A GEOGRAPHICAL REVIEW OF THE INDUSTRIAL TERRITORY BY: LORENZO GUTIERREZ.

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A GEOGRAPHICAL REVIEW OF THE INDUSTRIAL TERRITORY BY: LORENZO GUTIERREZ

VOCABULARY  Raw Materials- wood, iron, plants, metals, etc.  Material Goods- goods made from raw materials.  Providing services- the ability to provide a service or product in the way that it has been promised.  Revenue- income; when of a company or organization and of a substantial nature.  Profit- a financial gain.  Urbanization- the condition of being urbanized.  Labour- a social class comprising those who do manual labor or work.  Infrastructure- the basic physical and organizational facilities (e.g. buildings, roads, and power supplies).  Life expectancy- the average period that a person may expect to live.  Literacy rate- in economics, the literacy rate is the proportion of the population over age fifteen (15) that can read and write.

IMPORTANT NOTE #001  An industrial territory is a space organized around the many factories that impact the economy, people, and landscapes of a city/region. Industrial territories have positive and negative impacts on the environment. &

IMPORTANT NOTE #002  Economy= 3 sectors, 1 st sector= Primary sector, 2 nd sector= secondary sector, and the 3 rd sector= Tertiary sector.  Primary= Works with raw materials (ex. Lumberjack).  Secondary= Products, material goods (ex. Paper).  Tertiary= Market, providing services (ex. Bureau en Gros).

IMPORTANT NOTE #003  Primary= Works with raw materials (ex. Lumberjack).  Secondary= Products, material goods (ex. Paper).  Tertiary= Market, providing services (ex. Bureau en Gros).

IMPORTANT NOTE #004  Industrialization began in Europe (Great Britain) around 1750.

IMPORTANT NOTE #005  Technology plays an important role in industry since PRODUCTIVITY IS INCREASED. This means factories could produce “with greater speed, efficiency, and precision, larger amounts of goods at a lower cost.”

IMPORTANT NOTE #006  On September 4 th, 1892 in New York, the world’s first electric plant was able to supply electricity to about sixty (60) residential, commercial, and industrial customers.

IMPORTANT NOTE #007  Using a simple cable, energy was delivered to factories instantly, which was much more efficient process then transporting coal, a bulky, heavy resource.

IMPORTANT NOTE #008  The two following inventions, the computer and the first power plant changed a lot by making things run more faster and making work easier for the workers.

IMPORTANT NOTE #009  Like all businesses, industrial companies are looking for returns, in other words, profits. The following formula allows us to calculate profits: revenues from sales – production costs= profits.

IMPORTANT NOTE #010  Companies look for maximum returns by aiming for high sales revenues and the lowest possible production costs. To do this, they must take into account the cost of the necessary resources (raw materials, energy sources, labor, etc.) in order to produce goods that meet consumers’ need. Choosing a good site contributes to increasing a company’s returns.

IMPORTANT NOTE #011  One effective way to make a company’s activities profitable consists of choosing the most advantageous location, according to the resources needed for production. A single factor may be decisive, but the company may also look for a combination of two or more factors.

IMPORTANT NOTE #012 LOCATION FACTOR: ENERGY FACTOR: RAW MATERIALS: TRANSPORTATION MARKETS: LABOUR: Type of Company Aluminum smelter: Paper manufacturer: A refinery: Agri-food: Electronic equipment: Justification Electricity Trees Space Time Recruit specialized labour

IMPORTANT NOTE #013  Some government programs (subsidies, low income tax rates, tax exemptions, etc.) constitute incentive measures that influence companies when it comes time to choose a site.

IMPORTANT NOTE #014  In Europe, at the turn of the 21 st century, Ireland had the lowest tax rate: 12.5%. In 2005, over 1000 foreign companies, employing nearly people, choose to locate there to benefit from this low rate.

IMPORTANT NOTE #015  The industrial sector promotes the development of many other sectors. For example, the automobile industry brought about the construction of huge road networks. It also meant the creation of service stations, repair centers, car washes, and automotive scrapyards. Moreover, the automobile industry enabled the development of many businesses in the tertiary sector, such as insurance companies, driving schools, etc.

LA FIN