Human Geo Chapter 12

Node-

Connection point in a network where gods and ideas flow in, out, and through the network.

Friction of Distance-

Difficulty in time and cost that usually comes with increasing distance

Tourism Services:

Every service industry has own locational characteristics. But, tourism almost in class by itself due to its geographical extent and econ significance. Once relatively small activity confined to selected locations, tourism now world's largest service-sector industry. It grew dramatically in global econ core during 2nd half of 20th ct when incomes and leisure time increased for many peeps. Over past 3 decades, num of E and SE Asian tourists risen much faster than global average, reflecting econ boom in many Pacific Rim countries. Weakening global econ and concerns over political stability caused noticeable dip in travel round 2010 but absent major econ or geopolitical crisis, tourism likely to expand.

Describe the Hearth and Diffusion of the industrial Revolution:

In 1700s, as global trade grew & faster ships built, irrigation, gold, silver, and brass goods produced in cottage industries in India were demanded wherever they could be bought. India's textiles, made on individual spinning wheels & hand loos, considered best in world. Were so finel made that British textile makers riots in 1721, demanding leg protection against imports from India. China and Japan also had substantial cottage industry before IR.

Toponym-

Place names.

Commodification-

Transformation of goods and services into products that can be bought, sold, or traded.

Situation-

The position of a city or palace relative to its surrounding environment or context.

Hinterland-

An area of economic production that is located inland and is connected to the world by a port.

Secondary Hearths-

Area to which an innovation diffuses and from which the innovation diffuses more broadly.

Time-Space Compression-

Increasing connectedness between world cities from improved communication and transportation networks. Geo, this term captures dramatic changes taking place in contemporary global econ. Argues that modern capitalism so accelerated pace of life and relationship between places that world seems to collapse inwards upon us. Fluctuations in Tokyo stock market affect NY mins later. Overnight, marketing campaigns can turn product innovation to fad round world. Kiwis picked in New Zealand can be lunches in canada tom. And decisions made in London can make or break fast-developing deal over transport link between Kenya and Tanzania.

Russia and Ukraine:

St. Petersburg region one of Russia's oldest manufacturing centers. Tsar Peter the Great planned and built city to serve as Russia's capital and country's industrial core. Encouraged W Eu artisans with skills and specializations to migrate to region and imported high-quality machine-building equipment to help fuel industrialization. St Petersburg developed manufacturing based on shipbuilding, chemical production, food processing, and textile making. After WWI, newly formed SU annexed Ukraine and took control of ag lands, rich resources, and industrial potential, especially coal rich region, SU was resource rich, as is Russia today. SU leaders tapped into resources in Ukraine and directed econ plan to industrialize areas closer to Moscow to make a large industrial belt. Developed industries in Nizhny Novgorod, river port near confluence of Volga and Oka rivers, 270 miles SE of Moscow. After Volga River, goods can be imported or exported from Nizhni Novgorod to Black Sea or Caspian Sea.

Spatial Fix-

The movement of production from one site to another based on the place-based cost advantages of the new site. Advances in info tech and shipping coupled with global division of labor make possible for comp to move production from one site to another. Movement based on new place-based cost advantages. Called spatial fix. In choosing production site, location only one consideration. Distance neither determinate nor insignificant as factor in production location decisions today.

Service industries-

tertiary, quaternary, and quinary sectors- produce ideas, advice, innovations, and assistance to businesses and individuals. Tertiary services involve range of actions that aid people and businesses, including personal service like cutting hair and giving massages, and entertainment, transportation, and retail. Quaternary industries are involved with collection processing, and manipulation of info and capital. These include realms of finance, admin, insurance, legal services, and comp services. Quinary industries aid complex decision making and advancement of human capacities. Think of scientific research, higher edu, and high-level management when considering quinary industries.

Network-

A set of interconnected nodes without a center.

Industrial Revolution-

Cluster of inventions and innovations that brought large-scale economic changes in agriculture, commerce- and manufacturing in late 18th century Europe. The wealth brought into the Netherlands and Enlgand through trae funded tech innovations in manufacturing that enabled Eu factories to product more products at lower prices. Resulting IR gave rise to mass production of goods using machines, not just human labor. Eu flooded global markets with inexpensive products, burying cottage industries at home and abroad. Colonies no longer merely sites of valuable cottage production, became providers of essential raw materials and generators of revenue that fueled rapid industrial expansion in Eu.

Break-of-Bulk Point-

A place where goods are transferred from one form of transportation to another. Ex, in a port, cargoes of ships are unloaded and put on trains, trucks, or river boats for inland distribution. Just a tragin colony 7 decades ago Hong Kong started producing textiles and light manufacines in 1950s. Success of these was based on plentiful, cheap labor. Next came expanded production of electrical equipment, appliances, and other household products. Hong Kong's geo sitch contributed enormously to econ fortunes. Colony became mainland China's gateway to world, bustling rot, financial center, and break-of-bulk point. In 1997, China took over gov of Hong Kong from British. Consequently, showplace of capitalism came under nominal control of quasi-communitest Chinese central gov. But, was guarantee that it could maintain much of autonomy for 50 ye. Hong Kong is special admin region (SAR) of hina under principle of one country, 2 systems.

Weber's least cost theory pt2

2nd cost was labor. Higher labor costs tend to reduce margin of profit, so factories farther from raw materials and markets can do better if cheap labor compensates for added transport costs. 3rd Factor in Weber's model similar to Marshall's theory of localization in that Weber described advantages of agglomeration. When many comps produce same or similar goods cluster in one area, can share talents, servies, and facilities. Ex, all furniture comps need access to lumber, textiles, ports, and skilled employees. By clustering together in High Point region, furniture manufacturers can also share infrastructure improvements. They all have access to accountants and lawyers in areas who specialize in contracts and trade. In 2012, local govs in High Point region invested in system of wireless internet access. Now 75,000 furniture buyers who go to High Point twice year can use wireless systems to buy. Finally, agglomeration can make location more attractive by potentially overcoming hier transportation or labor costs. Considering these 3 factors together- transportation, labor, and localization (Agglomeration)- Weber determined that least cost location for manufacturing plant could be determined by location triangle. Soling weber's location model often implies 3 stages, finding least transporting cost location, and adjusting this location to consider labor costs and agglomeration econs. He reasoned that industry will be located close to raw materials to lower transportation costs, but labor availability (either skilled or cheap) and agglomeration of industry can pull industries toward sites where these other factors are advantageous.

Chinese Juggernaut: 2

2nd largest industrial reign in China, Shanghai and Chang Jian district, developed and round country's biggest city, Shanghai, Chang Jiang district contains both Shanghai and Wuhan. Rose to prominence and, by some measures, eventually exceeded NE as contributor to national econ. Nother industrial complex that developed further upstream, along Chang Kiang river, focused on city of Chongqing. Political and econ reforms staring in 1980s led to tremendous surge in Chinese econ. State embraced aspects of capitalism and opened itself to foreign investment, while retaining strong state overall control. For many ye after, China had fastest-growing econ in world. In traditional industrial sectors, Chang Jiang district became pacesetter for Chinese industrial growth- in terms of iron and steel production, and in terms of its diversified production. Railroad cars, ships, books, foods, chemicals- endless variety of products- come from Chang Jiang district. China also moved aggressively into high-tech manufacturing. Then making of new consumer products led to diffusion of manufacturing to wide variety of cities. Those within striking distance of Hong Kong benefited most. In Chinese cities, bulldozers are sweeping away vestiges of old China; cottages with process and tile roofs on outskirts of expanding cities make way for new buildings. Decaying remnants of old cities stand amid glass-encased towers that symbolize new econ order. Modern skyscrapers now dominate skyline of cities at top of Chinese urban-econ and admin hierarchy- including Beijing, Shanghai, and cities in special economic zones (SEZs). China's major cities now play host to gleaming new airports, daring architecture, spectacular public products, and efficient high-speed railroads.

Rust Belt-

A region in the NE US that once had an extensive manufacturing industry but has been industrialized during the post-Fordist era. In UK, major industrial zones of Newcastle, Liverpool, and Mnachester lost much of industrial base during 1960s and 1970s. Industrial zone of NE US did too, with steel manufacturing jobs moving to areas of world with lower wages. Region in US used to be Manufacturing Belt, now Rust Belt, evoking image of long-abandoned rusted-out steel factories. Then global econ downturn began in 2008 resulted in job losses in commutes dependent on secondary and tertiary industries. These ex remind us that not all industrialized regions find niche easily in new service econ. Also posits that tertiary econ, once established, spent necessarily buffer places from recessionary trends.

