Applies only to the manufacturing of goods Doesnt include the following industries: The recreation industry The restaurant industry The hospitality industry The travel industry content/uploads/importance_figure6.png of worlds industrial production is in 4 regions Northwestern Europe Eastern Europe Eastern North America East Asia United Kingdom Industrial Revolution Lagged after WWII Technology Rhine Ruhr Exceptional Site: Coal, Rivers Site of Industrial Innovation Mid-Rhine Exceptional Situation Nearby Iron-Ore Northern Italy Po River Valley Lower labor costs Textiles Situation: Transportation Source to Factory Factory to Market Farther = Higher Costs Bulk Reducing Industries: Reduces Transportation Costs Heavy resources Copper, Steel Forestry in Von Thunens Model Bulk-Gaining Industries More Profitable to locate near markets Alfred Weber- German economist and sociologist Theory that focuses on: weight of raw and finished products market location Assumptions: All production points w/in triangle Uniform topography Same economic, political, cultural values within triangle Availability of transp. In all parts of triangle Market is known to producer Availability of Resources Labor is infinitely available Industrialization takes place around a pole Agglomeration of industry Caused primarily by Transportation Resources can lead to this Vocab: Break of Bulk Point, Containerized Cargo What is intensive labor ? Cotton yarn Production Cotton Fabric Production Production of Boys and Mens Trousers Money/Loans are mandatory for industry Autos in Great Lakes Silicon Valley,CA High-Technology Industry 2/3 of new tech firms fail of all capital in US is spent on new industries in Silicon valley south.jpg Intraregion: From CBD to periphery Suburbanization One story factories cheaper land accommodates changes in transportation (truck emphasis) Interregional: From Clustered to new regions Rust Belt to Sun Belt in US Improved development in the South attract industry Right-to-Work Laws: Open Shop Los Angeles harbor 1910, Panama canal 1914, climate, low migrant labor opened up the West coast Deindustrialization, Postindustrial Global Industrial Production 1980 80% of world steel produced in MDCs 2005 45% of world steel produced in MDCs Asia Low cost labor Large market for many products Policy changes in China (multinational corp. permitted after 1990) SEZs in China Fewer Barriers and restrictions in India, Thailand, and Malaysia Protectionism was replaced by open markets Maquiladoras in Mexico Lower Wages than MDCs Central Europe: Poland, Hungary, Czech Rep. Labor: Cheaper and less skilled than W. Europe, More costly but more skilled than Asia Location Labor Technology: Time-Space compression, Refrigeration Outsourcing: Ex: Car Parts Why would Industry still locate in Traditional Regions such as NE US or NW Europe Skilled Labor Force Proximity of Universities Proximity to Markets: Just-in-time Delivery Vocabulary: Outsourcing Fordism Based on ideas of Henry Ford Standardization through Machinery Specialization of Labor Assembly line work (utilizes less skill) Specialized tools Workers paid a higher wage due to lower # needed Factories house large inventories to fuel quick production Popularized in the 1970s and 1980s Mastered by Toyota in Japan Lean Production Just in Time Production Reduces inventory costs Specialized Products More skilled workers that are responsible for mastering specialized tasks Involves leveling