Topic ECONOMIC ACTIVITIES

and GLOBALISATION

PRIMARY SECTOR

This sector deals with RAW MATERIALS egFishing / Farming / Mining

SECONDARY SECTOR

This sector involves factories. It processes / changes materials into products.

Port Talbot Steel Works in South Wales

TERTIARY SECTORThis sector is the retail / service sector.This is where products are sold in shops, supermarketsThe tertiary sector includes services such as banking, insurance etc.Anyone who provides a service is in the tertiary sector.

Place these jobs under the correct heading.

PRIMARY SECONDARY TERTIARY QUARTENARY

TEACHER-PRO-FOOTBALLER-FISHERMAN-DOCTOR-CAR ASSEMBLY WORKER-SCIENTIST-CHECKOUT ASSISTANT-FARMER-RESEARCHER-BUILDER-MINER-STEELWORKER-FOOD PROCESSOR-LAWYER-ESTATE AGENT

Employment Structures

Look at these 3 pie charts that show % of people in different countries.An MEDC an Emerging Country and an LEDC.

CHINA

Industry as a System

Construct a systems diagram for the manufacture of a car

INPUTS PROCESSES OUTPUTS

RE-INVESTMENT

PROFIT

Factors affecting Industrial Location.

PHYSICAL FACTORS

RELIEF / FLAT LAND MOUNTAINS

DRAINAGE / WET DRY LANDNATURAL RESOURCES

Accessibility

COASTAL LOCATION / PORTS

HUMAN FACTORSPOWER SUPPLIESLABOUR SUPPLY

LOCAL SKILLSTRANSPORT LINKSROADS –RAIL -AIR

NEARNESS TO MARKETSGOVERNMENT POLICY

[ CASE STUDY NISSANS ]ASSISTED AREAS

INDUSTRIAL LOCATIONThere are many important factors to be considered before any business selects a location for a factory.Physical factors. Look at this photograph and list 3 problems of selecting this location.

Industrial LocationHuman FactorsIncluding :

1.Power supplies

2.Transport

3.Communications

4.Labour supply

5.Markets

CASE STUDY

• The Steel Industry in South Wales• You need to ask the following questions.• Why did the steel industry dominate the

landscape of South Wales for so long?• What were the causes of its decline?• How has the steel industry adapted to this

decline?• Where are the new steel super powers?

Steelworks at Ebbw Vale

Steelworks at Ebbw Vale

Natural Resources

Steel in South Wales

Ebbw Vale steelworks

Steel in Wales today

Where is steel produced today?

What are Industrial Estates?

This is Faringdon Industrial Estate. Note the buildings. All purpose built / uniform. Lots of parking / flat land.

Industrial Estate Location

Faringdon Industrial EstateThink about Physical Factors + Human Factors

Oxford

M40

+

A34

SwindonM4 + M5

Labour

Flat land

Aeriel view of Faringdon Industrial Estate

Note the followingLarge open site.

Easy to parkLorries can come and

go quickly

Flat land easy to build

Easy to expand

Close to transport links

Close to housing for labour supply

What is a Retail Park ?

Retail Parks are large sites with stores / warehouses that sell products.

Location of Abingdon Retail Park

Retail Park

A 34

Edge of town easy access

What is a MultinationalMNC = MULTINATIONAL CORPORATION ?

• A company that has offices / factories around the world.

• Examples :

What is Globalisation ?• This is the idea that the world is a global market

place where people / companies can trade.• Think about the multinationals like • How is this possible ?• Modern communications,internet / video / skype/

texting all mean that people can communicate 24 / 7.

• Modern transport can move goods around the world very easily.

The impact of Globalisation on MEDCs

• Factories in MEDCS lose business and might have to shut down:

• Higher unemployment.• Impact on local economy.• Loss of skills.

Burberry closed its factory in Wales in 2007.

300 people lost their jobs.

What impact does Globalisationhave on LEDCs ?

Loss of culture in poorer countries

Loss of tradition in poorer countries.

Negative influence of Western Culture.

Including music / films etc.

Does Globalisation benefit peoplein L.E.D.C.s?

• Might receive training build up skills

• Local people have an income.

• The local economy benefits as people spend their money.

• 90% of factory workers are women.• An income gives women status /

empowerment.• Greater awareness of production

methods in LEDCs has seen western consumers demand a more ethical approach to how things are made.

• Standards in factories are improved for example. In this Nike factory in Taiwan workers

produce 12 % of the 75 million pairs of Nike shoes made every year.

The average wage is £30.00 a month

On the other hand……..

If labour costs rise Nike could simply relocate where costs are cheaper

Why are products produced in L.E.D.C.s?

• Wages are low, therefore products are cheaper.• Plentiful supply of labour.• Workforce is highly skilled.• Raw materials close at hand.• No unions to protect interests of workers.• No strikes!!