High-Technology Corridor-

Areas along or near major transportation corridors that are devoted to the research, development, and sale of high-technology products. (area designed by local or state gov to benefit from lower taxes and high tech infrastructure) These areas provide high-tech jobs to local pop and attract designers of comps, semiconductors, telecommunication infrastructure, sophisticated medical equipment, and like.

Contemporary Centers of Industrial Activity:

As result of various force that altered nature of industrial production over past ½ ct, many older manufacturing regions experienced deindustrialization. Comps move indusial jobs to gather regions, leaving newly deindustrialized region to work through period of high unemployment. If possible, these regions switch to service econ. Still, most of them show up on modern map of industrial production, either bc some older industries have held on or (more likely) bc new types of manufacturing have spring up. Newer manufacturing operations may be located a modest distance away from older industrial concerns, but at scale of world map, those movies not v visible. Take case of central part of Germ- one of most important centers of heavy industrial production in early 20th ct. Much of former industrial base gone, and individual places suffered greatly. But not too far away, newly highly mechanized factories sprung up, making variety of sophisticated machines. As result, central part of Germ continues to show up as place of singing industrial production.

North America:

By beginning of 20th ct, one serious rival to Eu. Territory settled predominantly by Eus and with particularly close links to Britain, provided links to capital and innovations that fueled industrialization there: NA. Manufacturing in NA began in New England during colonial period. Though NE states weren't especially rich in mineral resources, American comps could get needed raw materials from overseas. Industries developed along Great Lakes, where goods could be moved in and out of industrial centers by canals, rivers, and lakes. Ready supply of coal fueled industrialization, and was never any threat of coal shortage. US coal reserves among world's largest and widely distributed from Appalachian Penn to NW Great Plains.

Chinese Juggernaut: 3

At same time, NE become China's "rust belt." Many of its state-run factories been sold or closed, or operating below capacity. Eventually NE likely to recover bc of resources and favorable geo site. But under state's new econ policies, dynamic E and S provinces grown into major manufacturing belts and changed map of this part of Pacific Rim. Now, Chinese gov pushing industrialization into country's interior. New investment flowing into poorer parts of central and W portions of country. China also looking to take advantage of proximity to S and SE Asia through efforts to deepen transnational econ cooperation. From global perspective, what is particularly striking is magnitude and influence of Chinese econ juggernaut. In 2010, China officially surpassed Japan's world's second largest econ. It become world's largest exporter and its energy raw materials demands now affecting global supply of key resources. More passenger vehicles are purchased in China each ye than in US, and China invests more domestically than any other country in world. Still, Chian's econ still depends heavily one exports and foreign investment. China's GNI per capita, while on rise, is 3x smaller than Japan's and almost 4 times smaller than US. Still, there are potentially destabilizing social and enviro costs to China's rapid rise. With labor costs growing in China relative to SE Asia, China's econ growth is slowing. China may find itself facing some of focus that gave it an advantage over other places not long ago.

The Energy Picture:

At start of Industrial Rev, manufacturing plants established on or near coal fields. During mid-20th ct, use of coal as energy source in industry increasingly gave way to oil and gas. Now, energy intensive major industrial complexes not confined to areas near oil fields. Randstad, huge system of pipelines and tankers delivers oil and natural gas to manufacturing regions through world. Even though energy supply become less signif factor in industrial location, having secure energy supply is priority for states - in part to ensure that state's industrial potential not threatened. This true in US. US consumption of petroleum and natural gas now is round 20% of annual world total. US required round 20.5 mil barrels of petroleum per day to keep its power plants, machinery, vehicles, aircraft, ships, buildings, and homes functioning. More so than many countries, US taps oil it has.

Multinational Corporations, Outsourcing, and Global Production Networks:

BPO and global sourcing fall under umbrella of outsourcing. Both move segment of commodity chain to another county. And place full responsibility for that segment and contraged comp's hands. BPO typically involves tertiary, quaternary, and quinary econ activities. Global sourcing, by contracts, typically concerns secondary, or manufacturing, sector of econ. But, global sourcing also includes lots of service work, bc Chinese soruign comp develops relations with manufacturers, uses its knowledge of trade regulations, and manages largest sector of prodcut's commodity chain.

First Mover Advantage-

Benefit a service or product receives by being the first to market.

The Regulatory Environment: 2

Buffering helped for while, but rapid expansion of Chinese exports over last 2 decades been source of tension. US and Eu argue that Chinese subsidies give their industries an unfair advantage and that China imposes unfair requirements on foreign comps doing business ther. China rejects claims. Argues that it has right to control certain aspects of its econ, given that its still relative newcomer to global econ game. Also, it claims that under any circumstances, its exports boost NA and Eu econs. Resulting tug-of-war behind prolonged negotiations and battles over tariffs that plagued relations between China and Western countries- particularly US. Regulations at state and local scales also matter. Enviro regs, safety requirements, minimum wage laws, and much more affect cost of production. These maps cost of production higher-sometimes prompting comps to move to dif locations with weaker reg requirements. Can boost comp's profit, but have neg implications of place being abandoned and new place of business. Former has to deal with job loss, whereas latter may face enviro challenges and job market dominated by businesses that offer limited benefits for locals. Regulations at state and local levels can also be used to attract business. Govs often seek to recruit manufacturers through incentives including tax breaks, subsidies, and other support. Many 100s of such zones round world are now shaping global geo of industry.

High-Technology Corridors: 2

Cali's Silicon Valley is well-known ex of high-tech corridor. Several decades ago, num of innovative tech comps located research and development activities near University of Cali, Berkeley, and Standord. Both near San Fran. These comps attracted by prospect of developing links with existing research communities and availability of highly edu workforce. Once some high-tech business located in Silicon Valley, others were drawn to area too, making what geos call growth pole that spurred econ development in surrounding area. Today, Silicon home to dozens of comp comps like Adobe, HP, INtel, IBM, and Cisco. Peeps call such concentration a technopole, area where agglomeration is based on synergy among tech comps. Similar sorts of technopole developed outside Boston near Harvard, and many other universities. It been largely supported by fed gov rather than local gov, which supports many other technopoles.

Nike:

Can use Weber's location theory to consider site for factory producing lightweight consumer goods, including textiles and shoes, during first ½ of 20 ct. In range of factors, most important for lightweight consumer goods is ready supply of lower-cost labor. Being close to raw materials less of concern bc shipping low-weight components relatively inexpensive. Agglomeration also draws, so producers of component parts locate nearby and serve more than one comp. In shoe business, comps made shoelaces used to locate close to shoe manufacturers. In 1920s, towns near Boston, Massachusetts- great shoe towns were home to factories specializing in mens and womens shoes. Round 300 shoe factories had sales offices within few blocks of each other in Boston, and in a leather distinct close to city, tanneries prepared hides imported from round world. Shoe sales peeps periodically went to shoe comp headquarters in Boston to learn bout camp's newest offerings. Then would fill suitcases with samples to show clients as made rounds of sales territories. With flexible production systems and container ships, lightweight consumer goods still need to be located close to low-cost labor, but connectedness to intermodal port is vital too. The production of shoes is no longer concentrated in handful of shoe towns on E coast. Nike demonstrates how selecting manufacturing sites for components and products changed with just-in-time production and globalization of production.

Chinese Juggernaut:

China's major industrial expansion took place during communist period. Some industrial growth happened during period of Eu colonial influence and later during Japanese occupation. But when communists took over in 1949, one of leading priorities was to develop China's reduces and industries as rapidly as possible. China is vast country with substantial resource base. Quality of some of its coal is good, quantities enormous, and many of deposits near surface and easily extracted. China's iron ores aren't as productive and generally of lower grade, but new finds are regularly being made. Till early 1960s, Soviet planners helped promote China's industrial development. China was constrained by low level of development before 1949 communist takeover. At time, China had poorly developed transportation network. Its major resource deposits lay far from areas where most peeps lived. Like their Soviet allies, China's rulers determined to speed up industrialization of econ, and decisions led to creation of several major and lesser industrial districts. Inder state planning rules, NE district became China's industrial heartland. Region's coal and iron deposits located in basin of Liao river supported development of heavy industry complex. Shenyahng became Chinese Pittsburgh, with metallurgical, machine making, engineering, and other large industries. Anshan, to S, emerged as China's leading iron and steel-producing center. Harbin to N (China's N-most large city with more than 5 mil inhabitants) produced textiles, farm equipment, and light manufacturing of many kinds.

