Heavy Industries

 Large scale in operation

 Deal in bulky goods
 Heavily dependent on raw materials
 E.g Iron and steel
 Car manuf

 Coal industries
Light industries

 X’tics
 Small scale in operation
 Deal in lighter goods

 Not tied to the location of raw materials

 Eg.
 Electronic industries
Industrialization

Science and Business Parks

Business Parks
 They are industrial estates
 Located on edge of cities on green field sites
 Have pleasanter working environment
 Have low density buildings
 70% of land is left under grass
 Ideal for high-tech industries
 May have retail outlets such as hypermarkets
and leisure complexes
Science Parks

 Similar to business parks in terms of

X’tics
 Major difference is that science parks
have direct links with universities
 They concentrate on research and dev’t
for high tech firms
Industrial Estates
 Found on edge of cities and towns
 May also be found closer to inner city
 Attracts some research and dev’t
 They perform manufacturing functions
 Buildings are usually contructed before
company considers locating there
 They are less landscaped as the science
and business parks
Benefits of industrial concentration

 Exchange of ideas and information with other

industries
 Sharing maintenance and support services
 Sharing basic amenities, eg roads,
 Pool of highly skilled labour is attracted
 Benefits from gov’t incentives
 May serve as market for products of some
industries
Case Studies

 Tsukuba Science City

 M4 Corridor – Light Industries
 Teesside – Heavy Industries
 Silicon Glen – High tech industries
Effects of Gov’t Policies on Ind.
Location
The main reason why govt influences the
location of an industry is to reduce
unemployment. This could be done through:
 Industrial devt certificates
 Creation of new towns
 Providing basic amenities and industrial
estates
 Financial aid eg. Removal grants, tax relief
 Enterprise zones
Enterprise Zones

 These were areas meant to attract

industry to old, declining industrial areas.
 There are two types:
 Old inner city areas with derelict land and
high levels of unemployment

 Towns that has relied upon one major

industry which was forced to close down
Enterprise Zones Cont.

Attractions:
 Tax exempt for ten years
 Grants for capital and machinery
 Planning permission
 Removal of administrative controls
 Improving basic infrastructure
Urban Dev’t Corporations (UDCs)

 They are attempts by gov’ts to improve

areas in the inner city, which has
undergone socio-economic changes and
environ’tal degradation.

Two main types:

 Merseyside Dev’t Corp
 London Dockland Dev’t COrp
Urban Dev’t CorP - Cont

Reasons for:
 Reclaim and secure derelict lands for dev’t
 Provide land for industry and leisure
 Build roads and improve quality of environ’t
 Encourage private investment to project
existing jobs
 CASE STUDY: Trafford Park Dev’t Corp.
Transnational Corporations (TNCs)

 These are industries that operate in other

countries regardless of national borders.
 Headquaters is usually in a Developed
country.
 Have branch in LEDCs.
 E.gs:
 Car manufacturing firms - Ford, Toyata
 Oil Corporations – Shell, Total, BP.
TNCs – Blessing or Curse?

Advantage/Blessings:
 Creates employment opportunities
 Local people have guaranteed income
 Improve level of education and tech. Skills
 Attracts foreign investment
 Increase GDP and increase demand 4
consumer goods
 Improves infrastructure of the country
TNCs - Curses

Disadvantages:
 Exploits poor people esp. women poorly paid
 Employ few labour
 Most profits taken overseas
 Inefficient attention to safety and health factors
 Read the Wider world for more esp. Case
study of FORD CAR Company
Newly Industrialised
Countries(NICs) or Pacific Rim
PR or NICs refers to all countries in
Australasia, Asia, N. America and Latin
America that border the pacific ocean.
 It became a center of attention becos
most manufacturing industries in N.
America and Europe are locating there.
 CASE: Study of Japan- Wider World:
Page 146.
NICs -Cont
 Encouraged by the success story of Japan
 Countries like South Korea, Taiwan Hong
Kong and Singapore (Asian Tigers),
concentrated of est.’t of manuf. Industries
 They dev’ped so fast that Malaysia, the most
successful, Indonesia,have improved their
economies.
 China is now emerging as NIC
 Case Study: Malaysia
Industry in LEDCs
 Informal Sector:
 They are self employed
 Less capital required
 Labour intensive
 Low quality standard goods
 No gov’t assistance
 Not legal
 Irregular working hours
Informal sector:

 Advantages
 Employ thousands of people
 Jobs might provide training and skills
with prospects for future jobs
 Products are often affordable by the poor
and lower paid people
 Use local raw materials
Industry in LEDCs - Cont
 Formal sector
 Employee of large firm
 Often transnational
 Capital intensive
 High standard goods
 Regular working hours
 Legal
 Gov’t and multinational help
Formal Sector:

 Use some skilled and many unskilled

workers
 Provides permanent jobs and regular
wages
 Produces durable goods for local
consumption and profits stay in country
 Waste material provide raw materials for
informal sector
Sustainable Dev’t in LEDCs

 IN LEDCs high tech firms are expensive

and inappropriate for the needs of the
people and the environment
 Appropriate technology is the
technology that is in such a way that it is
appropriate to the people and their
environment