Industrial Location and
Globalization of Enterprise
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Geography: Meet the Profs
Seminar Allocation
Review
Questions
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Changing Global Map
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Global shifts in production and trade
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Student analysis of empirical data!
Foreign Direct Investment
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More student analysis of empirical data
Beef
Name
Boylan, Tyson R.
Evans, Richard J.
Friio, Erin B.
Gilbride, Neill A.
Hagen, Richard P.
Han, Qiang X.
Newman, Kenneth
D.
Platt, Clark C.
Soup, Janetta M.
Stupple, Geoffrey W.
Thomas, Grant A.
Textiles
Auto-
Semicon
Fin.
DistribSvcs
ution
7 Surprises (p. 45)
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Rise of Japan to #2 and #3
Continued dominance of the USA
NIE/NIC export performance in manufactures
Rapid development in China
Weak performance in Latin America and subsaharan Africa
‘Transitional economies’ of C-E Europe is a
new category, …too early to tell
Foreign Direct Investment
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Production, trade, investment as indicators
…of globalization
Investment:
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spending on capital goods to increase
productive capacity and earn a return
any purchase of an asset to increase future
income
Foreign Investment
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Purchase by non-residents of assets
capable of yielding a return
Short or long term
Portfolio investment in stocks and bonds
Direct investment in shares or productive
assets to own or operate a business
FDI
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Foreign Direct Investment (FDI-DFI)
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Direct investment by one firm in another to gain
a degree of control over that firm’s operations
(p. 51)
‘across national boundaries’ vs ‘non-residents’
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Acquisition of controlling interest in a firm
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mergers and acquisitions
Establish a branch or subsidiary in another country
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Building new facilities (greenfield investment)
Measuring Investment
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Stocks
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Capital stock at market cost OR
Capital stock less accumulated depreciation
Flows:
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Inward flows
Outward flows
Macro-scale
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National scale data
Geographers explore other scales too!
Macro: global triad EU, US, East and SE Asia
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85% or world mfg output
81% of world mdse exports
Growing concentration
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East Asia
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29% and 26%
Micro-scale
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A ‘fine-grained mosaic’
Economic activity is grounded in space
Urban areas
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Dense web of economic activity
Labour market
Daily Urban System: city and functional region
Perrouxian Growth Poles: China’s SEZs
Meso-scale
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Corridors and axes
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Gigantic Conurbations
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Megalopolis
Conceptions of the core of Europe
Regional scale economic zones
Jabotabek
Border zone (s)
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Maquiladora zone along U.S. Mexico border