Made in America or Designed in America? 2

Consumption, while end point of global product network, is beginning of product's afterlife, and afterlife impacts of product made and designed by American firm can extend far beyond country's boundaries. What happens when peeps discard old phones? Corps like Apple work to reduce consumer waste by recycling phones and comps, and by offering discounts to consumers who recycle old phones. Still, there's growing prob with e-waste that comes from discarded phones and other comp products. Much of waste ends up in hazardous dumps. In many global cities in periphery, adults and kids work with toxic materials to recover valuable copper wire and other component of comps and related e devices made by Apple and competitors. Jobs made by industry in one place can cause enviro damage and social effects in nother. Consumption, or purchasing an item, is end point in global production network that affects pacers in dif ways. Studying geo of these networks sheds light on origins and life cycles or products and helps explain how production and consumption affects places and peeps that are part of the network.

The Impact of Transportation Innovations: 3

Containerization even changed map of major port cities. Ports become intermodal hubs, and port authorities and managers constantly expanding and improving infrastructure and systems to attract more cargo. Ports don't just attract cargo, also cruises & stuff. Container ships changed layout and size for many ports. Ports like San Fran declined bc piers not well suited to loading and unloading containers. Others have boomed. Nearby Oakland capitalized on container-friendly port retrofit made it one of more important shipping connectors along W coast. Growth in global consumption of goods helped small ports located near consumers expand dramatically. Nad previously nonexistent ports have emerged as signif port cities bc containerization made economical to produce goods in SE Asia that are sold as far away as NY, London, and Buenos Aires. Studied how containerization increases trade in Benelux (Belgium, Netherlands, and Luxembourg) seaport system. Explains the locational advantage of Rotterdam is that no more than 6 hrs by rail or truck form 85% od pop of W Eu. Container system and growth in shipping at Rotterdam and other benelux ports have combined to foster development of other industries, helping make region warehouse for Eu. The Netherlands now home to more than 1800 US firms including call centers, distribution centers, and production centers, especially for food. Over 50% of all goods entering EU pass through Rotterdam or Amsterdam (Also in Netherlands).

Agglomeration-

Cost advantages created when similar businesses cluster in the same location. Ex, car manufacturers close in a city or region to tap into a skilled labor force and access infrastructure, servies, and technology.

Deindustrialization-

Decline in industry in a region or economy. Happens when companies move industry to other regions or mechanized production. This and growth of service econ unfolded in world econ already characterized by wide socieocon disparities. Only areas that had industry could deindustrialize. At global scale, wealthier industrial regions most successful in establishing post industrial service econ. Deindust did little to change basic disparities between core and periphery that long characterized global econ. Even in manufacturing realm, few key resources were necessary to allow core industrial regions to retain dominance. Such resources included availability of capital, access to tech and infrastructure, and innovative production strategies. Today, E Asia, W Russia and Ukraine, W Eu, and NA still account for over 75% of world's total output of manufactured goods. Despite continued dominance in manufacturing arena, ore experience wrenching changes associated with econ shifts of past 70 ye. There are pockets of signif hardship in relatively prosperous countries. These are results of large-scale deindustrialization.

Least Cost Theory-

Determining the location of manufacturing based on minimizing three critical expenses: labor, transportation, and agglomeration. Model developed by Alfred Weber. Whereas Marshall explained why industries would cluster together, Weber explained where industries would cluster. In Theory of the Location of Industries, Weber examined factories that pull industry to specific locations. Least cost theory focused on factory owner's desire to minimize 3 categories of costs. First and most important was transportation. Weber suggested that least expensive to bring raw materials to point of production and to distribute finished products where transportation costs lowest. Friction of distance is increase in time and cost that comes with increased distance over which commodities must travel. If heavy raw material shipped 1,000 of miles to factory, friction of distance increases. Friction of distance long prompted manufacturers to locate plants close to raw materials- particularly if needed raw materials, like coal and iron ore, were heavy.

Ikea: 2

Developing and controlling large proportion of commodity chain allows Ikea to operate at high volume with low prices, generating small profits for comp along each step in commodity chain, but large profits overall. It invests in distribution infrastructure to keep transportation cost as low as possible. Comp has reorganized distribution center structure so low-flow products (products that don't turn over in stores quickly) are stored in central distribution centers, and high-flow products are closer to sites so can quickly replenish. System efficient, but re enviro costs to building multiple facilities and transporting items across singif distances. Ikea aware of these costs and embraced green tech. Ex, comp moved aggressively to adopt renewable energy sources for heating and cooling of buildings. Also worked with UNHCR to make new more durable housing units for refs, including solar panel that generates enough energy to power one light and USB charging port. These enviro and social initiatives ex of ways some transitional corps seek to demonstrate responsibility to sometimes-skeptical public.

Do Places Still Matter?

Diffusion of manufacturing activity to semiperiphery and periphery, cooped with time-space compression, led some commentators suggest that we're entering era characters at end of geography. Meaning era characterized by so much fast, easy connectivity that where something happens doesn't matter mch. Argues that tech changes and developments in global econ reduced significance of location and made places dif increasingly insignificant. Geos who study industrial production recognize that nature and meaning of location and place changed greatly in recent times. But, also note that these chains don't make goe undifferentiated world. Local infusion continue to matter great deal, but matter in dif way than did in past. So important to understand how places changed as result of new production methods, new corp structures, and new patterns of industry. Then it's necessary to cultivate awareness flow relationship between global processes and local pieces makes opportunities and contracts for dif parts of planet.

Determine How Deindustrialization and the Rise of Service Industries Have Changed the Economic Geography of Trade:

Distinguishing among types of services is useful, given growth in size and complexity of service sector. In global econ core, service industries employ more workers than primary and secondary industries combined. But these service industries range from small-scale retailing to tourism services to research on causes of cancer. Planning all activities in single category not v helpful. Distinguishing among dif types of service industries also useful in highlighting particular phases in development of service sector. Early in 20th ct, domestic and quasi domestic tertiary industries experienced rapid growth in industrialized world. With approach of WWII the quaternary sector began expanding rapidly, and expansion continued after war. During last 3 decades, both quaternary and quinary expirened v rapid growth, giving greater meaning to term postindustrial. Expanding service sector in core econ only one aspect of changing global econ. Accompanying, and in some cases design, this expansion are several other developments that already mentioned: increasing mechanization of production, particularly in manufacturing enterprises operation in core; growth of large multinational corps; and scattering of production process across geo space.

East Asia:

During 1700s and much of 1800s, Japan's gov chose to be econ isolated from most of world econ. Japan opened its econ through change in gov policy in 1868. After, IR diffused to Japan. It encouraged young men to study sciences in universities abroad so could take knowledge back to Japan and make industries. With limited natural resources, it depend on raw materials imported from other parts of world for manufacturing. Early Japanese industrialization focused heavily on military sector. In late 1800s and early 1900s, Japan used this modernized military to colonize Korea, Taiwan, and portions of mainland China. These places provide resources for Japan's further industrialization and imperial expansion. Japan's dominant region of industrialization and urbanization is Kanto Plain, which has round ⅓ of nation's pop and includes Tokyo-Yokohama-Kawasaki metropolitan area. Japan's second largest industrial complex extends from E end of Seto Inland Sea to Nagoya area and includes Kobe-Kyoto-Osaka triangle.

Capitalism-

Economic system where people, corporations, and states produce goods and services and trade them on the world market with the goal of making a profit. This persists as econ systems not only bc peeps consume, but also bc producers make and respond to consumer demand. Comps adapt to changing consumer preferences. Through commodification, goods were not previously bought, sold, and traded gain monetary value and are bought, sold, and traded on market. New good, like virtual assistant (Ex Alexa or Echo), starts at high price and becomes somewhat of status symbol bc of its high cost. Longer virtual assistants on market, greater number of firms producing virtual assistant, lower price drops. To compete, comp eventually move production of this to lower cost of production.

