HKDSE Geography/M3/Manufacturing System

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Inputs[edit | edit source]

Inputs of a manufacturing system are diverse. (Here, the economic classification of 'land, labour, capital, entrepreneurship' is used.)

  • Land
  • Raw materials
  • Power
  • Labour supply (skilled? unskilled?)
  • Fixed capital
  • Working capital
  • Venture capital
  • Management
  • Technology
  • Government policies/Institutional factors
  • Markets

Processes[edit | edit source]

For manufacturing system, the main processes are:

  • Processing - making raw materials ready, e.g. iron and steel making, aluminium smelting industry
  • Fabrication - making final goods directly from raw materials
  • Assembly - making final goods from intermediate goods

Output[edit | edit source]

The outputs include:

  • Useful outputs: Finished products, which are sold in the market for money.
  • Useless outputs, such as solid waste, polluted air, etc.

Money is used to buy more inputs. This results in a positive feedback loop.