Industry: Part II

badwaterreflectiveUrban and Civil

Nov 29, 2013 (3 years and 10 months ago)

81 views

Industry: Part II

Industrialization and Chevrolet

Major Industrial Regions of the
World before 1950

Industrialization Through WWI



The four primary industrial regions:

1) Western
& Central Europe

2) Eastern North America

3) Russia & Ukraine

4) Eastern Asia

Western and
Central Europe

Late 18
th

Century:


Britain


France


Belgium


Netherlands


Germany: 3 districts?

Early 20
th

Century
:


Italy: What area?


Spain: What area?


Sweden


Finland

Major Manufacturing Regions of North America

-
Benefitted from overseas resources

-
Large coal and gas reserves to provide energy to manufacturing plants

-
US capitalized on industry after Western Europe destruction during WWI and WWII

Major Manufacturing Regions of Russia

-
Many resources throughout the vast expanse of land

-
Volga River provided an energy resource and transportation through canals

-

Major
Manufacturing

Regions of East
Asia

-
Japan imported raw
materials from it’s colonial
empire into Korea, Taiwan,
and China

-
3 major belts in Japan?


Think of an industrial area where you live,
either an industrial park or a major
conglomeration of industries. Consider the
models of industrial location described in
this section of the chapter and determine
whether any of the models apply to this
place.

How has Industrial

Production Changed?



Key Question:

Post
-
Fordist

Fordist



dominant mode of mass production
during the twentieth century, production of
consumer goods at a single site.


Post
-
Fordist



current mode of production with a
more flexible set of production practices in which
goods are
not

mass produced. Production is
accelerated and dispersed around the globe by
multinational companies that shift production,
outsourcing it around the world.

Planned Obsolescence


What is planned obsolescence?




Who is guilty?

Domestic Car Production in a

Post
-
Fordist

World


Due to the increasing demand for better, longer
-
lasting, more eye
-
catching
vehicles, American consumers have fled domestic producers and found their home
with foreign
-
produced cars that are longer
-
lasting, sleeker and more fun to drive.
Popular foreign cars include…Toyota Camry, Toyota Corolla, Honda Accord, Honda
Civic, Hyundai Sonata, Honda CRV and Nissan Altima. With Americans choosing
foreign automobiles , domestic producers were forced to make better, longer
-
lasting, more appealing vehicles that offer better gas mileage. Have they
succeeded?


What Americans are driving…


1) Ford F
-
150


2) Chevrolet Silverado


3) Toyota Camry


4) Honda Accord


5) Ram



Chevy’s Response


After sales of GM vehicles plummeted and
when the U.S Government bailed out the
company, GM began developing more fuel
efficient cars and trucks in order compete with
foreign automakers such as Toyota and Honda.


Chevy’s landmark response…


Chevrolet Assembly Plants, 1955

Fig. 11
-
13a: In 1955, GM assembled identical Chevrolets at ten final assembly
plants located near major population centers.

Chevrolet Assembly Plants, 2003

Fig. 11
-
13b: In 2003, GM was producing a wider variety of vehicles, and production of
various models was spread through the middle of the country.

Chevrolet Plant Closures

Plant closures for Chevy in the past five years…

1)
Pontiac, Michigan

2)
Wilmington, Delaware

3)
Grand Rapids, Michigan

4)
Indianapolis, Indiana

5)
Mansfield, Ohio





If you were the CEO for GM’s Chevrolet division, what
recommendations would you make to increase sales?



Time
-
Space
Compression

Through improvements
in transportation and
communications
technologies, many
places in the world
are more connected
than ever before.

Time
-
Space Compression


Just
-
in
-
time delivery


rather than keeping a large inventory of
components or products, companies keep just
what they need for short
-
term production and
new parts are shipped quickly when needed.



Global division of labor


corporations can draw from labor around the
globe for different components of production.

Production of Televisions


Three key elements in television production:


Research and design


Manufacturing components


Assembly



Production of televisions has shifted across
the world over time.


