ECONOMIC GEOGRAPHY
SPRING 2004

FINAL EXAM

Part C.  Essay (70 pts)  Select one of the following questions to complete as the essay section of the final exam
 
 
1. Describe and demonstrate Weber's least cost industrial location theory as it applies to corporate agglomeration in the United States. How can Weber's theory be used to explain the movement of industrial jobs to Mexico and Southeast Asia? Will such globalization lead to the economic development of less developed countries or a greater maldistribution of wealth?

2. Describe and demonstrate the most significant strategies employed by corporations to increase profits. Be sure to discuss horizontal integration, vertical integration, conglomeration, and rationalization. What impact does each strategy have upon industrial location and market area for such goods? How do such strategies affect the United States, less developed countries, and the global economy?

3.  Describe the product life cycle model.  Assess its role in stimulating recent change in the global division of labor.  Be sure to give specific corporate examples that illustrate how companies attempt to increase market saturation, locate new market regions, excite replacement demand to avoid obsolescence. How would you advice companies in saturated markets to generate continued profits? 

4.  According to Karl Marx, investment into less developed societies (LDC's) was simply a method used by capitalist countries to avoid declining revenues within their borders.  Explain his rationale behind this thought.  Describe and demonstrate the cause of declining revenues in wealthy societies as well as the cause for  investment into LDC's.  What indicators would you look for to evaluate the costs and benefits of such capital movement?