In it joined an agreement with the Japanese toy company Bandai Japans largest and in with Disney. Wages in India and China are 50p per hour 5. Why do they exist? Disney operates a just-in time prodution which means they can wait to see the success of a film before production starts, demands fast turn arounds and can outsource, also means products are cheaper however overseas workers are exploited and may use toxic products ban in the USA. On the other hand Wall-Mart donates hundreds of millions to improving the environment and health in its host countries. However, many jobs are poorly paid with few benefits e. Local companies suffer as they cant compete with Wall-Marts low prices or the range of products, again causing local businesses to shut down.
Over 48, stores overseas 3. The Emergence of a Global Culture. Locate within groupings Search for new markets Search for resources Search for new labour and shift Quaternary sector development Develop economies of scale Growth of TNC’s is a result of: Empolyees , people plus suppliers over 50 countries Started as a small animation studio in California in s Expanded in the s by taking advantage of the satellite and communications revolution. It is estimated that every jobs created 50 local retail jobs are lost over the next 5 years. The Wall-Mart brand is starting to emerge in NIC markets such as India as they have large new markets indicated by the increase in spending power and purchase of consumer goods in recent years.
The Emergence of a Global Culture. Local companies and farmers supply goods e.
Disney Neocolonisation Cultural TNC Case Study
Branding and marketing – many TNCs such as Coca Cola rely heavily on branding which causes a company to become global overnight. Stages of transnational growth To be updated As well as competition, search for skilled, cheap labour.
Wall-mart is a global brand but it varies locally as stores take over local stores, some things remain the same such as George, the clothing suppliers that supply both ASDA and Wall-Mart stores. Knowledge and innovation – TNCs have year of accumulated knowledge needed to run certain industries which a small company would not possess.
Wall-mart provides a wide choice of goods. Why many NIC emerged recently. However, many jobs are poorly paid with few benefits e.
Local companies suffer as they cant compete with Wall-Marts low prices or the range of products, again causing local businesses to shut down.
It offers a more reliable wage in poorer countries over for example subsistence farming.
By Expansion Where a company grows because of the popularity of its product 2. However it has been accused of forcing suppliers to except low prices. Emergence of cheaper labour markets – emerging Asia and NICs keep competition high and therefore product must be produced egography teh lowest price possible.
Wall-Mart have and an Indian company are together opening a company called Bharti Enterprises and opening retail outlets in the style of Wall-Mart. Disney owns Spanish speaking radio statons, foreign language TV channels and a Chinese-language radio station un Hong Kong.
In time, this leads to environmental degradation. Chevron Shudy lobbies on all energy issues, including opening up the Arctic National Wildlife Refuge in Alaska for oil drilling.
BP has been working on producing biofuels sgudy reduce dependence on oil and provide a number of new jobs for farmers and other individuals. Why do they exist? Merger with Samsung TNC.
Disney Neocolonisation Cultural TNC Case Study – Document in A Level and IB Geography
Economies of scale – any industries can only be tapped into by the largest firms e. The headquarters of Wall-Mart are still in Arkansas but it dives its labour force across different countries, however most manufacturing is carried out where costs are lower for example the electronics goods are made in China and clothing in India.
Where a company takes over rivals who are making the same product to increase market share. In Hawaii the largest Wal-Mart store is m square. Following protests of the age of the workers in these cheap labour nations Mattel has a principle that it will not employ workers under the age of 16 and complies with any local laws that may be higher than this.
Reasons for growth Growth follows rate of globalisation. Where companires take over other companies to broaden their product range. AS Geography – Going Global.
TNC’s | geography case studies
Sign up to Comment. However, again working conditions may be poor suppliers have long working hours as they are often unregulated without workers unions. Stores in Japan, China and India 2. Those stuffing toys sufferef skin allergies and sore throats from inhaling fine particles from the stuffing. In Beximco in Bangladesh a clothing supplier Wal-Mart has a 60 hour a week maximum although it is claimed that employees work up to 80 hours per week.
Wall-Mart helps to accelerate globalisation by linking countries together through flow of money, people, trade and information.