unit 4: industrialization and urbanization Flashcards
define and explain industrialization
1- process whereby a country increases and the use of modern technology to improve production
#2- level at which a country has developed its industries
explain the process industrialization
**inputs in an industry **
- raw materials
- capital goods
- money capital
- labour
manufacturing process
- complex technology
- power
- division of labour
outputs in an industry
- finished/ manufactured products
- products for further processing
strategies for industrialization
import substitution-developing industries which can produce goods the local people can buy on a regular basis rather than importing
export oriented strategies- encourage industries to make products which are on high demand on the world market
large and small-scale production- encourage large scale to produce enough for local and export markets
list advantages and disadvantages of import substitution as a strategy for industrialization
advantages
- a country becomes elf-reliant by reducing dependance on other countries
- people can support local businesses/industries
- increased local jobs
- leads to development of a country’s infrastructure
**disadvantages **
- local customers denied the opportunity to buy the best quality products from ther countries
- local goods usually expensive compared to subsidized goods from other countries
- domestic industries protected from outside competition which makes them reluctant to produce quality products
list advantages and dsadvantages of export oriented strategies as a strategy of industrialization
advantages
- businesses produce quality products as they have to compete in the international market
- a country can acquire foreign exchange from other countries
- it brings in foreign investment
disadvantages
- industries sometimes rely on the gov. to subsidize their businesses
- producing mainly for export and neglecting local customers
- top quality products are exported while poor quality products are sold locally.
list advantages and disadvantages of large and small scale production as a strategy for industrialization
large- scale
advantages
- brings in foreign investmen
- crates jobs
- exports earn foreign currency
disadvantages
- often crates few skilled jobs as they’re capital intensive and mechanized
- large companies often send profits back to home countries and don’t invest locally
small-scale
advantages
- creates jobs for people of all skill levels
- don’t need a large investment to start up
- can easily start as part of the informal sector
disadvantages
- often as limited possibilities for growth
- can come under pressure from competitors
- feels the effects of economic downturn as they don’t have large cash reserves
discuss the importance of mining in the economic and social development of namibia
- crates jobs for people which improves living standards
- brings in foreign exchange
- sponsors schools and gives bursaries to students
- helps develop infrastructure
- old, abandoned mines become tourist attractions
problems with mining - open cast mining damages the natural environment of living organisms
- mining on the sea disturbs fishery resources
- can cause environmental problems such as soil, air, and water pollution
discuss the importance of fishing and tourism for the economic and social development of namibia
fishing
- contributes to food security in namibia
- creates jobs for people who work in fishing companiess
- exporting fish earns namibia foreign exchange
- fishing companies pay tax to the gov.
tourism
- crates jobs for local people
- earns namibia foreign exchange
- helps conserve the environment of communities through conservancies
explain value added process and foreign investors and joint ventures with locals as possible susainable ways of increasing production
value- added processes
- adding more value to your products before selling
- the more a product passes through the stages of production, the more value it gets
foreign investors and ijoint ventures with locals
- invite foraing companies to work with namibian companies to form one big company
what are the benefits of joint ventures and foreign companies to namibia?
- foreign companies teach new skills on how to incrase production
- they have access to technology which may help to improve our production
- helps namibian companies to process raw materials into finished goods, adding value to our products
explain adoption of modern production processes as a sustainable way of increasing production and why modern methods of production are good
- adopt new methods of doing things to incrase our output, we shouldn’t stick to simple traditional methods of producing goods
why modern production methods are good
- they are fast
- produce products on a large scale
- allows economies of scale to operate
- reduces labour costs
define urbanization
an increase in the proportion of a population livinf in urban areas
list the causes of urbanization in developed vs developing countries
developed countries
- most people already live in urban areas
- some people are leaving urban to live in the country side
- lower rate of population increase due to low birth and death rates
developing countries
- most people still live in rural areas
- more people continuously move from rural areas insearch for work
- due to natural increase in pop. because of high birth rates and low death rates.
what are the possible effects of urbanization on rural areas?
- families become seperated
- agricultural production decreases as young, productive people leave the area
- most rural areas become backward in development
- shops in rural areas lose customers and sometimes close down
what are the effects of urbanization on urban areas?
- increased criminal activity as not all people get jobs in the formal sector
- overcrowding leads to fast spread of diseases
- transport system becomes congested
