Footloose Industry

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Footloose Industry

  1. 1. Footloose industry
  2. 2. <ul><li>A hi-tech industry makes products which are sophisticated and involve a lot of scientific research and development. </li></ul><ul><li>Uses a large number of different components to produce a low weight, high value product </li></ul><ul><li>They are often referred to as footloose industries because they have a free choice of where to locate </li></ul>
  3. 3. Characteristics of footloose industries
  4. 5. Factors which have attracted industry to M4 corridor <ul><li>Proximity of M4 and mainline railways. M4 is a fast reliable route by which components can be delivered to the factories and finished goods delivered to the market </li></ul><ul><li>Many firms use just in time methods to keep costs down </li></ul><ul><li>Heathrow airport is close to motorway so expensive hi- tech products can be transported to anywhere in the world </li></ul><ul><li>Proximity to Heathrow Many footloose firms are TNCs who have their HQ abroad, employees need to fly between branches of organisation. By locating in UK they do not need to pay EU tariffs to bring products in to the EU and they have easy access to the large market of 300 million </li></ul>
  5. 6. <ul><li>Other roads links to M4 – M25, M40, M5, M3 </li></ul><ul><li>Cheaper land sites are found along the M4 corridor compared to costs in London </li></ul><ul><li>Easy access to London </li></ul><ul><li>Area west of Bristol into S. Wales has been attractive to TNCs as Welsh Development Agency has provided government grants to assist new firms opening in area – decline in mining and iron and steel industry </li></ul><ul><li>Nearby universities – Oxford, Bristol, Reading, Bath and London </li></ul><ul><li>Attractive environment – Cotswolds, Mendips, Marlborough Downs, Chilterns </li></ul>
  6. 7. <ul><li>Cultural centres – Oxford, London, Bristol </li></ul><ul><li>A labour force to assemble the products is available from the expanding towns and villages along M4 corridor </li></ul>
  7. 8. Industries attracted <ul><li>Biotechnology </li></ul><ul><li>Computing </li></ul><ul><li>HQs </li></ul><ul><li>Defence industries </li></ul><ul><li>Government research centres </li></ul><ul><li>Warehouses and distribution centres </li></ul><ul><li>Service industries </li></ul>
  8. 9. Light industries – rely on component parts Electricity – available from National Grid End product is small and often cheaper and easier to move Employs a small labour force Non-polluting – can locate near to residential areas Accessibility – needs to be near a road network
  9. 10. Zone of mainly footloose industries which stretches from London westwards to Bristol following course of M4 Greatest concentration is between London and Reading Attractive greenfield locations Close to London – but prices for premises and housing is a lot cheaper
  10. 11. What attracts footloose industry to M4? <ul><li>Transport </li></ul><ul><li>M4 links into the UK’s other major motorways (M5, M40, M25, M3) allowing easy assembly of raw materials and distribution of finished products (just in time methods of production) </li></ul><ul><li>High speed rail link from London to S. Wales </li></ul><ul><li>Heathrow airport lies between London and Reading </li></ul><ul><li>Market </li></ul><ul><li>Wealthiest market in the country is concentrated in London and S. E. </li></ul><ul><li>To east of London there are motorway and Eurostar links to the Channel Tunnel and rest of Europe </li></ul><ul><li>Labour </li></ul><ul><li>Many places of research in M4 corridor producing trained people </li></ul><ul><li>Universities: Bath, Bristol, Oxford, Reading, London </li></ul><ul><li>Existence of other Government and research centres and associated industries with which information can be exchanged and maintenance and support services shared </li></ul><ul><li>People are happy to live in the area – proximity to London, scenic surroundings, Cotswolds, Chilterns, Marlborough Downs </li></ul>
  11. 12. Case Study – Aztec West Business Park <ul><li>Science technology park developed in 1980s and 1990s </li></ul><ul><li>Located western end of ‘Silicon strip’ / M4 corridor </li></ul><ul><li>on an area of flat land </li></ul><ul><li>adjacent to the M4 / M5 motorway junction – easy access for components, markets and employees </li></ul><ul><li>Greenfield site on outskirts of Bristol 63 ha </li></ul><ul><li>Variety of science and hi – tech firms 100 businesses, 6000 jobs </li></ul><ul><li>Quick travelling time to London and Heathrow airport </li></ul><ul><li>Existence of a number of other research centres </li></ul><ul><li>Site has good services and amenities e.g. pub, cafes hotel, wine bar, newsagent, hairdresser </li></ul><ul><li>Modern buildings, landscaped to provide ‘quality of life in a business environment </li></ul><ul><li>Nearby universities – Bath, Bristol </li></ul><ul><li>Local expertise from established industries - Rolls Royce and British Aerospace </li></ul><ul><li>Nearby Cotswolds </li></ul>
  12. 13. Aztec West

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