GEOGRAPHY IGCSE: INDUSTRIES IN MEDCs. It contains: case study heavy industry in the Ruhr region in Germany, case study footloose industry M4 corridor, United Kingdom.

1. IGCSE GEOGRAPHY
29. ECONOMIC CHANGE
INDUSTRIES IN MEDCs.
CASE STUDY: RUHR, GERMANY.
CASE STUDY: FOOTLOOSE INDUSTRY
M4 CORRIDOR, UNITED KINGDOM.

2. HEAVY INDUSTRY
RUHR REGION
GERMANY

3. Natural resources such as coal, iron ore and limestone enabled
the iron and steel industry to develop in the Ruhr.
The chemical and textile industries also grew due to good
transport links and available workforce.
Canals and rivers such as the Rhine were used for transport
and power.
The area developed industrially in the 1930s and 1940s to
supply arms for Germany.
Up until the 1970s the factories and associated services were an
important source of employment for people in the region.

5. The decline in the Ruhr's importance as a heavy industrial area
has caused job losses in steelworks and coal mines.
Many people have left the area, eg cities such as Dortmund,
due to economic and associated social problems.
The environmental legacy of the heavy industry in the area
includes waste tips from coal mining, air and water pollution.

6. There is still a large workforce living in the area that have had
to learn new skills as industries have changed.
New industries, eg electronics, are moving in to replace the
traditional heavy industries.
Much of the derelict land has been improved to provide a more
pleasant living and working environment.
The Ruhr has good access to much of the EU and is once again
an attractive location for industry.

7. FOOTLOOSE INDUSTRY
M4 CORRIDOR
UNITED KINGDOM

8. Footloose industries are not tied to a particular location.
They include high-tech industries and are located near
motorway junctions or on the edges of towns and cities in
business parks.
The products are often electronics and computer components.
Examples include Silicon Glen in Scotland and the M4 corridor.
Some of the benefits of locating an industry in the M4 corridor
are shown in the diagram below.

10. The M4 corridor stretches from Heathrow airport in the east to
Bath and Bristol in the west.
The corridor is home to companies such as Hewlett Packard
and Sony who are involved in research and development
(quaternary industry) and have links with universities who
provide well-qualified graduates.
Few raw materials are used and therefore transport costs are
low, making the industries 'footloose'.

11. AERIAL VIEW OF THE M4 MOTORWAY

12. Land on the edge of cities is often cheaper than in the centre.
The out of town surroundings and easy access to workers in
the suburbs provides an ideal location for building science and
business parks.
Motorway links and railways also provide access for
commuters and for transporting components and products.

13. Workers wanting to live near their place of work increases the
demand for housing and puts pressure on green belt land.
As demand grows, house prices increase.
This means that less skilled and lower paid workers are priced
out of the market in desirable areas.

14. In the past, industry in the UK was mainly located in areas
where raw materials and energy was available.
Key industrial areas, where iron and steel could be processed,
included South Wales and Northern England.
As materials became exhausted and imports became more
available, the industry in these areas declined. Government
intervention has helped some of these areas. Grants have been
given for firms to set up in areas of high unemployment.
The rise of high technology industries in the UK has meant areas
that attract skilled workers and have excellent communication
links have benefited from growth. These areas include the M4
Corridor, which contain footloose industries.

15. In 2004 eight Eastern European countries joined the EU.
One of these countries was Poland.
This resulted in workers migrating from Poland to the UK for
jobs, sometimes in low skilled manual jobs such as fruit picking.
The expansion of the EU has also led to some companies
moving out of the UK.
Twinings Tea and Cadburys Chocolate are two examples of
firms moving production from the UK to Poland.

16. Factories based in countries such as India and China have
around 25% lower operating costs than the UK.
There is growing demand for cheap manufactured goods such
as clothing and electronics.
Both China and India have a large labour force to provide
workers for the factory. They also have a plentiful supply of
energy. These countries also have fewer regulations, which
make it cheaper for a factory to produce goods.
Firms which have a choice of location are attracted to areas
where they can make more profit. China is now an important
manufacturing industry producing a large share of the world's
electronic goods, clothes and shoes.

17. Many call centres for insurance companies, banks and railways
are also now located in countries which have cheap but skilled
labour.
Norwich Union is one company which has moved its call centre
from the UK to India.

18. When there have been large numbers of job losses in an area
which has undergone de-industrialisation, such as South Wales,
the government and the EU will often intervene to improve the
environment and quality of life for local people.
Other areas which have been affected include Merseyside,
Tyneside and Belfast with the decline of shipbuilding.
Industry is actively encouraged to locate in areas of low
employment with incentives such as grants, subsidies and low
rents.

19. Improvements which have accompanied the re-industrialisation
in South Wales include:
• the Cardiff Bay and Swansea Waterfront redevelopments
• the development of business parks
• improvements in public transport
• refurbishment of old industrial buildings

20. Traditionally, most retail outlets were located in the Central
Business District (CBD).
The centre of town was a logical place for shops because it was
the most accessible part of a town and transport links radiate out
from this point.
In the late 20th century, traffic congestion reduced accessibility
to inner cities. This led to out of town locations becoming
favoured for the retail industry.
They are close to the suburbs and are accessible for many people
via ring roads and motorways.
Land is also cheaper in this part of a settlement, making it
attractive to retailers.

22. The result of this is that more people shop out of town, rather
than in a CBD. The reduction in profits in the CBD can cause
smaller branches of chain stores to close down, eg Next in St
Albans has closed in favour of the larger out of town store at the
nearby Colney Fields retail park.
Colney Fields benefits from free parking and easy access to the
M25, giving it a wider sphere of influence than the smaller town
centre store. Can you think of an example in your local area?
If this becomes widespread, areas in the centre of town can
become derelict and unattractive, further discouraging people
from shopping there. Also, unless bus or rail links are adequate,
people without cars have limited access to shopping facilities.