1. Industrial Landscapes

2. Why Are Location Factors Changing?
Renewed attraction of traditional industrial regions
Proximity to skilled labor
Fordist, or mass production – labor intensive industries
Post-Fordist, or lean production – High Tech Industry

3. Industrial Areas in North America

4. FORDIST CONSIDERATIONS
LABOR IS PRIMARY CONSIDERATION
Manufacturers seek lower wages

5. Why Are Location Factors Changing?
Attraction of new industrial regions
Changing industrial distribution within MDCs
Interregional shift within the United States
Right-to-work laws (not required to join unions)
Textile production
Interregional shifts in Europe
Convergence shifts
Competitive and employment regions

6. Why Are Situation Factors Important?
Proximity to inputs
Bulk-reducing industries
Examples:
Copper
Steel
Potato Chips
Pencils

7. Why Are Situation Factors Important?
Proximity to markets
Bulk-gaining industries
Examples:
Fabricated metals
Beverage production
Single-market manufacturers
Perishable products

8. Why Are Situation Factors Important?
Ship, rail, truck, or air?
The farther something is transported, the lower the cost per km/mile
Cost decreases at different rates for each of the four modes
Truck = most often for short-distance travel
Train = used to ship longer distances (1 day +)
Ship = slow, but very low cost per km/mile
Air = most expensive, but very fast

9. Weber’s Model of Industrial Location – Locational Triangle
Main Factors include:
DISTANCE to RAW MATERIALS to FACTORY
DISTANCE to FACTORY FROM MARKET
PRIMARY CONSIDERATION = TRANSPORATION COSTS

10. Why Are Site Factors Important?
Land
~Rural sites
~Environmental factors
Capital

11. POST-FORDIST CONSIDERATIONS aka High Tech Industry
Tends to locate in agglomerations of similar firms
Access to similar forms is important – more innovation
SPECIALIZED LABOR MARKET
Need for specialized services & inputs
Transportation not a consideration
TRANSACTION COSTS ARE

12. This all created a new “RUST-BELT, SUN-BELT” geography in the USA during the 1970’s and early 1980’s.
RUST BELT - old manufacturing belt
SUNBELT – New high tech and service economy agglomerations: CA, AZ, CO, FL