HSC Geo Topic 2 World Cities PDF

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Full HSC Geo Notes on Topic 2 World Cities. Band 6 Quality. Covers examples such as New York...

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HSC Geo Topic 2 World Cities World Cities Dot Point 1: Nature, Character and Spatial Distribution Nature refers to processes which shaped it Character refers to what it looks like or has Spatial Distribution refers to location spread What is a world city?  A world city is a city that has global and national significance  A large city that has outstripped its national urban network and become part of an international global system  As globalisation progresses, the roles of large cities has increased: industrial producers and markers, financial service providers, businesses services and telecommunication providers 3 Major world cities are London, New York and Tokyo - these can exercise the strongest global control Urbanisation  Increase in the % of people living in urban areas  Urban growth is the change in size of an urban centre over a period of time  Urbanisation fastest in developing countries  Due to push and pull factors Push

Pull

Lack of people in rural Hygiene/Pollution/Bad environment Lack of facilities Natural Disasters

Jobs in urban areas Healthcare is better Better schooling More connected with world

Definition World cities are large cities that have outstripped the national urban network and become part of an international global system ; a centre of world trade and communications; a leader in banking and finance; a host of entertainment and sporting spectacle; a HQ of non government agencies and a major tourist attraction. World cities are the command and control centres in the borderless domain of the new global economy Nature     

Product of economic and cultural globalisation Run the global economy; host decision makers TNCs typically have their HQ or functional hub within world cities; transnational forces which drive global economy concentrate in certain world cities Cultural homegenisation associated with globalisation creates cities with tightly linked networks of people , transport, ideas and capital World cities are those most closely intertwined and act as nodes and sites of control in the global economy are world cities

Global Urbanisation Trends Has occurred across globe Almost all of North America is expected to be urbanised by 2030, in 2017 it was 82% urbanised Europe, Asia and South America are expected to be significantly urbanised by 2030. Europe was 73% urbanised in 2017 Africa is also expected to start to urbanise, however at a much slower rate

Factors Affecting Globalisation  Technological development in transport and communications  A move away from protectionist economic polices (often referred to as trade liberalisation)  The deregulisation of financial markets  The emergence of new, information-based forms of economic activity- new economy  The emergence of new ways of organising economic enterprises o Eg: Outsourcing of business-related services and key stages of manufacturing process  The emergence of transnational corporations (TNCs) as key players in the global economy  The emergence of a global market for lifestyle-related commodities, erected, at least in part, by the processes of cultural integration and development Character  Dominance and Dependence  Often have high tertiary sector employees  Portray economic and cultural dominance  Economic authority: o WCs are command and control nodes in the global economy o House many TNC HQs, also house political HQs o Act as centres for business services such as advertising, legal advice and banking. Also act as site for commodities market  Cultural authority: o Sites of prestigious and distinctive lifestyle o Associated with outstanding medical, education and research facilities o Contain good transport networks keeping cities well connected o Cities show wide range of tourist attractions and have infrastructure to hold major sporting and entertainment events.e

Characteristics include the following:  Most of the leading global markets for commodities, investment capital, foreign exchange, equities (shares) and bonds  Clusters of advanced business services, especially those dealing in finance, insurance, real estate, accountancy and marketing  Concentrations of corporate headquarters- not just transnational corporations but also major national firms and large foreign firms  Concentrations of national and international headquarters of trade and professional associations  Most of the leading NGOs and intergovernmental organisations (IGOs) chat are international in scope; for example, the United Nations (UN) is based in New York, United Nations Education, Science and Cultural Organisation (UNESCO) in Paris, and the International Labour Organisation (!LO) and World Health Organization (WHO) in Geneva  The most powerful and internationally influential media organisations (newspapers, magazines, book publishing and cable television networks), news and information services and cultural industries (including art and design, fashion, film and television)  World leading educational institutions, research institutes and think tanks, which act as centres of new ideas and innovation in business, economics, culture and politics  Corporations that dominate the economy and trade of a large surrounding area.

Spatial Distribution  WCs split into 3 distinctive regions o Americas (North America and Latin America) - major world city is New York, smaller WCs include Miami o EAME - Europe, Africa and Middle East - major world city is London, smaller ones include Paris, Brussels and Johannesburg o Asia and Oceania - North East Asia, South East Asia, Australia and other oceanic nations major world cities include Tokyo, Honk Kong, Singapore, Sydney  WCs found mainly in Northern Hemisphere

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Most tend to be coastal cities, or found relatively close to a reliable source of water, such as lakes, the ocean or rivers o Eg: London along Thames River and New York along Hudson River Mainly also in developed nations

