11: Industry
- Page ID
- 382140
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- Understand: the origins and diffusion of industrial production
- Explain: the impact of industry on places
- Describe: the industrial basis of modern cultures
- Connect: industrialization, technology, the service sector and globalization
- 11.1: Introduction
- This page covers the significant effects of globalization and the Industrial Revolution on modern economies, focusing on the decline of manufacturing jobs in developed nations due to factors like automation and offshoring. It contrasts Fordism's local production with Post-Fordism's global cost-effective strategies.
- 11.2: Marx's Tendency of The Rate of Profit To Fall
- This page discusses Karl Marx's analysis of production, focusing on the lifecycle of products from monopolies to competitive markets driving prices down. It highlights manufacturers' innovations for cost reduction, such as material advancements and automation, followed by offshoring labor costs, termed "footloose capitalism." The page also notes that consumer expectations generally favor decreasing prices over time, which aligns with the trends in manufacturing relocations within the U.S.
- 11.3: Factors for Location
- This page explains the strategic factors influencing industrial location decisions, emphasizing the balance of capital, labor, materials, and market access to minimize costs. It highlights the impact of globalization, automation, and transportation costs on manufacturing site selection. Key considerations include taxation, incentives, political stability, and challenges for businesses in securing capital, particularly in developing nations.
- 11.4: The Expansion (and Eventual Decline) of Industry
- This page discusses the role of Transnational Corporations (TNCs) in modern industry, highlighting their coordination of global production and use of Foreign Direct Investment (FDI) for market expansion. It notes shifts from raw material extraction in poorer nations to investments in manufacturing, influenced by local labor costs and market proximity. The summary also points out differing trends in manufacturing importance among countries, with some experiencing declines, such as the U.S.
- 11.5: Global Production
- This page examines the transition from manufacturing to service economies in industrialized nations, highlighting the challenges faced by displaced workers in securing stable jobs amidst the rise of the gig economy. While opportunities in service jobs grow, they often lack stability and benefits. Additionally, it addresses the impact of flexible work schedules and gig employment on traditional labor protections, raising concerns over worker safety and rights.
- 11.6: Summary
- This page discusses the transition from localized hand-made goods to a globalized mass production system, driven by competition to reduce costs and expand industrialization. This shift has led to the search for cheaper labor and materials, making goods more affordable and accessible, which in turn has influenced lifestyles and consumption patterns, aligning them with international production schedules. Overall, industrialization has significantly impacted daily life.
- 11.7: Key Terms Defined
- This page covers essential concepts in production and economic systems, including back office services and break-of-bulk points. It discusses commodification, containerization, and globalization, emphasizing changes in cultural and economic practices. Key ideas like economies of scale, footloose capitalism, and Fordism illustrate efficiency in production.
- 11.8: Works Consulted and Further Reading
- This page provides a collection of scholarly references on globalization, corporate tax competition, economic trends, labor, production, and technological advancements in manufacturing. It discusses international economic policies' implications, automation's impact on jobs, and foreign direct investment's relationship with socioeconomic outcomes, presenting various perspectives on contemporary economic and geographic dynamics.