The short answer is: It Doesn't. The long answer is that the term is effectively useless in any real liberatory, insurrectionary process. Reason being, and this is from some of the best thinking coming out of the 80's, is that with the collapse of effective contestation that all humanity, with a small exception, has been coopted and effectively colonized. Think about it in the US, a handful of men, women and families extracting the resources and labor of a vast land mass and a population sufficiently deluded, or sullen follows along slavishly. This dilution of the term, and the stridency of those who still think that developing countries are really very different than Detroit or Cleveland, makes it unworkable for theorists. In addition the term implies a hierarchy of oppression, with the Indian subcontinent, or wherever placed above Great Britain, Russia, etc.. Such striations do violence to the anarchist project and should be rejected, see Camatte on this point regarding the dis-integrative consciousness of the Left. Finally it ignores utterly the very real possibility of cultural (and racial) mixes and flows--a concept I openly espouse. As an example miscegenation may be the only way the US finally destroys it's lingering racism.