Account For Some Of The Changes In Global Patterns Of Manufacturing
Account for some of the changes in global patterns of manufacturing (25 marks) JANUARY 2013
Globalisation is the process of integration throughout trade economic relations and finance. It is the process whereby the world is becoming increasingly connected due to a change on a worldwide scale. Globalisation has therefore been an important factor in how the global patterns of manufacturing have changed. Because of the spread of modern technology, people today can make changes in the natural environment at a much faster rate and much bigger scale than at any other time in history meaning that manufacturing has been continuously changing throughout the years.
The global economy has grown continuously over the past few years. Global growth has been accompanied by a change in the pattern of trade, which reflects ongoing changes in structure of the global economy. These changes include for example, the rise of regional trading blocs, deindustrialisation, increased TNC’s, the emergence NIC’s, etc.
One example of why changes have occurred within global patterns of manufacturing is due to NIC’s (newly industrialised countries). These are countries that started industrialisation in 1960’s/70’s. Singapore is an example of a first generation NIC which is a country that has undergone rapid and successful industrialisation. Since 1965, the development of Singapore has gone through three distinct phases which has caused its changes. The first phase occurred up to the mid 1970’s where the government was encouraging the export industry and also investment from TNC’s. The second phase happened in the late 1970’s with industrial restructuring. This included a shift from labour intensive industries to capital intensive industries leading to a wider product base. The final phase has occurred since the mid 1980’s. This phase emphasises on an economy shifted towards the service sector which means that services now account for 64% GDP and 27% manufacturing. This shows how over the
Globalisation is the process of integration throughout trade economic relations and finance. It is the process whereby the world is becoming increasingly connected due to a change on a worldwide scale. Globalisation has therefore been an important factor in how the global patterns of manufacturing have changed. Because of the spread of modern technology, people today can make changes in the natural environment at a much faster rate and much bigger scale than at any other time in history meaning that manufacturing has been continuously changing throughout the years.
The global economy has grown continuously over the past few years. Global growth has been accompanied by a change in the pattern of trade, which reflects ongoing changes in structure of the global economy. These changes include for example, the rise of regional trading blocs, deindustrialisation, increased TNC’s, the emergence NIC’s, etc.
One example of why changes have occurred within global patterns of manufacturing is due to NIC’s (newly industrialised countries). These are countries that started industrialisation in 1960’s/70’s. Singapore is an example of a first generation NIC which is a country that has undergone rapid and successful industrialisation. Since 1965, the development of Singapore has gone through three distinct phases which has caused its changes. The first phase occurred up to the mid 1970’s where the government was encouraging the export industry and also investment from TNC’s. The second phase happened in the late 1970’s with industrial restructuring. This included a shift from labour intensive industries to capital intensive industries leading to a wider product base. The final phase has occurred since the mid 1980’s. This phase emphasises on an economy shifted towards the service sector which means that services now account for 64% GDP and 27% manufacturing. This shows how over the