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    Chapter 11 Key Issue 4

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    Jack Stream
    The document summarizes factors that influence the changing locations of industries globally and regionally. It discusses the shift of industries from developed to developing countries with lower labor costs like China and Mexico. Outsourcing production to low-wage countries has become a major factor driving corporate decisions. Developed countries are moving toward high-skilled jobs while developing countries take over more low-skilled manufacturing. Mexico has attracted industries due to its proximity to the US and lower wages than China. Regional shifts in US industries have also occurred, such as manufacturing moving from the North to the South due to transportation infrastructure and right-to-work laws in Southern states. Central Europe has also seen manufacturing growth due to available labor and market proximity.

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    Chapter 11 Key Issue 4

    Uploaded by

    Jack Stream
    65 views4 pages
    The document summarizes factors that influence the changing locations of industries globally and regionally. It discusses the shift of industries from developed to developing countries with lower labor costs like China and Mexico. Outsourcing production to low-wage countries has become a major factor driving corporate decisions. Developed countries are moving toward high-skilled jobs while developing countries take over more low-skilled manufacturing. Mexico has attracted industries due to its proximity to the US and lower wages than China. Regional shifts in US industries have also occurred, such as manufacturing moving from the North to the South due to transportation infrastructure and right-to-work laws in Southern states. Central Europe has also seen manufacturing growth due to available labor and market proximity.

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    The document summarizes factors that influence the changing locations of industries globally and regionally. It discusses the shift of industries from developed to developing countries with lower labor costs like China and Mexico. Outsourcing production to low-wage countries has become a major factor driving corporate decisions. Developed countries are moving toward high-skilled jobs while developing countries take over more low-skilled manufacturing. Mexico has attracted industries due to its proximity to the US and lower wages than China. Regional shifts in US industries have also occurred, such as manufacturing moving from the North to the South due to transportation infrastructure and right-to-work laws in Southern states. Central Europe has also seen manufacturing growth due to available labor and market proximity.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    65 views4 pages

    Chapter 11 Key Issue 4

    Uploaded by

    Jack Stream
    The document summarizes factors that influence the changing locations of industries globally and regionally. It discusses the shift of industries from developed to developing countries with lower labor costs like China and Mexico. Outsourcing production to low-wage countries has become a major factor driving corporate decisions. Developed countries are moving toward high-skilled jobs while developing countries take over more low-skilled manufacturing. Mexico has attracted industries due to its proximity to the US and lower wages than China. Regional shifts in US industries have also occurred, such as manufacturing moving from the North to the South due to transportation infrastructure and right-to-work laws in Southern states. Central Europe has also seen manufacturing growth due to available labor and market proximity.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 4

    Ch.

    11 Industry and Energy


    Key Issue 4: Why Are Industries Changing Locations?
    Rubenstein, p.420-427

    **Consider 11.2 info about site and situation factors as you read this section.**

    I. EMERGING INDUSTRIAL REGIONS

    1. How has the distribution of world industries changed since the 1970s?

    Industries have declined in developed countries and have moved to placed with low labor costs like china and other
    developing countries

    2. a. Define outsourcing:

    transnational corporations allocate productions to low wage countries

    b. What is the driving factor behind a company’s decision to outsource? Is this a site or situation
    factor?

    Each step in the production process is how scrutinize closely to determine optimal location

    3. Define new international division of labor (also called global division of labor):

    Low-skilled jobs are in developing countries while developed countries have high skilled jobs

    4. What is vertical integration? Pros and cons of this method?

    Control of everything in the production process


    Some parts may be cheaper when purchased from other companies though

    5. Describe Foxconn:

    Major supplier of chips and other electronics

    6. What about Mexico makes it attractive to industries?

    Nearest low-wage country to the united states


    7. Maquiladoras:

    Factories near the Mexico-united states border that are in Mexico

    8. Pros and cons of NAFTA:

    Encouraging companies to move to developing counties with lower wages


    However, more pollution in developed countries, and some countries may have pollution laws but there is no money
    to enforce them

    9. What country is a competitor of Mexico? Why/how is Mexico able to compete?

    A competitor of mexico is china, because the extremely low labor cost, but mexico is able to compete because its
    proximity to the US

    10. BRIC countries (list & significance):

    Russia and Brazil - industrial

    China and India – large workforce

    II. INDUSTRIAL CHANGE IN DEVELOPED COUNTRIES


    United States
    11. Identify regional shifts (and causes and trends) in industrial development in the U.S. between 1950 and 2015.

    The norths manufacturing jobs have shifted to the south because the south had no money and no road or railroads so no
    modes of transportation but in the 1930s the government stated to give money to the south

    12. Define right-to-work law (state) and tell the impact on industry.

    Requires factories to maintain an “open shop” and prohibits a “closed shop”

    More people want to work in the south because of the right-to-work law. This allows companies to fire or hire anyone
    for nearly any reason.
    Europe
    13. How has manufacturing in Europe diffused in recent decades?

    Western European countries are the most rapid manufacturing growth during the late 20 th centuries

    14. What two factors make central Europe an attractive location for industry? (Noticing a theme?)

    Labor and market proximity

    III. SKILLED OR UNSKILLED LABOR?

    15. What two factors influence industry to remain in traditional regions?

    Availability of skilled labor and rapid delivery to market

    16. Define Fordist production. Pros and cons?

    Mass production!
    The design process only needed to be understood by few

    17. Identify pros and cons of buying domestic goods:


    PROS CONS

    Support local economy Spending more money because of labor costs

    Create jobs in the US Saves taxpayer money

    Workplace conditions are poor over-seas Its hard finding local manufacturers for all the
    government needs
    IV. RECYCLING AND REMANUFACTURING

    18. a. Differentiate between recycling and remanufacturing.

    Recycling- The separation, collection, processing, marketing and reuse of unwanted material

    Remanufacturing- rebuilding of a product to the specification of the original manufactured product using a
    combination of reused repaired and new parts.

    b. Both contribute to more ______________sustainable_________________ manufacturing.

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