Definitions

What are Transnational Companies?

Transnational companies are businesses that operate in multiple countries around the world. They have offices, factories, or sales in different countries but are controlled from one main country. For example, McDonald’s is a transnational company because it has restaurants in many countries, but it is based in the USA.

What is Globalisation?

Globalisation is the process that makes the world more connected. It involves the movement of goods, services, information, and people across borders. For example, you can buy a phone made in China, use apps created in Silicon Valley, and listen to music from the UK—all from your home!

How Are We Connected to Other Places?

Let’s explore how our daily lives connect us to other countries:

Group Activity

  • Work in a group: Discuss how your everyday activities are linked to other countries.
  • Clothing labels: Check the labels on your clothes to see where they were made.
  • Food origins: Look in your fridge and cupboards to find out where your food comes from.
  • Life connections: Make a list of all the places around the world that have touched your life.

Questions

Easy Level Questions

  1. What is a transnational company?
  2. Name one example of a transnational company.
  3. What does globalisation mean?
  4. How are we connected to other countries in our daily lives?
  5. Where can you find the country of origin of your clothes?
  6. Why is it important to know where our food comes from?
  7. Can you name a product that comes from another country?
  8. What is one way to learn about globalisation?
  9. How many countries can you think of that might make your clothes?
  10. Why do you think many companies are transnational?

Medium Level Questions

  1. What are two reasons why companies want to operate in different countries?
  2. How does globalisation affect the prices of products?
  3. Name three products you own that are made in another country.
  4. What are some benefits of globalisation for consumers?
  5. Why do you think Apple is a symbol of globalisation?
  6. How does your mobile phone connect you to globalisation?
  7. What is one disadvantage of transnational companies for local businesses?
  8. Can you give an example of a food that comes from a different country?
  9. Why might a company choose to manufacture its products in China?
  10. How do transnational companies help create jobs in other countries?

Hard Level Questions

  1. What are the most important location factors for transnational companies?
  2. Identify three reasons why China has benefited from globalisation.
  3. Why is it important to research the countries of origin of transnational companies?
  4. What is the role of technology in globalisation?
  5. Describe how globalisation changes the way we think about culture.
  6. How do multinational companies impact the environment?
  7. What are the positive and negative factors about the Foxconn factory?
  8. How do the four elements of globalisation affect your life?
  9. Describe the significance of the Foxconn factory in the context of globalisation.
  10. Can you explain how social media connects us globally?

Answers and Explanations

  1. Transnational company: A business operating in many countries but controlled from one main location.
  2. Example: McDonald’s operates globally, with restaurants in various countries.
  3. Globalisation: The process of increasing connections between countries through trade, culture, and communication.
  4. Connections: We wear clothes made abroad, eat imported food, and use global technology.
  5. Clothing labels: They often show where the product was made, such as “Made in Bangladesh.”
  6. Food origins: Knowing where our food comes from helps us understand its journey and impact.
  7. Example of a product: Many electronics, like phones, are made in countries like China.
  8. Learning about globalisation: You can read articles, watch videos, or have discussions in class.
  9. Clothing countries: Countries like India, Vietnam, and Turkey are known for clothing production.
  10. Reasons for transnationality: Companies seek new markets, cheaper labour, and access to resources.
  11. Reasons for operating internationally: Companies want to reach larger markets and reduce production costs.
  12. Globalisation’s price effect: It can lower prices as companies find cheaper ways to produce and sell products.
  13. Three products: Phones, sports shoes, and electronics often come from other countries.
  14. Consumer benefits: Globalisation provides more choices and lower prices for consumers.
  15. Apple as a symbol: Apple represents innovation and global reach, with products sold worldwide.
  16. Mobile phone connection: Apps like WhatsApp and Instagram allow global communication and interaction.
  17. Disadvantage for locals: Local businesses may struggle to compete with larger multinational companies.
  18. Food example: Bananas are often imported from countries like Ecuador or Costa Rica.
  19. Manufacturing in China: Companies benefit from lower labour costs and established supply chains.
  20. Job creation: Transnational companies can provide employment opportunities in developing countries.
  21. Location factors: Key factors include access to markets, skilled labour, and infrastructure.
  22. China’s benefits: Globalisation has led to economic growth, job creation, and technology transfer.
  23. Research importance: Understanding the origins helps consumers make informed choices about products.
  24. Technology’s role: Advances in technology facilitate communication and trade across borders.
  25. Cultural changes: Globalisation promotes cultural exchange, but can also lead to cultural homogenisation.
  26. Environmental impact: Multinational companies can contribute to pollution and resource depletion.
  27. Foxconn factors: Positive factors include job creation; negatives include worker conditions and long hours.
  28. Globalisation elements: Elements like trade, technology, culture, and communication influence daily life.
  29. Foxconn significance: It exemplifies the global supply chain and the complexities of manufacturing.
  30. Social media’s role: Platforms like Facebook and Twitter connect people and ideas worldwide.

Feel free to use this guide to explore the concepts of transnational companies and globalisation in geography class. Remember, understanding how we are all connected can help us appreciate the world we live in!