The Energy Picture: 2

Even with this level of production, US still somewhat dependent on foreign oil supplies. Concerns over state of affairs behind push for US to expand offshore oil drilling. Besides drilling for oil, US also undertakes large-scale fracking of oil and natural gas shale (high-pressure injection of fluid into well bores and release petroleum and natural gas). Opposition to activities has grown. Opponents of offshore drilling point to risks of oil spills, as happened on large scale in Gulf of Mexico 2010 BP. As for fracking, opponents argue it causes air and water pollution and can trigger earthquakes. Still, contesting these projects is difficult given combo of state interest in promoting energy security and corp interests in enhancing profits. Such projects can though be slowed when are no longer very profitable bc declining oil and natural gas price, as happened with 2nd half of 2010s. Expanding use of natural gas since WWII also weakened link between where energy resources are found and where industrial production takes place. Bc the development of natural gas led to construction of vast num of pipelines that carry natural gas across enormous distances. In US alone, 2.4 mil miles of pipelines been constructed by 2018, 2.1 mil miles are dedicated to distributing natural gas.

The Industrial Revolution:

First steps in industrialization happened in mid 1700s in N England where cotton from US and India shipped to port of Liverpool. Textile factories in British Midlands, S of Manchester, took advantage of rivers flowing downhill Wealth brought to Eu through trade funded improvements like spinning jenny and steam engines. Coal powered steam engine, came to be used in water pumps, trains, looms, and ships.

Flexible Production and Product Life Cycle:

Fordist production based on mass production and mass consumption. Money flowed through world econ as consumers bought goods manufactured in large-scale complexes. As global econ became more integrated and transportation costs decreased, advantages of concentrating production in large-scale complexes declined. As result, in latter 3rd of 20th ct, many enterprises began moving toward post-Fordist, flexible production model.

The Regulatory Environment:

Govs regularly enter into agreements with one another that affect production and imports. Over past 70 years, production also been affected by proliferation of regional trade associations and related agreements including Association of SE Asian Nations (ASEAN), the US-mexico-Canada Agreement (USMCA), the EU, and more. Regional trade agreements similar to bilateral agreements between two countries, but involve more than 2 countries. Can result in movement of production within region and can diminish (or remove) trade quotas and tariffs among member countries to promote trade. Most state govs are also mems of World Trade Org which develops rules of trade among mem states. The WTO generally seeks to promote freer trade by encouraging mem states to sign agreements. Also works against important quota systems and discourages protection by country of its domestically produced goods. It's an org that promotes globalization and advanced diffusion of industrial production. Agreements negotiated under auspices of QTO often came into force in stages to avoid major econ shocks. In 2001, when Eu and US agreed to allow China to become member of WTO, also agreed to remove quota system that restricts import of Chinese goods into Eu and US. Soon after quotas eliminated US and EU issued safegard quotas against certain Chinese imports to buffer impact of Chinese goods on domestic producers.

The Energy Picture: 4

Growing use of renewable alternative energy sources represents nother recent energy-related development that facilitated spatial diffusion of manufacturing. Even earlier in industrial era, hydropower was renewable source of energy that allowed some industries to move away from coal-producing regions. Ex, it takes enormous mounts of energy to turn copper into usable products, prompting manufacturers to locate plants near electricity-producing dams that give relatively cheap energy. Newer story, though, is growth in alternative energy. Plants producing solar and wind energy sprung up far from traditional places where coal is found- taking advantage of abundant sunshine in some places and steady winds in others. Though alternative energy still represents only fraction of total energy used in manufacturing, and will likely remain that way for many years, its contribution is growing. Many believe that alternative energy tech will serve as major catalysts of future econ growth. Eu and E Asia are investing heavily in these tech, and as they become more widespread, industrial locational flexibility will grow.

The Impact of Transportation Innovations: 2

High volume of resources and goods shipped round globe over past few decades couldn't have happened without invention of container system. Goods now packind in standard-sized containers picked up by special mechanized cranes at intermodal connections and places on ships. At next destination, moved to semitrailer trucks, barges, or railroad cars. Container systems lowered costs and increased flexibility, permitting many manufacturers to pay less attention to transportation costs in their location decisions. Refrigerated containers also ease shipment of perishable goods round globe. Container ships dramatically changed econ geo of world econ since first one in 1956. Before contiers ship would arrive at port with various, odd-sized crates and boxes. Hundreds of longshoremen flock to dock to unload goods by hand. With containerization, ports now have relatively few employees, who operate high-tech cranes, moving standard-sized containers from ship to dock or dock to ship with precision. Massive container ships can be updated within 24 rhs of reaching port. Nearly 90% of long-distance cargo now shipped in containers. Containers can accommodate goods worth mills of dollars. Steel containers structurally sound and can be stacked and moved from truck to rail to ship without worrying about how fragile contents of containers are. Laget of today's container ships enormous, more than 4 football fields long and over 60 yards wide. Most container ships designed to fit through Suez Canal and Panama Canal, which was widened in 2016 to accommodate all but largest of new container ships.

Outsourcing-

Hiring employees outside the home country of a company in order to reduce the cost of labor inputs for the good or service. A large part of business decision making now focuses on outsourcing and global sourcing- where to extend contracts to complete projects and where to have component parts produced and assembled. Econ geo originally used outsourcing to describe comp in core country moving production or service abroad. In 1990s and into 21st ct, outsourcing implied taking work that would normally be done in global econ core and moving it to semi periphery or periphery. Media coverage often focused on outsourcing of manufacturing jobs to China and outsourcing of call centers to India.

Diffusion of the Industrial Revolution to Mainland Europe:

In early 1800s, innovations of Britain's IR diffused into mainland Sites needed to be close to resources and connected to ports by water. Coal and iron ore were heavy, and transportation of both was costly. First manufacturing belts in continental EU were located close to coal fields. Also connected by water to port so raw materials could be imported from Americas and Asia and finished products could be exported. Belt of major coal fields extends from W to E through mainland Eu, across France and Belgium, Netherlands, German Czechia, in Poland. Colonial empires gave access to capital and raw materials to fuel industrialization, benefiting them. Iron ore found along similar belt. Map outlining diffusion of IR into Eu shows industrial production was concentrated along coal and iron ore belt through middle of mainland Eu. When industries developed in one area, econ growth had spillover effect on port cities where were linked by river, canal, or rail. One of largest industrial centers in continental Eu was Ruhr area of now Germany (germ didn't become a single country until 1870s). Ruhr connected to port of Rotterdam, Netherlands, by Rhine River. Each port ahs hinterland, delivered to port, then exported. Port also serves its hinterland by importing raw materials delivered to manufacturing sites for production. Rotterdam is port, and its hinterland includes region along Rhine, including Ruhr in Germ.

Places Vulnerabilities in a Service Economy: 2

In globalized world, disruption in city or region with which service-oriented place linked can have serious consequences for that place that beyond control of anyone there. When Arab Spring broke out in Cairo, econ of Luxor (400 miles S) took major hit bc international tourism stopped. Some globalized econ developments can also negatively affect local places. Ex financial service industry expanded rapidly over past few decades bc of increasingly innovative products and arrangements. Some peeps made lots of money, but some financial instruments and procedures based on unrealistic assumptions. Banks made loans shouldn't have made, and mortgages issued to peeps unlikely to meet payments. These practices contributed to dramatic econ downturn of 2008, when housing slump led to many defaults on so-called subprime mortgages. Banking crisis followed that rippled through econ and, in interconnected world, affected fortunes of places near and far. Crisis reminded us of continuing vulnerabilities of places in servie econ, even if no direct challenge to specific service industries on which local econ based. Also raises key question with geo foundation: What are consequences of divorcing development of wealth in knowledge econ from fate of individual places, regions or countries?

The Rise of East Asia:

Industrial growth of Singapore also influenced by its geo setting and changing global econ division of labor. Strategically located at tip of Malay Peninsula, Singapore is small island inhabited by little over 4 mil peeps, mostly ethnic Chinese but with Malay and Indian minorities. 50 ye ago, Singapore mainly transshipment point for such products as rubber, timber, and oil. Now, bulk of foreign revenue comes from exports of manufactured goods and, increasingly high-tech products. Singapore also center for quaternary industries, selling services and experites to global market. Rapid econ growth brings with risks. In 1997, risky lending practices and gov investment decisions caused thailand's currency to collapse. Its stock market then followed; banks closed and bankruptcies filed. Soon Malaysia and Indonesia affected. By early 1998, one of 4 tigers, SK, required massive infusion of dollars (provided by internal monetary fund, an international financial institution), to prevent econ chaos. But, reform that allowed region to overcome these econ troubles served to strengthen E and SE Asia's econs. 4 tiers continue to exert powerful regional and international econ role.

