freedom of information Is there really a "clash of civilizations"?