Because, investment in Fixed cost (machinery etc) creates leverage...labor can be hired and fired when needed.
By way of an example: Digging holes can be labor or capital intensive. You can use 1000 workers with cheap shovels (labor intensive) or 1 worker with an expensive "steam shovel" (capital intensive). Some things cannot be done either way like picking strawberries (labor intensive) or manufacturing microcircuits (capital intensive).
In labor intensive industry direct labor cost is used as cost driver.
US companies do not use child labor illegally. Family businesses use their children legally.
Intensive labor force could put more emphasis on quality, whereas a ton of intense machinery would just do, do, do without any regard to quality that was not programmed into it.
Most companies use low cost strategies. This helps them make the most money possible and offer the customers their product at a fair price as well as compete with other companies prices.
Reduce labor costs
labour intensive means use of manpower in production with little of technology while capital intensive means use of technology in production of a unit of output labour intensive means use of manpower in production with little of technology while capital intensive means use of technology in production of a unit of output
Production strategies that companies can use is chase strategy, level production, make to stock, make to order, and assemble to order. Different companies use different methods depending on their goals.
myer and david Jones :D
Knowledge intensive companies, that thrive on Organization Learning Capabilities (OLC).
Common marketing strategies depend on the size of the company. Smaller companies generally try to advertise in a certain niche or local area. Larger companies use internet and television advertisements to reach a larger audience.
Bio-intensive gardening is labor-intensive rather than capital-intensive because it emphasizes manual cultivation techniques, such as hand planting, weeding, and composting, which rely on human effort rather than machinery or chemical inputs. This approach prioritizes soil health and biodiversity, often using small-scale, intensive methods that require careful planning and management. Additionally, bio-intensive gardening typically uses resources like organic materials and heirloom seeds, minimizing the need for costly equipment or synthetic fertilizers. As a result, the focus is on sustainable practices that leverage human labor to enhance productivity and ecological balance.