SS content chapter 8 and 9 notes

Chapter 8 Chapter 8 notes: Chapter 8_What does it mean to live in a globalised world.pdf What is globalisation? ● Connections between different countries made possible through technology - Economic connections [Buying products from other countries] - Cultural connections [Communicating / friendships across different countries] ● Example: Apple Inc. - Designed in the US, different parts procured from all over the world are assembled in China - If iPhones don’t sell well, Sales and profit of apple inc will drop Workers who extract raw materials that are used to produce components of iPhones will lose their jobs Retail shops will lose a huge source of revenue - Apple depends on other countries for cheap labour and manufacturing costs + selling - Other countries depend on apple for income and jobs - Fulfills the concept of interdependence ● Example: Starbucks - Starbucks supply chain connects producers and consumers around the world - Brings together experts and local farmers to transfer knowledge - Brings new technology (transport and to countries along its supply chain) - Connects consumers around the world through common cafe experiences ● Globalisation is the connection of different parts of the world that leads to expansion of international cultural and economic activities - Interdependence on other countries as well Multinational Corporations [e.g. starbucks, mcdonalds, google, meta ai] ● Large companies that operate in various countries ● May have subsidiaries(parent and sub company relationship) or acquire other companies ● They drive globalisation through supply chains that are global in scope - Supply chain is a network of individuals and companies who are involved in creating a product and delivering it to the customer ● The global span of MNCs’ operations results in the movement of people, goods and services across the globe. ● MNCs may choose to operate in different countries due to advantages such as a more affordable supply of raw materials or labour and the right skills at a lower cost.

● When MNCs set up subsidiaries in other countries, they increase the interconnections between people, activities and goods throughout the world. At the same time, they facilitate the exchange of ideas between countries. Relationship between Small Medium Enterprises (SME) and MNCs ● Example: - Google taught the Fotohub and upskilled their digital skills with advice and help to better manage their site and reach a wider audience through advertisements, improving their online ordering process and reviews - Impact: 94% increas