Explain Global Patterns of Industrial Production:

Industrial production encompasses broad range of manufacturing activities, not just steel mills and chemical plants tend to associate with industry. World map of industrial production today is more complicated than 1950s predecessor. Some older centers of industrial production declined or shifted to dif kinds of production, and many new centers have sprung up. These changes are tied to forces like transportation innovations, global division of labor, flexible production, and increasingly complex global production networks. Outside narrow range of products that rely on heavy raw materials, Weber's location theory no longer word to explain spatial org of industrial production, In increasingly integrated network of global icites, industrial location influenced not just by labor costs, transportation, and market access. New it's also by regulatory enviro, changing energy picture, and access to skilled labor.

Ikea:

Largest producer, distributor, and seller of furniture in world now is based in Sweden. Ingvar Kamprad founded comp in 1943 at 17. He first sold matches from door to door in neighborhood in Sweden. Expanded offerings to pens, Christmas decor, and greeting cards during teens. Pens one of main offerings in Ikea when founded comp in 1943. He first made and sold funrite un 1948, using wood from Sweden's forests. Cop expanded in product offerings and locations since, focusing on producing modern and classic furniture at affordable price. It has 10 distribution sites in US. Distribution in Savanna allowed it to reduce transportation time and cost of distribution to stores in Orlando, Tampa, and Atlanta. It also enabled Ikea to open more locations in Florida and elsewhere in SE. Growth in demand for Ikea products in SE led to comp opening most recent distribution center in Florida. It's newest distribution costs models of efficiency. Computerized robotic cranes move products into distribution center and pull goods out for distribution to stores. Crone never empty-handed, same crane that loads goods into distribution from ship finds and loads goods onto trucks and railroad cars for transport to stores.

New Patterns of economic Activity: 2

Locational influences in quaternary services more diverse. These high-level services aimed at collection, processing, and manipulation of info and capital. Some strongly tied to partic location. Retail banking and various types of admin services require high level of personal contest, so those services tend to be located near business they serving. Other types of quaternary services can operate almost anywhere as long as have access to digital proceeding equipment and telecommunications. When send in credit card bill, unlikely to go to city where headquarters of issuing bank is located. Instead, will go to N Dakota, S Dakota, Nebraska, or Colorado. Similarly, many "back-office" tasks related to insurance are performed in places like Des Moines, Iowa, not Chicago or Hartford. Many quaternary service activities spread across globe. If go for MRI at NA hospital late in day, image produced may be evaluated in India. Many of call centres for technical help for comps and related industries (software, hardware) located in India and Philippines. Given relatively high levels of college edu and large num of english speakers in these places, and ease of routing phones through internet, help desks need not be located down hall or down street. These locational curiosities occur bc tech advances in telecommunication sector allowed all types of quaternary industries to be located far away from producers or consumers. What matters is infrastructure, workforce that sufficiently skilled but not too expensive, and favorable tax rates.

The Energy Picture: 3

Long-standing reliance on oil and gas in industrial production through much of world has had profound impact on countries with extensive oil and gas reserves: Saudi Arabia, Kuwait, Iraq, Russa, and others. None of these countries except Russia is major industrial power, but all played key role in industrial boom of the 20th ct. While oil brought great wealth to some in these countries, also ensured that outside powers, like US and GB, were anxious to ensure they wouldn't lose access to their energy resources. This set of circumstances put these counties in geopolitical spotlight. Also left them vulnerable to global fluctuations in price of oil and gas-continuing issue today. Looking forward, states dependent on oil and gas production facing questions bout what happens when oil and gas run out. Or when growth in alterative energy sources weakens oil and gas market. New sources of energy been developed over past 70 ye to supplement oil and gas, furthering spatial decoupling of industrial production from natural resource reserves. Use of nuclear power expanded rapidly in 1960s and 1970s, with many plants coming on line in widely dispersed locations. More recently, combo of several high-profile accidents and concerns over disposal of nuclear waste have prompted some countries to turn away from nuclear power. Still, nuclear power still accounts for round 14% of global energy production (over 50% in some counties, with france at 75%.) And geographic dispersal of these plants makes it possible for manufacturing facilities to locate in wide range of places.

The Globalization of Production:

Major global econ players take advantage of low transportation costs, favorable gov regs, and expanding info tech to construct vast econ networks where dif parts of production process carried out in dif places to benefit from advantages of specific locations. Ex of comps that made networks include Gen motors, Philips, Union Carbide, and Exxon. One way to grow profit is to cut costs, and labor (wages, benefits, insurance) makes up sizable proportion of production costs. Most multinational corps moved labor-intensive manufacturing to peripheral countries have low cost labor, few regulations, and low tax rates. Manufacturing that stays in core usually highly mechanized. Tech sophisticated manufacturing also tends to be sited in core or semi periphery bc expertise, infrastructure, and research and development are there.

Fordist-

Manufacturing system in which raw materials are brought into a central location and component parts and the final product are produced at the same location and then shipped globally. Manufacturing boom of 20th ct began with early innovations in production process. Perhaps most signif was mass-production assembly line pioneered by Henry Ford, allowed inexpensive production of consumer goods at single site on previously unknown scale. Ford's idea so important that dominant mode of mass production came to be known as Fordist. Fordist production also gave rise to political-econ and financial arrangements that supported mass production by corps. Global manufacturing operated under Bretton Woods financial order, series of agreements made at 1944 conference in Bretton Woods, New Hampshire. Countries who signed Bretton Woods accords agreed to peg value of currency to US dollar, pegged to gold (US later stopped pegging its currency to gold in 1971). In uncertainty after WWII, Bretton Woods made stability in international exchange that was needed to encourage mass production of goods on global scale. 1900s were marked by surge in production and consumption. Workers found employment on assembly lines. Ford paid workers good wages, droves of job seekers migrated to Detroit area to work in the automobile industry. Ford's goal was to mass-produce goods at price point where workers could afford to purchase them.

Flexible Production-

Method of manufacturing designed to adapt quickly to changes in demand, labor, and resources. In post-Fordist model, production processes driven by customer demand, and components of goods made in dif places round globe and brought together for assembly. Flexible production term used bc firms can pick and choose among many suppliers and production strategies over world. Can quickly shift where they manufacture or assemble products in response to adjustments in production costs or consumer demand. These systems respond to consumers who want newest, best, or greatest offering, and enable manufacturers to lower cost of production by moving round world.

New Patterns of economic Activity:

Most service industries not tied to raw materials and don't need large mounts of energy, Market accessibility more relevant, but advances in telecommunications rendered even that facor less important for some types of service industries. To understand influences that shape location of services, useful to review distinction among tertiary, quaternary, and quinary industries. Tertiary services related to transport and communication closely tied to pop patterns and location of primary and secondary industries. Other tertiary services, like food service and retail, influenced mainly by market considerations. If are located far from consumers, unlikely to succeed. Geo can use tech like GIS to model nest locations for new businesses, office complexes, gov centers, and transportation connections. Major retailers don't just shape landscapes of places where choose to put stores. Also change econ prospects and physical landscapes of places where headquarters located. Walmart's headquarters in Bentonville, Arkansas, provide striking ex. If produces of consumer products want to sell goods in Walmart stores, must travel to Bentonville to negotiate deals with Walmart. In order to give low prices to consumers, Walmart negotiated low prices with major producers. To make lower-priced products, comps moved production abroad and to make good relationships with world' num 1 retailer (With sales of over $500 bil in year), variety of comps moved to Arkansas. Those comps, along with array of other businesses supporting activities (hotels, restaurants, copy centers, delivery series), fundamentally transformed state.

Determine How Deindustrialization and the Rise of Service Industries Have Changed the Economic Geography of Trade: 2

Not all services contribute equally to econ. Can pay $20 for haircut and $20,000 for surgery, but both part of service industry. Can also think bout services in terms of low cost, low benefit vs high cost, high benefit. When pay $20 for haircut, money goes to person who cuts hair, and stylist uses some to pay rent to salon owner and some to buy food. Impact of fraction devoted to rent multiples, as owner devotes portion of it to utility comps that serve salon and beauty comps that supply salon with products it uses. With $20,000 surgery, paying part of income of surgeon, anesthesiologist, and nurses. Also paying hospital, which purchases utilities and medical products. For each service purchased, think bout person being paid as having wake (like that caused by boat) behind them. Stylist can pay for only small part of rent and couple of groceries form $20- low cost, low benefit to econ. Surgeon can pay part of child's private school tuition, part of vacay, and entire month's worth of groceries- high cost, high benefit to econ.

