Class Notes (807,235)
Canada (492,664)
O' Briem (12)

2J03 - feb 2 2012.docx

4 Pages
Unlock Document

McMaster University
Political Science
O' Briem

Global Political Economy 2J03 February 2 2012Lecture9 Development I Globalization of ProductionStructural factors mentioned earlierPolitical Decisions From last time o Post 1945 liberal hegemony o US and UK liberalization of finance encouraged people to invest across state boarders moving how much money in one time serious of protection barriers taken down for foreign investment to flowo 3rd World industrialization strategies Trying to chase foreign investmentRecently EPZs Export Process Zones different form of regulation such as giving any company who settles there a tax holiday reduced level of taxation banning trade unions no environmental unions designed to attract foreign investment China special economic zones successfulGlobalization of production Development II Changing Organizational PrinciplesWay things are being made and have been made implication for foreign investment1 Reducing transaction cost through vertical integration integrating whole production process in one company if you can do that it reduces the cost of your business from continually buying from other business meaning you dont have to pay other companies for those goods Company owning from begging to the end of process2 Fordism to PostFordismo Mass production to product innovation Everything made the same very mechanicalpost fordism production is arranged so that you are able to give much more options for those buying constant product innovation switching production processes quite quickly o Sub contracting instead of everything being made in factory you sub contract out to other factorieso JIT favours regional production just in time production systems instead of working way through you have supplies coming into the factory as you are using them regional production clustering of certain kind of industrieso Labour vs quality and knowledge what labour force do you need JIT non unionized people working in teamsMergersAcquisitions Partnerships In 1999 over 80 of FDI Foreign Direct InvestmentBuying company that is there and mergingHow much employment is created by that kind of investment Making new jobs taking away making more efficient
More Less

Related notes for POLSCI 2J03

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.