APHUG Ch. 12

Containerization

the process of transporting goods in standard-sized containers, making shipping more efficient and cost-effective

Cottage Industries

small-scale, localized production usually done in homes or small workshops, often using traditional methods.

economies of scale

increasing the production of goods so that the average cost declines

Locational Criteria

industrial zones — sites must be close to resources and connected to ports by water

spillover effect

the impact of an economic activity that affects surrounding areas, often leading to increased development or changes in property values.

hinterland

area from which goods can be produced, delivered, and exported

connectivity

the degree to which different locations are linked by transportation and communication networks

first mover advantage

a competitive edge gained by being the first to enter a market or adopt a technology, allowing for greater market share and brand recognition.

secondary hearths

locations where innovations diffuse and grow after originating from a primary hearth, contributing to the spread of cultural practices or technologies.

globalization

the process by which businesses or other organizations develop international influence or start operating on an international scale, affecting economies, cultures, and societies.

fordist

an industrial production system characterized by mass production of standardized goods, with a focus on assembly line techniques and high levels of output.

vertical integration

a business strategy where a company controls multiple stages of the production process, from raw materials to final product.

friction of distance

increase in time and cost that comes with increased distance

distance decay

greater distance, less interaction

location theory

the process by which the relative distance between places shrinks due to advancements in transportation and communication technologies, making places seem closer and more interconnected

least cost theory

theory that asserts businesses minimize costs by locating near resources, markets, and transport.

agglomeration

the phenomenon where businesses cluster together to benefit from shared services, resources, and infrastructure.

flexible production system

components of production are made in different parts of the world

commodification

monetary value placed on product

product life cycle

introduction, growth, maturation, and decline of product

global division of labor

corporations and others can draw from labor markets around the world, made possible by time-space compression and advances in communication and transportation.

just-in-time delivery

companies keep on hand just what they need for near-term production , planning what they need for longer term production will arrive later

time space compression

Harvey, the process by which the relative distance between places shrinks due to advancements in transportation and communication technologies, making places seem closer and more interconnected

Spatial fix

Movement of production from one site to another, based on cost advantages at new site

node

connection point in network

commodity chain

series of links connecting the parts of production and distribution

outsourcing

turn to third party

intermodal

places where two or more modes of transportation meet

deindustrialization

companies more indsutrialized jobsto other regions with cheaper labor, leaving region to switch to service economy

newly industrialized countries

states that underwent industrialization after WWII, economies grow at rapid pace

break of bulk point

a location where goods are transferred from one mode of transportation to another

rustbelt

region in U.S.that was hat was aracterizoed by the indutry

sunbelt

the suth and south west regions of the US

High technology corridors

areas doing or near major transportation that are devoted to research, development, and scare or high technology products. Areas devoted because of the networking and synergistic advantages of conentrating high-tech enterprises

growth pole

silicon valley, concentration of business spurred economic development in surrounding area

technopole

a high-technology cluster or tech hub, a region specializing in high-tech manufacturing and information-based industries