Secondary Economic Activities

Secondary economic activities involve the processing of raw materials (primary

products). Examples would include turning timber into furniture and turning iron-
ore into steel.

Any factory can be seen as a system involving inputs (e.g. timber) processes
(e.g. cabinet making) and outputs (e.g. tables and chairs).

Key factors in industrial location

Many different things have to be considered before an industrialist will decide to

open a factory in a particular location. The most important factors will vary from
one industry to another. The following are those usually taken into account.

1. Raw materials: these are the basic resources from which the finished product
is produced. If the raw materials are big and bulky, the manufacturer will usually
try to locate as near as possible to the source — for example, on the coast if they
are being imported by sea.
2. Transport facilities: good transport is required in order to bring in your raw
materials and distribute the finished product. Good transport facilities for
employees are also vital.
3. Markets: products are produced so that they can be sold. To save on
transport costs, many manufacturers like to locate near to the market e.g. car
manufacturers (where the finished product is bulky) or newspapers (where the
finished product goes “stale” very quickly).
4. Labour supply: factories need workers so they often locate near cities where
there is a good supply of labour. Some companies need highly skilled employees
and will locate in the best-educated areas of Europe or the U.S.A. Others will look
for workers with less skills and lower wage expectations such as in many parts of
the Third World.
5. Government policy: this has become an increasingly important factor in
industrial location. Aid from the E.U. and the Irish government has been of real
significance in the decision making process of many companies. IDA Ireland
(Industrial Development Authority) encourages companies to invest in this
country. Special packages including favourable tax arrangements, training grants
and the building of advance factories are all arranged by this State agency.
6. Capital: this is the money needed to establish an industry. Factories are more
likely to set up in countries with a well-developed financial system (banks, stock
exchanges etc). Nowadays, governments often put up a lot of the capital required
for big projects.
7. Services: industrialists will be attracted to areas which offer a good range of
services i.e. roads, water supply, telecommunications infrastructure. Industrial
estates, where the services are already laid-on, often prove very attractive to a
manufacturer.

Heavy Industry - Example

Heavy industries are those who process large amounts of raw materials to
produce finished products that are both bulky and heavy. Heavy industries are
not as significant as light industries in Ireland.

Harland and Wolff (ship building) is an example of a heavy industry. This

company was established in Belfast about 150 years ago and has built many
famous ships including the ill-fated Titanic.
Inputs: include steel, electronic equipment and a skilled workforce.
Processes: include designing, welding, cabin building.
Outputs: include naval ships, oil tankers.

Factors that influenced the location of Harland and Wolff include:

Raw materials: these were available from nearby England and Scotland.
Transport facilities: the shipyard is in a large and sheltered harbour to allow
easy importation of raw materials and easy launching of the finished ships.
Markets: The main market for the ships produced was in nearby Britain which
was then a major world exporter which required plenty of ships.

Light Industry - Example

Light industries produce smaller, lighter products whose bulk is low but whose
value is often high.
The Sofa Factory , in the Liberties area of old Dublin, is a good example of a
light industry. As the name suggests the Sofa Factory specialises in
manufacturing sofas and some other pieces of furniture. They can offer dozens of
different styles covered in an enormous range of fabrics. The relatively small size
of the company allows it to remain in the inner city where there is a long tradition
of such manufacturing units.
Inputs: include timber, fabrics and skilled craftsmen.
Processes: include designing, gluing and fabric cutting.
Outputs: include sofas, dining chairs and footstools.

Factors that influenced the location of The Sofa Factory include:

Raw Materials: the various raw materials including timber and fabrics are all
easily assembled in a large urban centre like Dublin
Markets: Dublin, as the largest city in Ireland, will provide easy access to a large
customer base for the company.
Labour supply: there is a long tradition of this type of work in the Liberties area
of Dublin. The city centre location means that skilled workers can avail of the
developed transport facilities to get to work.

Industry and the Environment

Industry can have many positive effects on a country. These include the provision
of:

 a market for agricultural produce which is then  processed further

 well-paid jobs for employees

 products that make life easier and more enjoyable for many.
However industry (if not properly controlled) can also have many negative effects
on the environment such as pollution. Many industries produce some form of
pollution, which can damage the environment.
Acid rain is an example of major industrial pollution. This is caused by the
burning, by industry, of large amounts of fossil fuels (coal, oil, gas.) These
release toxic gases, which mix with moisture in the air and fall as acid rain. This
has led to widespread destruction of forest in many parts of Northern Europe.
Different interest groups have different requirements of an area. Hoteliers will
object to a manufacturing plant locating near them as it may damage the
scenery. Farmers are worried that industrial pollution will affect their produce.
Fishermen are concerned that industrial waste will ruin their fishery. The general
public often have health concerns about the location of a factory in their area.
A balanced view is needed with regard to the location of industry. Ireland needs
to continue to attract industrial investment from abroad. However, we need to
protect our environment and the health of our people. We cannot allow
indiscriminate development without regard to the rights of all our citizens. On the
other hand, we cannot allow minor objections to block important new
investments.
Population

Population change

Population numbers change over time. Two important terms to note when
discussing population are

 Birth rate (the number of live births per 1,000 people) and

 death rate (the number of deaths per 1,000 people).