GaWC Globalisation and World Cities Research Network Developed classification system that measures interconnectedness of cities. They use terms such as alpha, beta and gamma to classify the extent in which cities are integrated into the global economy Classification: Alpha ++ - Vastly more integrated into the global economy than all other cities Eg. NYC and London Alpha + - Those which complement NYC and London by filling advanced service niches for the global economy Eg. Dubai Alpha and Alpha- - Cities that link major economic regions into the global economy Eg. Sydney (A) and Miami (A-) Beta Cities - Link moderate economic regions into the global economy Eg. Auckland (B+) Brisbane (B) Manchester (B-) Gamma Cities - Link smaller economic regions into the global economy Eg. Detroit (G+) Phoenix (G) Orlando (G-) Social Restructuring: Occurs as WCs change to centres of technology, services and finance. Socioeconomic divide widens since the middle secondary industries move away Spatial Restructuring: As the focus on technology and finance increases, CBD becomes even more important. Restructuring of previous industrial inner-city suburbs into desirable living Social and spatial restructuring the major cities of the developed world in an outcome of economic globalisation    

First urban societies are becoming more polarised in terms of wealth and poverty. Greatly enhanced living standards of executives in globalised industries increasingly reflects global demand of salaries. Meanwhile, the industrial workforce is experiencing declining living standards and job losses. Middle class tends to divide into a deskilled, lower middle class (working in low-paid, service sector jobs) and a much better, multiskilled, upper middle class (eg. IT industry workers)

Dot Point 2: Role of World Cities Economic Authority 

Stock exchanges Major stock exchanges are all located in major world cities, particularly those with large populations within their country or continent o Top 10 stock exchanges: 1. New York Stock Exchange 2. NASDAQ OMX 3. Tokyo Stock Exchange 4. London Stock Exchange 5. Shanghai Stock Exchange 6. Hong Kong Stock Exchange 7. Toronto Stock Exchange 8. BM&F Bovespa 9. Australian Securities Exchange 10. Duetsche Börse

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Banking o o

World cities tend to hold the HQ for major banks, especially for their country's main national bank(s) Top banks Rank

Bank

HQ

1

Industrial & Commercial Bank of China

Beijing, China

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2

China Construction Bank Corp

Beijing, China

3

Agricultural Bank of China

Beijing, China

4

Bank of China

Beijing, China

5

HSBC Holdings

London, UK

Advertising Agencies o Dentsu - Japanese - HQ in Minato, Tokyo, Japan o BBDO- NYC HQ - Part of Omnicom o DDB - NYC HQ - Part of Omnicom o TBWA - NYC HQ - Part of Omnicom o McCANN - USA HQ - Part of Omnicom Omnicom Group Inc. is an American global media, marketing and corporate communications holding company, headquartered in New York City. Omnicom's branded networks and specialty firms provide services in four disciplines: advertising, customer relationship management, public relations and specialty services.

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NGOs o o o

1. 2. 3.  o o o

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Non-Government Organisations (NGOs) are organisations spanning across the globe They are often large organisations which don’t have loyalties to any countries Main NGOs include: UN - HQ - NYC (Int. Territory) Amnesty International - HQ - WC1, London, UK Unicef - HQ - NYC

Shopping Districts Shopping district value is based on the terms of property rental Dominance of world city and cost of property rental typically have distinctly proportional relationship Top 10 shopping districts are: Rank '18 Rank '17 Country

City

USD /sq ft. / year (Based on second quarter of 2018)

1

2

Hong Kong

Hong Kong

2671

2

1

USA

New York

2250

3

3

UK

London

1744

4

5

France

Paris

1519

5

4

Italy

Milan

1466

6

6

Japan

Tokyo

1219

7

7

Australia

Sydney

964

8

8

South Korea

Seoul

908

9

9

Switzerland

Zurich

854

10

10

Austria

Vienna

515

Airports Airports are the main transit points for most cities World city airports host thousands of travelers on a daily basis Cities are in constant need of more airports due to the ever growing number of travelers Airports boost economic authority by allowing trade and imports to enter the city, allowing economic partnership to be made overseas. Airports greatly allow economic growth and opportunity

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Enhance cultural authority by allowing thousands of tourists in each year to access the city and explore the culture within the city London: 6 international airports and several smaller airports 1. London City Airport 2. Heathrow Airport 3. Gatwick Airport 4. Luton Airport 5. Stansted Airport 6. Southend Airport NYC - 3 main airports and several smaller ones 1. JFK 2. Newark 3. La Guardian Tokyo - 2 main airports

Cultural Authority:  o o o o o o 

Education Dominant world cities are leaders at hosting world respected educational facilities in large numbers Universities enhance cultural authority as they bring in students and staff from a variety of different countries, cultures and backgrounds London - 40 universities NYC - 36 universities Sydney - 36 universities Tokyo - 17 universities

Sports, theatres, museums and art galleries Sports  Top 10 revenue sports are all based in USA/Canada, or Europe. They include the NFL, NBA, NHL, MBL and various soccer leagues such as Champions League and La Liga. o Museums & Art Galleries  Top 10 visited museums/galleries in the world are: 1. The Louvre - Paris 2. The National Museum of China - Beijing 1. The Metropolitan Museum of Art - NYC 2. Vatican Museums - Vatican City 3. The British Museum - London 4. The Tate Modern - London 5. The National Gallery of Art - Washington DC 6. The National Gallery - London 7. The National Palace Museum - Taipei 8. The State Hermitage Museum - Saint Petersburg  All the galleries/museums are located in world cities, other than the Vatican Museums, displaying the cultural authority of world cities o

