Key Terms
The transportation of goods in standard sized storage crates or canisters.
What is containerization?
A process that involves countries reducing or removing trade barriers, such as tariffs and quotas, so goods and services can move around the world more freely.
What is trade liberalization?
A general agreement.
What is consensus?
An often economic penalty, such as a trade boycott, to add more pressure to governments to follow certain rules.
What are sanctions?
A tax imposed by governments on imported goods and services to make goods less desirable to domestic consumers. It is meant to restrict trade.
What is a tariff?
Reducing costs by using suppliers in countries where labour is cheaper and government regulation may be less strict.
What is outsourcing?
The trade that occurs when two or more countries eliminate tariffs and taxes on the goods and services they trade with one another.
What is free trade?
When two or more unrelated entities combine in a single system such entities include: cellphones, television, radio, social media and the internet
What is technological convergence?
Commercial transactions conducted online.
What is e-commerce?
Transportation has evolved rapidly as the global economy has become increasingly connected due to this technology.
What is containerization?
A plant location in Mexico on the border that takes resources and makes them a little bit better.
What is the Maquiladoras?
This tool allows people to see and access events, and see other's reactions to them, around the globe in real time.
What is social media?
Established in 1995 to increase international trade and has approximately 164 member states. Settles trade disputes and is supported by consensus decision making.
What is the World Trade Organization?
A free trade agreement between Canada, the United States and Mexico from 1989 to June 30, 2020.
What is NAFTA (North American Free Trade Agreement)?
North American free trade agreement after June 30, 2020.
What is USMCA or CUSMA?
What is the European Union?
A company controlled by a holding company.
What are subsidiaries?
An organization that owns or controls production of goods or services in at least one country other than its home country.
What is a transnational company?
The title of this chapter.
Chapter 12: Expanding Globalization?
When country A can make a towel for 10$ and Country B can make a towel for 8$ so the government of Country A charges 10$ for Country B's towel - the government is imposing this penalty.
What is a tariff?
The benefits of this practice include: Access to more workers, lower labour costs, things get done faster and manufacturing can be done around the clock.
What is outsourcing?
The advantages of this process include: more free trade, decreased cost to consumers, more competition for domestic companies and opportunities for educated nations to adapt and change with the economy.
What is trade liberalization?
The downside to these include: limiting the types of products available, more fighting between countries, and an increase to the prices of many goods.
What are tariffs?
Disney, CBS, NBC and AMC are all TV networks and this kind of corporation.
What is transnational?
Today, goods and services are flowing more frequently between developing countries including: South Korea, China, Malaysia, India and Mexico. The globalization of trade has been changing since at least 1970. These changes are called.
What are reshaping patterns?