Global Economic Sectors: Industry, Services, and Logistics
The Secondary Sector: Industry and Manufacturing
The Secondary Sector transforms raw materials into finished products.
Types of Secondary Sector Industries
- Light Industry: Produces goods ready for consumption, requires less initial investment, and offers widespread benefits (e.g., textiles, footwear).
- Heavy Industry: Requires significant initial investment and often involves state development (e.g., metallurgy, chemistry).
Factors Influencing Industrial Location
Industrial location worldwide is influenced by two key factor categories:
- Physical Factors: Availability of energy and raw materials, and good communication infrastructure.
- Economic and Social Factors: Availability of skilled labor, industrial land, political stability, and proximity to markets.
An Industrial Belt refers to a concentrated industrial area.
Global Industrial Control and Developed Nations
Developed Countries control global industry, making decisions about production, marketing, and pricing. The G8 (Group of Eight) includes the USA, Russia, France, UK, Canada, Italy, Germany, and Japan. These nations meet annually to agree on economic policies.
Newly Industrialized Countries and Offshoring
Newly Industrialized Countries (NICs) experience recent industrial development, often attracting companies due to significant tax advantages, favorable labor conditions, and fewer environmental controls. Offshoring is the practice of businesses relocating operations to these countries for the aforementioned reasons.
Fordism and the Third Industrial Revolution
Fordism is a production system characterized by assembly lines and labor-intensive processes. The Third Industrial Revolution (Industry 3.0) is driven by innovation, where research and production combine to create new generations of products and enhance competitiveness. This era saw the rise of new technologies, including electronics, microtechnology, computers, and telematics, leading to an ICT (Information and Communication Technology) Revolution in industrial production systems.
The Tertiary Sector: Services and Economic Growth
The Tertiary Sector encompasses economic activities that provide services to people. These services can be public or private, and the sector is highly heterogeneous, ranging from large corporations to family businesses, and from high-technology services with qualified personnel to those requiring less specialized skills, allowing for rapid creation and growth.
Tertiary Sector in Developed vs. Developing Nations
- In Developed Countries: High-level economic services constitute approximately 70% of the economy, significantly improving education, health, and overall population welfare.
- In Developing Countries: The tertiary sector typically has a lower rate, though some countries show higher employment due to state employment or significant tourism assets.
Key Tertiary Sector Activities and Tourism
Key Tertiary Sector Activities include: trade, transport, communications, tourism, education, health, cultural activities, and sport.
The creation of the Welfare State in the 1960s led to the consolidation of paid leave. This, combined with reduced transportation costs, significantly boosted tourism.
Tourism can be classified in several ways:
- Internal or External (domestic vs. international)
- Holiday or Weekend
- Summer or Winter
Tourism is crucial for a nation’s Gross Domestic Product (GDP) and employment volume. Companies that manage tourism, known as Tour Operators, offer vacation packages sold through travel agencies.
Major global tourism destinations include:
- Europe: England, Italy, Greece, Croatia, Tunisia, Egypt
- Cities: London, Paris, Berlin
- Americas: Washington, California, Brazil
- Asia: Thailand
Trade, Transportation, and Communications
Today, there is a significant concentration of demand in urban areas. In Spain, large companies predominantly handle domestic trade, dealing with both fresh and durable consumer goods. Foreign Trade primarily occurs with the European Union, America, and the Persian Gulf.
Transportation Infrastructure in Spain
Transport in Spain includes:
- Road Network: An extensive national network for cars and freight.
- Rail Network: Often problematic, with stretches of single track and difficulties in load breaking.
- Air Transport: Key hubs include Madrid (a major national and international knot), Barcelona-El Prat, and Tenerife South, among others.
Transport Policies: European and Spanish
The European Transport Policy aims to balance various transport modes, enhance road traffic safety, improve traffic congestion, and mitigate environmental effects. Spanish Transport Policy emphasizes sustainable mobility, accessibility, and equitable intermodality.
Media and Communication Landscape
The Media encompasses:
- Traditional Media: Radio, press, cinema, and television.
- Digital Revolution: Driven by Information Technology (IT).
- Communication and Publicity: Media and development agencies constantly seek innovative methods.
In Catalonia:
- The Tarragona-Barcelona corridor is crucial for transportation and general goods delivery.
- Barcelona Airport is the second largest in Spain by passenger volume.