U.S. Textile Industry Localization Essay Example | Topics and Well Written Essays - 500 words

U.S. Textile Industry Localization - Essay ExampleOn the other hand, the industry has undergone considerable changes in the location of the factories ascribable to the globalization of internationals commercialises and trade relations as well as the growth of mass production. The demand for fabrics and apparels has been growth at a high ill-treat since the beginning of the 20th century, while apparel manufacturers have been seeking to reconstruct their enterprises in order to get higher revenues and greater output at commence costs. Therefore, production capacities of many U.S. textile companies are now relocated to the developing countries with lower wage rates (as they were earlier relocated from North to South of USA). On the other hand, a great factor is a shift in the traditional production chain from the raw material producer to the retailer due to scientific and technological progress. This means that there is no longer the need for availability of the raw materials when considering the production site localization, for agricultural producers are being replaced by chemical companies who manufacture synthetic fibers. Synthetic fibers can be produced autonomously from the places, where e.g. cotton is grown, depending only on power supplies and making the industry more fragmented. Wheeler (1998) states that the tour of factories that process natural fibers is, therefore, smaller than of those producing synthetic fibers like polyester. Moreover, the main factor for the modern textile industry is again proximity of the immediate domestic market and proximity to the population.