Problem
Depressed industries
Experimental visualization of narrower problems
Other Names:
Industries in difficultyOutmoded industries
Decline in industry competitiveness
Declining industrial sectors
Older industries
Ageing industrial sectors
Vulnerable industries
Nature:
Decline may stem primarily from the emergence of a cost-effective domestic substitute, in which case it is questionable whether any efforts should be made to modernize the outmoded industry or to protect it from foreign competition. In the case of trade-impacted industries making undifferentiated products in which costs alone determine sales, major declines inevitably resulted when the industries lost competitiveness. But the chronic adjustment problem for threatened industries is not a failure to move resources out of declining industries but rather that of adjustment within sectors and firms.
Broader Problems:
Dim business futureLoss of capacity with age Narrower Problems:
Redundancy of workersDeclining local businessesExcess production capacityInhibiting business outlookDeclining mining communitiesDecline in capital investment in productive capacity Aggravates:
Sectoral imbalancesWork-related injuryUnderpayment for workStructural unemploymentSmall business failuresExcessive corporate debtEconomic risks of subcontractorsPoor industrial safety standardsTariff barriers to international tradeNationalization of domestic enterprisesInequitable distribution of public subsidiesExcessive government intervention in the private sector Strategies:
Preventing occupational accidentsProtecting vulnerable industriesReversing decline in industry competitivenessRejuvenating depressed industries Subject(s):
Individuation → PsychoanalysisIndustry → Industry
Societal Problems → Obsolescence
Societal Problems → Vulnerability
Society → Elderly
Related UN Sustainable Development Goals:
Problem Type:
D: Detailed problems Date of last update
04.10.2020 – 22:48 CEST