Unit 7.7 KBAR

Fordism

A production system characterized by mass production of standardized goods, high labor union membership, stable employment, and high wages.

Post-Fordism

An economic system where the principles of Fordism are replaced by flexible production practices, diverse labor, and a shift to service-oriented sectors.

Corporate disinvestment

The process where companies stop investing in manufacturing facilities and instead sell off assets.

Offshoring

Relocating manufacturing centers to another country to reduce production costs, often due to lower wages.

Outsourcing

Transferring operations or specific tasks to outside providers to focus on core objectives.

Deindustrialization

The decline or disappearance of manufacturing industries in a region, often leading to economic downturn.

Rust Belt

Regions in the US, like Ohio and Michigan, known for the decline of manufacturing and industrial jobs.

Special Economic Zones (SEZs)

Areas with different economic laws to attract foreign investment, often including tax incentives.

Export Processing Zones (EPZs)

Zones that allow goods to be exported without tariffs or taxes, encouraging investment from multinational corporations.

Free Trade Zones (FTZs)

Designated areas where goods can be stored and distributed duty-free, facilitating international trade.

Just-In-Time (JIT) manufacturing

A production strategy that reduces inventory and increases efficiency by producing goods as needed.

High-tech industries

Sectors that utilize advanced technologies and require a highly skilled workforce, such as aerospace and pharmaceuticals.

Agglomeration economies

The benefits that firms gain by locating near each other, including shared resources and skilled labor.

Growth poles

Centralized areas of economic activity designed to stimulate growth in surrounding regions.

International division of labor

A global distribution of labor where production processes are spread across various countries based on cost efficiency.

Labor unions

Organizations that represent workers’ interests, typically seeking better wages and working conditions.

Tertiary sector

The segment of the economy focused on providing services rather than manufacturing goods.

Quaternary sector

Economic activities involving knowledge-based services, including research and development.

Quinary sector

Economic activities that involve high-level decision-making and education, often within non-profit and government sectors.

Mundial tasks

Routine and repetitive work often outsourced to focus on core business processes.

Economic revitalization

Efforts to restore economic strength in cities or regions negatively affected by deindustrialization.

Labor productivity

The amount of goods and services produced by one hour of labor.

Multinational corporations (TNCs)

Companies that operate in multiple countries, often taking advantage of lower production costs.

Supply chains

The network between a company and its suppliers to produce and distribute a specific product.

Flexible production

An approach to manufacturing that allows quick adjustments to production levels and types.

Permanent workforce

A stable group of employees who are regularly employed by a company.

Temporary employees

Workers hired for a limited time or specific project, crucial in post-Fordist systems.

Tax incentives

Reductions in tax obligations aimed at encouraging business investments.

Consumer market

The marketplace for final goods and services directed at consumers.

Robotics

The use of automated machines in manufacturing and services, essential in high-tech industries.

Economic growth

An increase in the output of goods and services in an economy over time.

Globalization

The process of increased interconnectedness and interdependence among countries through trade, culture, and technology.