The Wider World:

Other newly industrializing countries become increasingly signif global nodes or production. Over past decade, manufacingt surged in world cities of S and SE Asia, in S Africa, and parts of C and S America. Brazil, Russia, India, China, and S Afirca sometimes grouped in acronym BRICS (each letter standing for a country), bc these countries demonstrate shift in global econ power away from traditional econ core. India became world's 6th largest econ. Though industrial production in India modest when compared to country's hige size and enormous pop, major industrial complexes developed round Kolkata (E district, with engineering, chemical, cotton,and jute industries, and iron and steel based on the Chota Nagpur reserves), Mumbai (the W district, where cheap electricity helps the cotton and chemical industries), and Chennai (S district, with emphasis on light engineering and textiles. India has no major oil reserves, so spends heavily on oil energy. But country has great deal of hydroelectric potential and access to ample coal. Its Bihar and Karnataka iron ore reserves may be among largest in world. With labor force, groin middle class, and location midway between Eu and Pacifc rim, India's econ influence is on rise.

The Growing Role of Skilled Labor:

Over the past ½ ct, mechanization has revolutionized industrial production of many goods. Factories that once employed 1,000 of peeps now operate with only few 100 employees who maintain machines that do much of work once done by humans. Complex global production networks that part of life cycle of many products demand a workforce that's more focused on business management than mechanical tasks. And increasingly complex regulatory enviro surrounding industrial production in many places requires individuals who know how to navigate that enviro. These developments make it important for growing num of industries to locate in places with access to skilled labor. To be sure, many industries still employ substantial nums of peeps performing lower-skilled jobs. But, balance between those jobs and ones requiring more advanced computer, business, and human resource skills has shifted. Result is that place with substantial pools of high-skilled peeps can help attract certain types of manufacturing. Ex are capital cities and cities with universities and research institutes. That helps to explain why industrial agglomerations are located close to major urban centers in variety of world regions.

Diffusion of the Industrial Revolution to Mainland Europe: 3

Paris was already continental Eu's greatest city but didn't have coal or iron deposits in immediate vicinity. But, when railroad system added to existing network of road and waterway connections to Paris, city became largest local market for manufactured products for hundreds of miles round and attracted major industries. City had long been center for manufacture of luxury items, like jewelry, perfumes and fashions, now experiencing substantial growth in metallurgy and chemical manufacturing. Paris had readly labor force, presence of gov agencies, enabled ocean ports, and France's largest domestic market. London and Paris became and remain important industrial centers bc of commercial and political connections with rest of world. Gemr still ranks among world's leading producers of coal and steel, and reains Eu's most important industrial power. By early 20th ct, industry began to diffuse far from original Eu hearth to N Italy, Catalonia, and N Spain, S Sweden, and S Finland.

Global Production Networks-

Pattern of flow from raw materials to global product to disposal or resume of products that shows all the places connected through production. Given complex geo dispersed networks that now are part of creation of many goods and services, econ geos increasingly argue that commodity chain model is too simplistic. Instead should be thinking bout this- networks that encompass the wide variety of activities, arrangements, and transactions that are involved in the production. Distribution, and consumption of goods and services. Concept draws attention to wide variety of arrangements and relationships that knit together peeps and places and define the world econ today.

Site-

Physical attributes of the location of a human settlement- Ex. at the head of navigation of a river or at a certain elevation.

Places Vulnerabilities in a Service Economy:

Places are subject to vulnerabilities in any type of economy. In the early stages of insurrection, the economic fortunes of places were tied to their manufacturing operations. As a result, such places were vulnerable when demand shifts for the goods produced by local manufactures. They were also threatened by changing costs of transportation, or decisions by business owners to downscale or shift production elsewhere. Many older industrial areas in US and Eu experienced such adjustments, and best hope for rebuilding often lay in service econ. Ex, in city at heart of Germ's Ruhr Valley, abandoned steel mills turned into tourist attrition and warehouses converted to retail establishments, returnast, and offices. Service econs made own vulnerabilities. Tourism can fall off in face of econ downturns or natural hazards, and office work can be outsourced to distant places. Usually think of manufacturing jobs being affected by mechanization, but service jobs vulnerable too. In recent decades, countless jobs in travel planning industry been lost to Internet. Similarly, scanning machines in supermarkets reduced need for employees and automated answering serveis taken place of live voices in many businesses. Such changes can make same sorts of hardships and pressures for econ readjustment used by communities that rely on secondary industries.

Connectivity-

Position of a place or area relative to others in a network. Outsourcing suggest a one-way movement of econ activities- from core to periphery- that is overly simplistic in now's global econ. Growing connectivity and rise of major Chinese and Indian comp deepend globalization. Outsourcing thus became umbrella term for use of global production networks to manufacture goods and provide services globally. Outsourcings been driven in part by growth of Indian comp that specialize in completing projects and fulfilling contracts by becoming experts in outsourcing themselves. Imagine that global comp, headquarter in US, produces and sells accounting software. Major regulatory change in US might require comp to reprotane software to account for complexities of new regs. Comp can hire Indian comp like Tata or Infosys or Wipro that specializes in what's called business process outsourcing (BPO). The ball then in the Indian comp's court. Has to produce finished product by contractually agreed-upon date to get paid, and can do whatever sees fit to get job done. In many cases, Indian comp outsources work itself, keeping tabs on and testing products before delivering to comp in US. BPO also happens when certain business functions (call centers, human resources, accounting, software engineering, and the like) are turned over to Indian firms to manage.

The Industrial Revolution: 2

Pre-IR in iron working enabled iron to be used in many inventions of IR. Residents of town near other, still takes pride in town's bridge, first to be constructed only from cast iron in 1779. During early IR, before railroad connected industrial sites and reduced transportation costs of coal, manufacturing had to be located close to coal fields. In Britain, densely populated and heavily urbanized industrial regions developed near coal fields. Manufacturing plants also needed to be connected to ports, where raw materials could arrive and finished products could depart. In first decades of IR, manufacturers used boats and barges traveling down canals and rivers to move raw materials to industrial zones and finished products to ports.

Globalization-

Process highetning interactions, increasing interdependence, and deepening relations across country borders. Also outcomes of these processes, unevenly distributed and look dif from place to place. Globalization couldn't have happened without improvements in transportation and communication tech. Improvised sailing ships and navigation methods helped establish global trade routes and first wave of colonialism. Invention of steamship, diffusion of railroads, and diffusion of telegraph and telephone quickened global trade and make context for second wave of colonialism. Major tech developments that expanded or were invented after WWII, including jet airplanes, container ships, telephones, and Internet, furthered globalization. So far, globalization helped us understand many human geo developments, including local and pop cultures, identities, lang loss, colonialism, political disputes, and of development. Turn to its impact on geo of manufacturing and service industries since WWII.

Flexible Production and Product Life Cycle: 2

Production of good changes over time. Ex, production of tv moved through 4 stages: introduction, growth, maturity, and decline. Commercial production of tv sets began after WWII. Variety of small and medium-sized firms in Eu, Asia, and NA involved in production during stage. Firms in US were dominant producers till 1970s. Cost manufacturing tvs was high in introductory stage bc comp had invested great deal in developing tech, but hadn't sold enough units to lower cost. During 1970s and 1980s, tv production hit growth stage, when dramatic shift occurred. Small num of large Asian producers, particularly in Japan, seized much larger percent of market and few Eu firms increased position too. Increased sales and profits during stage encouraged comps to produce and sell large nums of tv. During 19970s, major firms moved manufacturing of components and assembly of tv out of home countries. US firms moving these functions to maquiladoras of Mexico and special econ zones of China. Japanese firms moved component manufacturing and assembly to Taiwan, Singapore, Malaysia, and South Korea. Assembly stage was most labor intensive, so tv manufactures tapped into global labor market and located assembly plants not just in Medico, China and SE Asia, also India and Brazil. In maturity stage, few manufacturers confined to make small changes to product and invested in marketing to secure market share. Manufacturing of tv became more mechanized. More tech lowered wage costs, and comps moved production closer to consumers. By 1990, 10 large firms responsible for 80 5 of world's color tv. Of those 10, 8 were Japanese and 2 were Eu. only one was in US, and share of global market relatively small. In decline stage, fewer consumers demanding product. In response manufacturers began shifting to research and development of new goods or production of other higher-demand goods. In 21st ct, electronic comp like samsung and panasonic invested in research and development of high-definition and plasma tv, and these high-end tvs now produced in Japan, and more recently China and South Korea. These investments began new product development cycle for high-definition electronics.