New Influences on the

Geography of Manufacturing


Transportation on industrial location


Development of infrastructure: containers, refrigeration


Intermodal connections


Regional and global trade agreements


NAFTA, EU


WTO: ~150 countries, promotes free trade to eliminate
quotas


Proximity to Energy sources in industrial location less
important


Pipelines and tankers deliver fuel to far away places


2.5 million miles of pipelines in NA


Where are the Major

Industrial Belts in the

World Today and Why?

Key Question:

Deindustrialization




a process by which companies move industrial jobs to other
regions with cheaper labor, leaving the newly deindustrialized
region to switch to a service economy and work through a
period of high unemployment.

Abandoned street in Liverpool,
England, where the population
has decreased by one
-
third since
deindustrialization

The former Gautier rolling mills
of Bethlehem Steel Corp. in
Johnstown, PA

Newly Industrialized


East Asia


South East Asia






Also known as the Pacific Rim.

Newly Industrialized

China


major industrial growth after 1950



1. Industrialization in the 1960s was state
-
planned:



-
Northeast district



-
Shanghai and Chang district


2. Today, industrialization is spurred by companies that move
production (not the whole company) to



-
take advantage of Chinese labor



-
special economic zones (SEZs).




ex: Shenzhen


As China’s economy
continues to grow, old
neighborhoods (right)
are destroyed to make
room for new buildings
(below).


Beijing, China

Newly Industrialized

East and Southeast Asia




1. Four Tigers



South Korea



Hong Kong



Tiawan



Singapore


A map showing the Four Asian Tigers




Hong Kong




South Korea




Singapore




Taiwan


Service


Coming Monday, Dec. 2

What is the Service Economy,
and Where are

Services Concentrated?

Key Question:

Service Economy

Service Industry


Tertiary


1. Economic activity associated with the provision
of services





such as transportation, banking, retailing,

education, and routine office
-
based jobs.


2. As services become more developed specific
divisions are used:



ex: Quaternary


exchange of
information…ex?




Quinary


complex decision making…ex?

Service Economy

Postindustrial:


a society in which an economic transition has
occurred from a manufacturing based
economy to a service based economy



Examples:




United States, Canada, Japan, and Western Europe


Geographical Dimensions

of the Service Economy

New Influences on Location:



-

Information technologies


-

Less tied to energy sources


-

Market accessibility is more relevant for some



and less relevant for others because of



telecommunications


-

Presence of Multinational Corporations

Geographical Dimensions

of the Service Economy

Sunbelt: southern region of the US stretching
from the southeast to the southwest


-

secondary industrial regions moving into Atlanta, Phoenix


-

high
-
tech industry



Wal
-
Mart

Requires producers of goods to locate offices in the
Bentonville, Arkansas (Wal
-
Mart’s headquarters) area in
order to negotiate deals with Wal
-
Mart.

Proctor & Gamble
put their office in
nearby Fayetteville,
Arkansas.


How does the
presence of these
companies in the
region change the
region’s economy
and its cultural
landscape?

Nike

Headquartered in Beaverton, Oregon, Nike has never
produced a shoe in Oregon. Beginning in the 1960s, Nike
contracted with an Asian firm to produce its shoes.

Skopje, Macedonia

The swoosh is
ubiquitous, but
where is the shoe
produced?


Nike has a global
network of
international
manufacturing and
sales.



Modern Production

Outsourcing



moving individual steps in the
production process (of a good
or a service) to a supplier, who
focuses their production and
offers a cost savings.

Offshore



Outsourced work that is
located outside of the country.

High
-
Technology Corridors


An area designated by local or state government
to benefit from lower taxes and high
-
technology
infrastructure with the goal of providing high
-
technology jobs to the local population.


eg. Silicon Valley, California



Technopole


an area planned for high
technology where agglomeration built on a
synergy among technological companies occurs.

eg. Route 128 corridor in Boston

Plano
-
Richardson, Texas

Telecom Corridor is just north of Dallas