World Cities Hsc Geography
Demonstrate why World Cities are powerful centres of economic and cultural authority.
World cities have become the command centres of the ever increasingly globalised world economy. These cities are highly equipped with the most advanced communication technologies and consequently play the lead role in organising the concentration and accumulation of world capital, as well as being the preferred location for specialised service firms such as accounting and law. This can be observed through the large number of TNC headquarters located in world cities. Consequently, world cities have gained a large amount of economic authority. Furthermore, due to their ability to generate and spread ideas, values and influence specific cultural processes world cities have also gained cultural authority. This is through having strong media outlets and many tourist attractions. New York and London are prime examples of world cities with economic and cultural authority.
One of the main reasons for world cities having such economic authority is due to large concentration of TNC headquarters in these cities. For example, London has 220 headquarters of UK’s top 500 companies such as two of the world largest banks HSBC and Barclays. These TNCs conduct lots of business internationally generating vast amounts of revenue and consequently have a large amount of power and influence. The fact that world cities also have strong communications and transport technologies help to allow these TNCs conduct business so efficiently. For example New York’s John F Kennedy Airport has the most international traffic in the U.S allowing for greater mobility of human capital. World cities also have large markets for a vast range in goods and services. For example the economy of New York generated $1.28 trillion is 2010, and while most of this was from the financial and insurance industries, there has been significant growth in N.Y’s creative industries such as new media and advertising. Similarly, London
World cities have become the command centres of the ever increasingly globalised world economy. These cities are highly equipped with the most advanced communication technologies and consequently play the lead role in organising the concentration and accumulation of world capital, as well as being the preferred location for specialised service firms such as accounting and law. This can be observed through the large number of TNC headquarters located in world cities. Consequently, world cities have gained a large amount of economic authority. Furthermore, due to their ability to generate and spread ideas, values and influence specific cultural processes world cities have also gained cultural authority. This is through having strong media outlets and many tourist attractions. New York and London are prime examples of world cities with economic and cultural authority.
One of the main reasons for world cities having such economic authority is due to large concentration of TNC headquarters in these cities. For example, London has 220 headquarters of UK’s top 500 companies such as two of the world largest banks HSBC and Barclays. These TNCs conduct lots of business internationally generating vast amounts of revenue and consequently have a large amount of power and influence. The fact that world cities also have strong communications and transport technologies help to allow these TNCs conduct business so efficiently. For example New York’s John F Kennedy Airport has the most international traffic in the U.S allowing for greater mobility of human capital. World cities also have large markets for a vast range in goods and services. For example the economy of New York generated $1.28 trillion is 2010, and while most of this was from the financial and insurance industries, there has been significant growth in N.Y’s creative industries such as new media and advertising. Similarly, London