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Industry. What is ICT industry? Manufacturing Services Goods related & intangible Secondary, tertiary & quaternary. ICT industry = high value-added industry?. In general ; Yes In LDCs, processing & routine assembly ; No. Global scale. Industrial globalization Transnationals FDI
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Industry What is ICT industry? • Manufacturing • Services • Goods related & intangible • Secondary, tertiary & quaternary
ICT industry = high value-added industry? • In general ; Yes • In LDCs, processing & routine assembly ; No
Global scale • Industrial globalization • Transnationals • FDI • Transnationals = multinationals?
Division of transnationals • Headquarters • R & D centres • Branch plants
Reasons for transnational production • Improved communication • Lower production cost • Improved transport
Major branch plants of U.S. ICT industry • Mexico (Tijuana Triangle) • Israel (Tel–Aviv–Yafo) • India (Bangalore) • China (Zhongguancun) • H.K. (Cyberport & Science Park) • S.E. Asia (Hsinchu, Singapore, Multimedia Super Corridor)
Unemployment, urban decay & labor flow caused by industrial relocation & new production mode • New production mode?
Factors causing unemployment & urban decay (ICT industry) • U.S. • Branch plant area
Factors causing labor flow • International • Local