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

U.S. Textile Industry Localization - Essay Example On the other hand, the industry has undergone considerable changes in the location of the factories due to the globalization of internationals markets and trade relations as well as the growth of mass production. The demand for fabrics and apparels has been growth at a high pace 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 lower 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 â€Å"agricultural produce rs 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 number 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.