Dot Point 3: Global Networks  

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Global networks: connections within and between world cities that enable fast transmission of capital, information, people, goods and services There is a transfer of capital from world cities of the developed world to mega-cities of the developing world  This trend creates unemployment in the developed world as manufacturing is transferred to mega-cities of the developing world The flow of information between cities can be quantified in order to establish the level of interconnectivity between cities Nodes and linkages

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Linkages are routes between places while node are nus that connect multiple places. The industrial age produced physical transport hubs linked by road and rail Information age is creating data hubs 3 major networks between world cities: economic, transport, telecommunications Economic: World cities are the nodal points for linkages, proven by their TNCs, stock exchanges etc. Transport: World cities are nodes of transport of people and goods, shown by:  Flight paths  Major flight paths between US, Europe and China  Major cities around these areas act as main control and command networks Eg. New York, Paris, London and Tokyo  Shipping routes  Shipping routes are mainly between US and Europe  Some routes go through Africa using cities such as Cape Town as ports  Asia and America are large trade partners  Road and rail connections  Smaller continental areas such as Europe and North America, road and rail connections are significant linkages  On a global scale, flight and telecommunications are much more effective and thus far more important then road and rail connections  Examples: US has remained actively using its rail connections, hosting the longest rail connection in the world at 250 000km long. China, Russia, India, Canada, Germany and Australia are other countries which still use rail connections. Telecommunications  Volumes of telecommunication traffic are increasing significantly  Internet communication improvements are leading to a lack of need for face to face meetings  Social media is having an especially large role in cultural exchange  Internet exchange is gradually replacing all other 'non-voice transfers'  2 billion gigabytes of information transferred between world cities daily – telecommunications (phone, internet, media) create and sustain world cities

Dot Point 4: Relationships Dominance: Financial and cultural influence beyond national borders. Eg. Possessing influential stock exchanges, financial institutions, trade, and communications integration Dependence: Relying on the functions of world cities, only limited influence Has led to small town decline During globalisation, both mega and world cities develop. Mega cities develop in population, but not as much in economic and cultural influence. World cities develop in economic/cultural influence significantly higher than mega cities, This results in mega cities depending on world cities for cultural and economic influences. Dominance:  Technological dominance and innovation  Financial dominance in the production and distribution of goods and services on a global scale  The cultural influence that arises from world cities is widespread, as is the level of strategic decision making Dependence:  Urban centres, on the other hand, have functions that show dependence on the world cities  Accumulation and the production and distribution is only on the national scale. Technology is often adopted, as there is a relatively lower degree of research and development

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A limited cultural influence with some political control 

USA o

New York has dominance with a variety of other US world cities depending on it for financial transactions  These cities include Chicago, LA, San Fran, Miami and Boston.  These smaller world cities have local urban centres that are dependent on them  Eg. Minneapolis, Milwaukee, Indianapolis, St. Louis and Kansas City are urban centres within close proximity of Chicago  Sydney and Melbourne dominate the world cities within Australia o Smaller cities such as Perth, Adelaide, Darwin, Hobart and Brisbane rely on them for major financial transactions with overseas investors and for industry. o Sydney also dominates in hosting head offices for Australian companies, along with being a principle centre for smaller businesses along with the preferred location for mergers and takeovers Conversely, the demise of small towns can result in the growth of regional centres due to factors such as:  Financial Services o Financial and business services close in small towns but flourish in regional centres as customers travel father to use those services  Shopping o Large shopping centres attract customers away from small town shops especially since they are travelling for financial services anyway o Access to media increases small town residents' desire for a greater variety of consumer goods that can be found in regional centres  Young People o Many young people move from small towns to large regional centres for employment and tertiary education opportunities  Agriculture o Agricultural job losses forces small town residents to seek employment opportunities in regional towns o Many regional towns host agricultural supply and processing industries that would not be economically viable in small towns o Telecommunications:  Increasing uses of telecommunication technologies have lead to many business services closing in small towns  Eg. Due to increased online banking, many banks are closing or reducing staff in small town branches o Retail Restructuring  Increase in large regional shopping centres draws customers away from shops in small towns to regional centres that can offer greater variety at lower prices o Agriculture  Increasing mechanisation of farming practices means less jobs for those living in small towns  Large commercial agribusinesses that buy up smaller farms tend to operate at high levels of efficiency that require less workers  Severe drought has seen some farmers and farm workers move to large urban centres  Profit margins for smaller farms are falling o Aging population  Many school leavers move away from small towns to seek employment of tertiary education in regional centres and cities  Many don’t return upon completion of education  This exacerbates the skill shortages experienced in many small towns  It also contributes to a shortage of labour in service industries traditionally filled by young people o Economic Restructuring

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Many small businesses which used to be located in small towns have been purchased by large corporations  These business functions can be increasingly found in regional centres and operate on a larger scale  Eg. Abattoirs Transport  Improved vehicles and road surfaces mean that is much easier for people to travel to their regional centre  Once there, multiple errands and services will ne accessed, bypassing services available in the small town...