Secondary Economic Activities Flashcards
What does each system have?
Each system has inputs, outputs and processes.
What does secondary economic activity involve?
It usually involves making things and taking raw materials and turning them into finished and semi-finished products.
What are inputs?
Things you need to put in at the start of the process.
Processes?
Things we do to the inputs to turn these into semi-finished or finished products.
Outputs?
The things we have at the end of a system.
What do you need to think about?
Services Labour Resource materials Markets Transport facilities Government/EU policy Capital Preferred place of owner
What are resource materials?
Raw materials or semifinished products that the factory needs to make things.
What are markets?
The place where you’re going to sell your product and where people will buy it. The closer you are, the less transport costs you will have to pay.
What are transport facilities?
If a company’s product needs to be sold in the same country of manufacturing, good rail or road travel must be available. For products sold in other countries, good water or air travel is needed.
What is labour?
All factories need workers so the factory must be built where there are enough workers. Some factories need low-skilled workers. Some need higher-skilled workers, who have gone to university. Eg: Intel
Define services.
Services means having things like electricity, water, sewage treatment and Internet. Most companies set up where this is available.
Define capital.
Capital is the money the company needs to set up their factory. They may need help from banks to pay for this.
Define government/EU policy.
The Irish government gives grants to companies who set up here. We also have a low tax rate. People may set up a factory near where they like or come from. People may not want factories because of pollution and traffic, but some are happy because it provides jobs.
What is heavy industry?
Industry where the resources are made big and heavy. Eg: iron and steel making.
Define light industry.
Products are made small and light.
What is an MNC?
Companies who make their products in more than one company. Eg: Coca-Cola, Microsoft, and Nike.
What does Intel make?
Intel makes micro processors.
Why did Intel come to Ireland?
Well educated work force
We speak English
IDA gives €110m to development of Intel plant
Sells 25% of products in Europe. Being located in Europe means that they don’t have to pay tax to sell in here.
Good ports/airports
Good services
Why did Intel locate in Leixlip?
Close to Dublin City, airport and universities.
Large greenfield site- industrial land
Solid bedrock -no vibrations- essential in making micro-processors
Benefits Intel brings to Ireland?
5000 people work at Intel campus Contributes over €1m to education programmes (Young Scientist, technology education) Makes equipment donation to schools Pays corporation tax Jobs from spinoff employment
Where is the Aughinish RUSAL plant located?
Shannon estuary, close to Limerick city.
What does Aughnish Alumina make?
Alumina, semi-finished product, used to make aluminium.
Where is the alumina sent to be smelted?
UK and Scandanavia
Inputs for this factory?
Bauxite
Energy
Labour
Maintenance
