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Published byRalph Doyle Modified over 8 years ago
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Steel – bulk-reducing – traditionally located near what? Shifts happened because the inputs necessary changed and eventually proximity to markets became more important over time Motor vehicles – bulk-gaining – traditionally located near what? East Asia, Europe, North America Textiles and Apparel Less-skilled, low-cost workers China and India have become the dominant fabric producers because their lower labor costs offset the expense of shipping inputs and products long distances
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Shift away form northwestern Europe and northeastern US Europe – to convergence regions US – to the South and West The South was historically the poorest region of the US due to the Civil War 1930s – gov’t policies to reduce disparities, build up infrastructure Many manufacturers now dispersing to the South because of lower wages and willingness to not join a union
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Requires a factory to maintain a so-called “open shop” and prohibits a “closed shop” “Closed shop” – everyone must join the union to work in the factory Right-to-work laws make it much more difficult to organize factory workers, collect union dues and bargain with employers Attractive to companies who want to keep out unions
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Industry has shifted to LDCs Wage rates are lower than traditional industrial regions Especially attractive for labor-intensive industries Transportation cost is higher but substantially lower wages make up for it in jobs that need little skill Operations that require high level of skill remain in MDCs Before 1970, LDCs mostly used for their resources/materials not labor New International Division of Labor – selective transfer of some jobs to developing countries
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Transnational corporations allocate production to low-wage countries Moving individual steps in the production process (of a good or service) to a supplier, who focuses their production and offers a cost savings Growth in manufacturing in Mexico (maquiladoras) and BRICS (Brazil, Russia, India, China, South Africa)
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Availability of skilled labor Fordist vs. post-Fordist production Rapid delivery to market Just-in-time delivery
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Fordist = single site mass production Replaced Cottage Industries Singles company owns all aspects of production. Specialized labor force Large inventory of products All tasks done by corporation Leads to Urbanization Post-Fordist: Production dispersed and accelerated Replaced Fordist? Just-In-Time Delivery Global Division of Labor Time Space Compression Outsourced and Offshore Avoid Government Regulations Is anything left in the Core? High Tech Manufacturing and R&D
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