Answer to Question #238903 in English for aira

Question

1.What effect does a Global City have on globalization? Choose at least two (2) reasons and quickly explain them.

Answer 1

The rise of global cities has been linked with two globalization-related trends: first, the expansion of the role of transnational corporations in global production patterns and, second, the decline of mass production along Fordist lines and the concomitant rise of flexible production centered within urban areas. These two trends explain the emergence of networks of certain cities serving the financial and service requirements of TNCs while other cities suffer the consequences of deindustrialization and fail to become “global.” Global cities are those that therefore become effective command-and-coordination posts for TNCs within a globalizing world economy. Such cities have also assumed a governance role at the local scale and within wider configurations of what some commentators have termed the “localization” of state institutions. This refers to processes in which certain national state functions of organization and administration have been devolved to the local scale. An example of this would be London. Since the 1980s London has consolidated its position as a global banking and financial center, de-linked from the national economy.