Developed by María Jesús Campos Fernández, Geography and History teacher at a bilingual section in Alcorcon (Madrid, Spain)
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5. Industry
Definition
Historical development of industry
Elements of the Industrial Process
Types of Industry:
Base industry
Capital goods industries
Consumer goods industries
Volume of raw materials: Light /Heavy Industry
Number of employees: small, medium, large
Factors for industry location
Traditional factors
Current factors
Industrial Areas: Original, Modern, New Industrial Areas
Environmental Problems
Spain
6. Historical Development of
Industry
FirstIndustrialRevolution
• 18th century
• Energy: Coal
• Types of
Industries:
Metal and
Textile
• Countries:
United
Kingdom;
USA; France;
Germany
SecondIndustrial
Revolution
• 1870-1970
• Energy: Oil and
electricity
• Types of
Industries:
Automobile,
Chemicals, Iron
and Steel,
Household
Appliance
Industries.
• Innovations:
Combustion
Engine; Assembly
Line Production
• Countries: Japan
and Russia InformationandAutomation
Revolution
• 20th-21st century
• Energy: Oil,
Nuclear Energy,
New Reneawable
Energy.
• Industries:
Electronics,
Information,
Technology,
Biotechnology
• Innovations:
Automation,
Telecommunicatio
ns, the Internet.
20. Elements of Industry
• Natural resources or intermediate products are the raw
materials that industry transforms into usable products
Raw materials and
sources of energy
• Labour is required to produce goods. Employees earn a
salary in return for their work.Workforce
• Equipment, materials needed and skills required to
manufacture a productTechnology
• Financing and investment. The retail price of a product has to
be higher than production costs in order to generate profits
and cover investment.
Capital Investment
• To guarantee that these elements function efficiently and
ensure that high-quality goods are produced that can be sold
at competitive prices
Management
37. Types of Industry: According to the origin of
materials and the end user of a product
Base
Industries:
- Raw materials into
energy
- Raw materials into
half-finished
products for other
industries
Capital Goods
Industries:
- Second changes to
prepare products to
supply tools to other
industries
(machinery, electrical
equipment,
electronics,
information
technology…)
Consumer
Goods
Industries:
- Products to be sold
directly to the
consumer
(pharmaceutical,
textile, footwear,
food industries…)
42. Types of Industry: According to the volume
of raw materials
Heavy Industries:
- Large quatities of resources
(raw materials, labour, captial
and space) Iron, Steel and
Cement Industries
Light Industries:
- The size of the production
sites tends to be relatively
small.
43.
44. Types of Industry: According to the number
of employees
Small Industries:
- Less than 50 employees
Medium Industries:
- From 50 to 100 employees.
Large Industries:
- More than 1000 employees
45. Factors for Industry Location
Traditional factors:
Proximity to raw
materials and energy
sources
Proximity to market
centres and
consumption
Proximity to ports and
transport routes
Abundance of low-
skilled labour
Availability of capital to
finance the
infrastructure for
industry (factores,
equipment, motorways,
railways, canals…)
Current factors:
Access to raw materials
and energy sources
Aboundance of cheap
labour but also of high-
skilled workers
Availability of good
communications:
transport routes but also
the Inernet
Access to a global
market
Support from the
govenrments to ease
and foster the conditions
for location, financing,
acces to innovation,
taxes…
46.
47.
48. Evolution of Industrial Areas
Original industrial
areas:
Mining areas
Ports and rivers
Urban areas
Modern industrial
areas
New Industrial
Areas:
Centres for
advanced
technology
Automated and
high tecnology
industries
58. The Industrialisation Crisis
Deindustrialisation Industrial Relocation:
Traditional Industries
have relocated to
cheaper areas:
Developing Countries
Industrial estates in the
outskirts of cities
Innovative and High-
Technology Industries:
Established in Science
Parks in economically
flourishing cities to
have acces to qualified
workers, infrastructures
and advanced services
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66. Developed by María Jesús Campos
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