Population numbers grow if there are more births than deaths - this is known as
natural increase.
Migration will also influence population numbers. Emigration refers to people
leaving a country and Immigration to people entering a country.
A country could have a high rate of natural increase but high emigration could
mean that population numbers are not rising significantly.
Population change came slowly until the Industrial Revolution. Until then, the
world’s population was rising very slowly. Birth rates were high but so were death
rates. This meant a very slow rate of natural increase. In fact, famines or plagues
(such as the Black Death) sometimes meant that population actually fell.
However things began to change at the beginning of the 18th century. Major
improvements and new discoveries came in the areas of agriculture, industry and
medicine. These led to a dramatic decrease in deaths and this led to a ‘population
explosion’ in Europe. Increased urbanisation and the opening up of ‘new lands’ in
places like North America enabled Europe to cope with this population increase.
Population change has also come to the South, but it has come more recently.
The North has helped to eradicate many of the diseases that used to kill so many
in the South. This has led to a drop in the death rate, but the birth rate has
remained high leading to a rapid increase in population.
The poor economies of the South have not been able to supply all the services
needed by these extra people. In many cases, especially in parts of Africa, they
are not even able to feed these extra people.

Population density
This term refers to the number of people per square kilometre in an area.
Some areas of high population density can be wealthy such as Hong Kong or the
Netherlands; others can be poor, for example Calcutta or Manila. Developed
economies can support high population densities while poorly developed
economies cannot. Areas of low population density can also be found in both the
North and the South. Most of the west of Ireland has a low population density but
average incomes are still quite good. The West African country of Mali also has a
low population density but the people are very poor.
Population density varies for many reasons including:
1. Physical conditions: If land quality is bad or rainfall is too low then usually
the population density will be low. 

2. Resources: If there are resources such as coal available then these attract
industry, which brings workers which leads to increased population
density. A lack of resources causes out-migration. 
 3. Favourable trading locations: Many major cities have grown up on the
coast or at the mouth of an important river and route centre. 

4. Historical reasons: Many areas of high population density in the past have
continued to develop as major financial and industrial sites. These areas
continue to attract new migrants in search of work.

Population structure
This term refers to both the percentage of males and females in a population (sex
structure) and to the percentage of the population that fits into the different age
groups (age structure).
Population structure is illustrated by a ‘population pyramid’ which shows the
percentage of the population to be found in each age group. It also shows the
percentage of males/females in each of these age groups.
Countries of the South, with a high birth rate and a high death rate will have a
population pyramid with a wide base (high birth rate), which narrows quickly
towards the older age groups (high death rate).
Countries of the North which gave a pyramid with a narrow base (low birth
rate) which does not get any narrower until the much older age groups (low
death rate).

Population movement (migration)

Migration refers to the permanent or semi-permanent movement of people from
one place to another for the purpose of settlement. Migration can be internal
(within a country) or international (from one country to another).
There have been great movements of people in the past. The large-scale
movement of Europeans to the ‘New World’ (the Americas and Australia) is an
obvious example. The movement of English and Scottish settlers to Ulster in the
17th century is another. All of these movements have had long-term effects on
these areas.
Migration is usually divided into two broad categories:
a. Forced migration: examples include the slave trade or people forced
to leave their homes by war or persecution.
b. Voluntary migration occurs when people leave their home area and
elsewhere in search of employment or a different way of life. ‘Push
factors’ refer to those situations which encourage people to leave an area
e.g. unemployment; ‘pull factors’ refer to those conditions which
encourage people to go to a particular area e.g. the availability of
employment.
Rural-urban migration is a worldwide phenomenon. People leave rural areas
because there are fewer job opportunities in rural areas and because services in
general are usually more available in urban areas.
Rural to urban migration also takes place in the South. However, there are
usually few employment opportunities in the cities of those poor countries. The
migrants often have to live on the street or in very poor conditions in the slums
or shanty towns. Rural to urban migration often results in the rural areas getting
more isolated and run-down as the majority of migrants tend to be young people.
The cities tend to prosper because of the increased numbers but they can also
suffer from problems such as pollution, traffic congestion and a shortage of
suitable accommodation.