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The Geography of Manufacturing. When countries look to advance economically they must set one main goal: Industrialize by adding manufacturing businesses to the economy. Albert Weber (1868-1958) was a famous German scholar .
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When countries look to advance economically they must set one main goal: Industrialize by adding manufacturing businesses to the economy.
Albert Weber (1868-1958) was a famous German scholar. Developed an economic model to analyze the effectiveness of manufacturing. His model focused on the cost to transport raw materials and finished products. Albert Weber’s Model
Albert Weber’s model • Material-Oriented Manufacturing -located close to the source of the raw materials. Why? • Raw materials are heavy/bulky and manufacturing will reduce this. Example: Steel • Some raw materials are perishable and need immediate processing. Example: Food processing (milk into cheese)
Albert Weber’s model • Market-Oriented Manufacturing -the manufacturing is located close to where it will be sold. Why? • Processing increases the likelihood of the item perishing. Example: Bread • Processing makes the product heavier or more bulky. Example: Soda in cans or bottles
We continue to place value in Weber’s ideas, but we also consider: Raw materials Labor force (skills and cost to pay workers) Market Where do we build factories today?
Capital-How much is needed? How much money will be earned? Technology Hospitable Government Regulations- Lower taxes, fewer environmental regulations, labor rights and unions Other things to consider…
Political Stability- Will the area protest or have issues with the placement of this industry? Inertia- How are the other factories and suppliers doing in that region? Other things to consider…
Northern Minnesota is home to one of the world’s largest open pit mining operations. Let’s take a closer look at this operation! Turn over your notes and answer the questions along with our short video. Minnesota’s Raw materials