What are footloose industries? Discuss the key characteristics a footloose industry. (150 words)
- Define footloose industry with examples
- Discuss the key characteristics of a footloose industry
- Conclude appropriately
The footloose industry is such type industry which doesn’t have a strong locational preference as the input resources and output markets can be found in many places. These are called footloose as these type of industries are prone to relocation. Although locational factors are not much important for footloose industries, those areas are preferred where input costs can be minimised and output realisation can be maximised. Some prominent examples of footloose industry are watch-making, diamond cutting, precision electronics etc.
The key characteristics a footloose industry are:
- These industries require small plant size compared to heavy and small industries.
- These are less dependent on specific raw material, especially weight losing ones. Most of the raw materials are small and light and can be transported easily.
- It needs skilled workers as the industrial process is advanced and major work needs high-quality precision.
- Like the inputs, the output is lightweight and can be easily transported to the markets. Most of the footloose industries produce low volume and high-value outputs.
- These are environment-friendly industries as the process involved in these industries have a negligible carbon footprint.
- It prefers location which is peaceful and cost friendly as to attract the human capital.
- Also, location with a good connectivity of roads, railways, telecommunication, airways etc. are preferred to facilitate quick movement of skilled workers and high-value outputs.
These industries are crucial for the development of areas which lack locational advantages with respect to heavy and small industries like port facilities, availability of raw materials, etc. Good development of footloose industry can provide high-value employment opportunities and competitive advantage in world trade.
Subjects : Geography