Cottage Industries-

Production of goods in a home or small workshop, typically by hand or with low technology. Manufacturing began way before Industrial Rev. In cottage industries, fams in community worked together out of homes, making component of finished good or the good itself. Ex. in town in England, few fams would receive shipment of wool from merchant and prepare it and pass it to fams who would spin wool into yarn. Those fams then passed yarn to weavers who make blankets & other wool products. Typically, work done over winter, after harvest & before planting next year's crop. In spring before planning, merchants returned to pick finished product & pay for production. They then shipped goods round world.

Just-in-Time Delivery-

Production system in which parts are delivered as needed to the assembly line so that parts are not warehoused, stored, or overproduced. Time-space compression shapes global division of labor. When world less interconnected, most goods produced not just close to raw materials, but also close to consumers. Major industrial belt in US was NE, bc readily available coal and other raw materials and most of pop there. Changed with just-in-time delivery. Instead of keeping large inventory of components or products, comps keep what need for short-term production and new parts shipped to them quickly when needed.

Sun Belt-

Region of economic growth with an expanding technology-based serie sector and a stable manufacturing sector that stretches along the S US from Vrginua to California. Still, some parts of Rust Belt revived signif in recent ye. Num of secondary industrial regions transitioned to viable service econ fairly successfully, Sun Belt is now. Both pop and econ of this region grown over last few decades. Service-sector business chosen to locate in places like Atlanta Dallas, where climate warm and laws favor business interests. E part of Sun Belt served as early industrial region. Birmingham developed iron and steel econ and Atalanta an industrial econ round cotton, tobacco, and furniture. In recent decades, high-tech financial distress changed econ and landscape of Sun Belt.

Diffusion of the Industrial Revolution to Mainland Europe: 2

Rotterdam grew to be most important port in Eu. Over last 200 ye, Dutch radically altered port. As production and transportation innovations took hold. Rotterdam built now facilities to accommodate them. In the 1980s, Rotterdam was opportunity to connect port with interior of continental Eu by railroad. Extended port further W and built rail line, connects Rotterdam with Emmerich, Germ. Rotterdam both starting and end point for goods along corridor. Continues to expand to meet changing situation of global econ. In process, has solidified position as one of most important hubs of global commerce. Once railroads well established in GB and continental Eu, comps could locate manufacturing plants away from coal and iron ore and in (or close to) major cities like London and Paris. Cities could import raw materials, produce goods drawing from large labor supply, and sell goods to many consumers living in cities. Till railway expanded through GB, industrialization slow to reach London bc it lacked easy access to coal and iron ore. But when railroad arrived, London became particularly attractive site for industry. This port location on Thames River an advantage. More importantly, near center of British empire. By choosing site in London, manufacturing comp could put itself at heart of Britain's global network of influence.

Contemporary Centers of Industrial Activity: 2

Same can be said of many other centers of industrial production that already on 1950 map. Biggest change from that map is emergence of much more geo dispersed pattern of industrial production. Have seen basic ingredients that gave rise to that pattern: declining cost of transportation, draw of low-cost labor, flexible production and changes associated with regulatory enviro, changing energy pic, and growing need for high-skilled labor. Pattern also reflects developments that infolded in particular world regions that changed world econ. In particular, E Asia become important new region of industrialization. Islands, couties, provinces, and cities fronting Pacific Ocean have made geo term Pacific rim synonymous with manufacturing.

Economies of Scale-

Savings in cost of production that comes from increasing production of a good. (increasing the quantity of goods produced to decrease average cost of production for each item.) Transition from cottage industries to IR happened as Eu sought to generate greater profit by making larger quantities of goods in high demand. Looked for ways to take advantage of econ of scale. Eu manufacturing operations grew during 1700s. But, Eu products couldn't match price or quality of others in world. Eu comps worked to gain control of overseas industries. Ex, Dutch and British E India Comps target local industries in Indonesia and India in 1700s and 1800s. Dutch & British cops privately owned & operated comps. Each comp recruited and established battalions of soldiers to help take control of production in SE and S Asia. Presence made political chaos, which took advantage of by pitting local factions against one another. British merchs exported tons of raw fibers from India to expand textile industries in N England including Liverpool and Manchester.

Newly Industrializing Countries-

States with growing industrial and service economies and an increasing presence in global trade. Through most of 20th ct, Japan was only global econ power in E Asia, and regional dominance seemed beyond doubt. Other nodes of manufacturing existed, but were no threat, and no match, for Japan's industrial might. In 1960s and 1970s, pic began to change with rise of Four Tigers of East and Southeast Asia: S Krea, Taiwan, Hong Kong, and Singapore. Benefits were 3fold: Labor-intensive industries shifted to areas with lower labor costs, gov made effort to product developing industry, and gov invested in edu and training. From these benefits, tigers emerged as NICs. South Korea developed singing manufacturing districts exploring products ranging from automobiles and grand pianos to calculators and comps. One of these districts is centered on capital, Seoul. City can boast some 10 mil inhabitants in city proper and over 25 mil in metro area. Two other districts lie at S end of peninsula, anchored by Pusan and Kwangiu. Taiwan's econ planners promoted high-tech industries such as personal comps, telecommunications equipment, precision electronic instruments, and other high-tech products. More recently SK have moved in similar direction.

The Industrial Revolution: 3

Steam engine helped concentrate more industrial production in British midlands and NW. Industrialists used steam engine to pump water out of coal mines, making it possible for coal works to reach deeper coal seams. In textile industry, steam engine powered spinning wheels that spun over 100 spools of thread at time and powered dozens of looms in factory at once. Steam engines also fueled newest modes of transportation: locomotives on railroads and steamships on oceans. First commercial railway connected center of textile manufacturing in 1830. Coal, cotton, and textile factories located close to each other, helping areas become hearth of tactile manufacturing in IR. Rail network expanded as 1,000s of miles of iron then steel track laid. Railroads made possible to move larger amounts of products faster. Steam engine also made mark on ocean transport. First steam-powered ship crossed Atlantic Ocean in 1819, shrinking time took sailing ships to travel across seas. After, shipbuilders designed larger steamships could transport more. With development of railroad and steamship, GB expanded econ advantages over world. British investors and business leaders held near-monopoly over many products. British perfected coal smelting, cast iron, steam engine, and steam locomotive. Systems Britain set during IR became institutionalized and helped entrench British econ power. Ex, Building of railway between Manchester and Liverpool, set standard gauge (distance between two railroad tracks) that still used for 60% of the world's railroads now. IR increased Britain's global influence. British capitalized on manufacturing monopolies, resources in colonies, and wealth generated through colonialism and trade to become world's dominant econ and political power in 18th and 19ct.

Commodity Chain-

Steps in the production of a good from its design and raw materials to its production, marketing, and distribution. Ikea made its own C chain. It designs furniture but draws on nearly 1000 suppliers in 50 countries. Comp's volume of production and sales so high that it chooses sites for distribution centers with eye on where stores are and where store expansion will happen.

Global Sourcing-

Tapping into companies that specialize in production around the world to manufacture goods. As BPO software ex suggests, maximizing profits when producing goods is no longer as simple as moving from core to periphery to take advantage of lower labor costs. China capitalized on desire of comps to produce goods globally by becoming world leader in global sourcing. Say you think of great new product, like sunglasses with windshield wipers on them. No longer next to figure out where to make it. Can mock up prototype and take it to global sourcing fair in LAs Vegas, Mexico City, Johannesburg, or Sao Paulo, and meet with dozens of Chinese global sourcing firms. Will give bid on what will cost to produce new product, and tell you when it can be done. You sign contract, and receive shipment of product without ever being in China. Chinese global sourcing firms have signed up with likely ahs connections to manufacturers through Asia, Africa, and Americas. Windshield wiper sunglasses may be labeled "Made in Mexico" when get them. If product flies off shelf and order another shipment, your Chinese global sourcing comp may ship next order with stickers "Made in China." Global sourcing firm connected and nimble so don't have to be. Controls larger part of commodity chain and can generate more wealth for itself by making lowest-cost production decisions.

