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What are advantages and disadvantages of labour intensive industries?
Wiki User
∙ 9y ago
Labour intensive work means more jobs available, but it also means that an employer has a higher wage bill, even if wages were relatively poor. An example is that when tractors became common on farms, and could be driven by one man, many farm labours became unemployed. Even traditional crops, such as hops and soft fruit, became less labour intensive as machines took over.
Wiki User
∙ 9y ago
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What is porters diamond?
The Diamond - Four Determinants of National Competitive Advantage * Four attributes of a nation comprise Porter's "Diamond" of national advantage. They are: # factor conditions (i.e. the nation's position in factors of production, such as skilled labour and infrastructure), # demand conditions (i.e. sophisticated customers in home market), # related and supporting industries, and # firm strategy, structure and rivalry (i.e. conditions for organization of companies, and the nature of domestic rivalry).# Factor Conditions * Factor conditions refers to inputs used as factors of production - such as labour, land, natural resources, capital and infrastructure. This sounds similar to standard economic theory, but Porter argues that the "key" factors of production (or specialized factors) are created, not inherited. Specialized factors of production are skilled labour, capital and infrastructure. * "Non-key" factors or general use factors, such as unskilled labour and raw materials, can be obtained by any company and, hence, do not generate sustained competitive advantage. However, specialized factors involve heavy, sustained investment. They are more difficult to duplicate. This leads to a competitive advantage, because if other firms cannot easily duplicate these factors, they are valuable. * Porter argues that a lack of resources often actually helps countries to become competitive (call it selected factor disadvantage). Abundance generates waste and scarcity generates an innovative mindset. Such countries are forced to innovate to overcome their problem of scarce resources. How true is this? # Switzerland was the first country to experience labour shortages. They abandoned labour-intensive watches and concentrated on innovative/high-end watches. # Japan has high priced land and so its factory space is at a premium. This lead to just-in-time inventory techniques (Japanese firms can't have a lot of stock taking up space, so to cope with the potential of not have goods around when they need it, they innovated traditional inventory techniques). # Sweden has a short building season and high construction costs. These two things combined created a need for pre-fabricated houses.b. Demand Conditions* Porter argues that a sophisticated domestic market is an important element to producing competitiveness. Firms that face a sophisticated domestic market are likely to sell superior products because the market demands high quality and a close proximity to such consumers enables the firm to better understand the needs and desires of the customers (this same argument can be used to explain the first stage of the IPLC theory when a product is just initially being developed and after it has been perfected, it doesn't have to be so close to the discriminating consumers). * If the nation's discriminating values spread to other countries, then the local firms will be competitive in the global market. * One example is the French wine industry. The French are sophisticated wine consumers. These consumers force and help French wineries to produce high quality wines. Can you think of other examples? Or counter-examples? c. Related and Supporting Industries* Porter also argues that a set of strong related and supporting industries is important to the competitiveness of firms. This includes suppliers and related industries. This usually occurs at a regional level as opposed to a national level. Examples include Silicon valley in the U.S., Detroit (for the auto industry) and Italy (leather-shoes-other leather goods industry). * The phenomenon of competitors (and upstream and/or downstream industries) locating in the same area is known as clustering or agglomeration. What are the advantages and disadvantages of locating within a cluster? Some advantages to locating close to your rivals may be # potential technology knowledge spillovers, # an association of a region on the part of consumers with a product and high quality and therefore some market power, or # an association of a region on the part of applicable labour force.* Some disadvantages to locating close to your rivals are # potential poaching of your employees by rival companies and # obvious increase in competition possibly decreasing mark-ups.
What are the advantages of labor saving devices?
They save labour! It's much quicker and easier to put laundry through a washing machine than to do it by hand, for example.
When there is no money to hire employees how can an organization implement some works using Information Technology instead of employees?
These simply have to do with capital intensive method of working. these method means machines will be used in place working hands. these will help reduce labour force since one machine can be maned by one person thefore reducing the intake of employees. this will enable the organisation to implement its works.
How do you describe conversion cost?
Direct Labour + Overhead Costs
What is the Reasons for multinational corporation to go global?
For many companies, the following might be some or all of the reasons to expand into different countries:Reduce transport and distribution costsAvoid trade barriersMeet different rules and regulations (avoid non-tariff barriers)Secure supplies of raw materials or marketsCost advantages - for example low labour costs
What are the disadvantages of one off production?
its is labour intensive and takes time and money
What are the advantages and disadvantages of e reservation?
advantages saves time less labour required
What are the advantages and disadvantages of e-reservation?
advantages saves time less labour required
What are the advantages and disadvantages of division of labor among cells?
list of advantages and disadvanteges of division of labour
What are the pros and cons of division of labor?
what is the advantages and disadvantages of the division of labour
What advantages and disadvantages localization strategy?
it results into regional division of labour
What are the advantage and disadvantages of e-reservation?
advantages saves time less labour required
Is labor intensive for diamond?
Yes, labour is intensive for diamond
What are the advantages and disadvantages of export promotion and import substitution industrialization?
Advantages of ISI 1. Increase in domestic employment 2. Reducing dependence on labour non-intensive industries such as raw resource extraction and export 3. Resilience in the face of a global economic shock ( such as recessions and depressions) 4. Less long-distance transportation of goods ( and concomitant fuel consumption and greenhouse gas and other emissions) Disadvantages: 1. The industries it creates are inefficient and obsolete as they aren't exposed to internationally competitive industries which constitute their rivals and that the focus on industrial development impoverishes local commodity producers who are primarily rural. 2. Increase in unemployment internationally as world GDP decreases through the promotion of inefficiency.
Labor-intensive and capital intensive?
labour is hand made meaning without machines capital is with machines
What are the advantages and dis advantages of labor law?
what are the merits and demerits of srilankan labour laws
What kind of industries does Bangladesh have?
child labour