High-Technology Corridors:

Technopoles can be found in W Eu, E Asia, NA, Australia. Few on scale of Silicon Valley, but visible elements of econ landscape. Many spruing on edges of good-sized cities, particularly near airports. In Brussels, ex, route to city from airport passes buildings occupied by comp, communications, and e firms. IN DC, route from airport to city psas headquarters of ocomps like AOL, MCI, and Orbital Sciences. In each of technopoles, major multinational comps attract other startup comps hoping to become major coms, to provide services to major comps, or be acquired by major comps. Many of tech firms are multinationals. Like counterparts in other countries, function in globalized info enviro and market products all over world. Being near raw materials or particular market is unimportant. What matters is being close to major transportation and communication networks. High-tech industries become such important symbol of post industrial world that local, regional, and national gov often pursue aggressive policies to attract firms in sector. Bidding wars sometimes develop between localities seeking to attract such industries. Though high-tech industries often bring econ benefits, have some drawbacks. Communities that attract production facilities find that manufacture of comp chips, semiconductors, and like requires toxic chemicals and large aunties of water. And more research-oriented establishments sometimes have neg enviro impacts in that land must be cleared and buildings constructed to house them. But high-tech sector clearly here to stay, and areas can tap into it usually in an advantageous econ position.

Location Theory-

Understanding the distribution of cities, industries, services, or consumers with the goal of explaining why places are chosen as sites of production or consumption. The von Thunen model is an example. (often credited to Alfred Marshall) North Carolina furniture ex illustrates some of locational influences on industry. Efforts to develop generalizations bout locational influences gave rise to location theory. Marshall argued that similar industries tend to cluster in area. Called this localization, and then agglomeration.

Global Division of Labor-

The ability of corporations to employ labor from around the world, made possible by the compression of time and space through innovations in communication and transportation systems. Various innovations described above led to increasingly globalized landscape of production. Tracing production of conventional tv sets through world over time helps see how happened and how given rise to global division of labor (also called new international division of labor) which refers to late 20 ct tendency for production facilities to be concentrated in global econ periphery and semiperiphery to take advantage of lower labor costs. Then research and development operations can continue to be located in core. Global division labor still with us. But, recent trends toward flexible production meant production can and does move to take advantage of infrastructure, skilled labor, and accessible markets as products and methods of assembly change.

Vertical Integration-

The merging of businesses that serve different steps in one commodity chain. Ford's River Rouge plant in Dearborn, Michigan used vertical int of production common during Fordist period. He imported coal, rubber, and steel from round world and brought them to River Rouge plant in Dearborn, just west of Detroit. Massive Ford River Rouge was industrial complex of 93 buildings with over 120 miles of conveyor belts that covered area 1 x 1.5 miles. Henry Ford Foundation states that his goal to achieve total self-sufficiency by owning, operating, and coordinating all resources needed to produce complete automobiles. It included power plant, bat docks, and railroad. Up to 100,000 peeps worked there. Even had fire station and police department. After this ex, industries moved toward sites with available labor, resources, developed infrastructure and proximity to consumers. Furniture manufacturing shift from Boston in 1875 to Cincinnati by 1890 and then Grand Rapids, Michigan by 1910. Also took off in High Point, North Carolina where entrepreneurs built manufacturing plants in early 1900s to take advantage of abundance of lumber, low cost labor and reconstruction era wood-working skills and attitudes. Furniture manufacturers also drawn to High Point for presence of infrastructure, proximity to customers, and humid climate, kept wood from cracking. High Point and other furniture centres agglomerated (clustered together) to take advantage of nearby forests and available services and infrastructure.

New Patterns of economic Activity: 3

Those who work in quinary sector can be widely dispersed. But many concentrate close to seats of gov, universities, and corp headquarters. Corp headquarters tend to be in large metropolitan areas, whereas seats of gov and universities are in places that were chosen long ago as appropriate sites for admin or edu activities based on cult values or political compromise. American ideal of "university town" (originates in Germany) led to establishment of many universities in modest-sized towns instead of major commercial centers. Political compromises led to establishment of major seats of gov in small towns. Ottawa, is ex. The point is historical location decisions influence geo of quinary sector. Not just university professors nad gov officials who affected. All sorts fo high-level research and development activities located in fringes of universities, and host of specialized consultants tend to concentrate round gov centers. These then become major nodes of quinary activity.

Tourism Services: 2

Tourism is major service industry. Communities over world worked hard to promote tourism, and many econs now rely on tourist receipts. Tourist industry transformed downtowns, ports, hiteraldns, parks, and waterfronts. High-rise, ultramodern hotels dominate urban skylines from Boston to Brisbane. Port of Miami and Fort Lauderdale been reconstrued to serve cruise industry. Many ports from Tokyo to Tampla added cruise terminals compete with shopping malls and restaurants. Theme parks establish near sites and draw mills of visitors and directly or indirectly employ 1,000 of workers. Dubai constructed indoor ski run in Mall of Emirates to attract more visitors. Once-remote wildlife parks and nature reserves in E Africa and S Asia now get 1,000 of visitors. Now require explained facilities, and increased in visiors can cause conlgial damage. Many formerly isolated beaks now lined by high-rise hotels and resorts. In Caribbean and Pacific, some entire islands been taken over by tour operators. Econ impacts of tourist-related development far reaching. Monetary value of goods and services associated with tourism now exceeds $8 trillion. If spillover effects considered, figure even larger. With growing middle class in China and India, with increase in average life expectancy, figure likely to continue to grow. That growth then affects places over world.

Nike: 2

Transportation from making shoes in few shoe towns to having them pass through elaborate global network of international manufacturing and sales didn't happen overnight. Nike founded in 1961 and designed trademark waffle sole would make more traction for runners and sold $8000 in footwear first year. Comp established headquarters in Oregon. It began production in 1960s by contracting with Asian from to manufacture shoes. In 1974, it set up first domestic shoe manufacturing plant in New Hampshire. By end of that year, it's workforce still modest num. Employees in Oregon concentrated on running comp and expanding sales, while employees who worked directly for Nike in NEw Hampshire and Asia made shoes. It grew to be world's leading manufacturer of athletic shoes, with global sales over $36 bil in 2018 and worldwide labor force of over 70,000 peeps in 44 countries. As sales skyrocketed, Nike established new manufacturing plants in Asia and beyond. Though several 1,000 peeps work for Nike in Oregon, none involved in putting shoe together. Employees at headquarter are designers, planners, financial admin, marketing and sales specialists, info tech directors, computer technicians, lawyers, and support personnel. Work to make production and sale of Nike products through network where each node makes some contribution. Then it is influenced by niche it occupies in network. It's Oregon employees do this from place bears little resemblance to what one might found in town housing important shoe comp in early 20th ct.

Diffusion of the Industrial Revolution Beyond Europe:

W Eu's early industrialization gave it enormous econ head start, first movers advantage. Region positioned at center of quickly growing world econ in 19th ct, when industrialization began to diffuse from Eu to Aemericas and Asia. Secondary hearths developed in E NA, W Russia and Ukraine, and E Asia. Primary industrial regions established by 1950s were close to coal, major energy source, and connected by water or railroad to ports. These regions targets of heavy investment, bringing prosperity to regions and wealth to investors.

The Impact of Transportation Innovations:

Weber's theory of location was written over ct ago, when cost of transportation over 50% of final price of goods traveling over singing distances. He emphasized transportation costs as most important variable in industrial location. But its now 5% or less of cost of most goods. In era of vastly improved infrastructure, relatively cheap oil, and container ships, widely dispersed production systems can be cost effective.

Made in America or Designed in America?

When open box with Apple product, words are designed by Apple in California. But the actual phone is made in Italy, Taiwan, Germ, Japan, SOuth Korea, and US. Phone is not made just in US, but few products are produced solely within one country, especially tech. Does fact that entire iPhone not in US mean it doesn't benefit US econ? Research and development that went into iPhone and other innovative components took place in US, and great benefits flow to US based Apple which employs many Americans and whose stockholders have benefited from the product. Apple also captures much of financial benefit form sale of phones round world, and invention of phone led to development of related products and services, many of which based in US and contribute to country's econ. When consider how American made in US product is, it's also important to think bout social and enviro impacts of creation and use. For any product or service that's tied to global production network-and most higher-value products are- the impacts don't stay within individual countries. What happens during production process gets most of attention, but consumption matters too.

Intermodal-

Where two or more modes of transportation meet (including air, rad, rail, barge, and ship). Efficient transportation systems enable manufacturers to buy raw materials from distant sources and distribute finished products to consumers in distant locations. Since WWII, major developments in transportation have improved intermodal connections in order to ease flow of goods and reduce costs of transportation. Manufacturers also look to develop alternative transportation options in event of emergencies (ex truck routes when rail service is interrupted).