main index

P00: frame around

P01: olicognography

P03: infrastructures




Graph Start

Core n
Half complex graph








Industrial Sites

Basic Olicognograph: Business Make


"In international trade theory 5 conditions are recognized as being sufficient for trade to occur: 1) differences in production functions (technology); 2) differences in relative endowments between trading partners; 3) the presence of increasing returns to scale; 4) differences in preferences (tastes); and 5) the presence of distortions due to government policies, imperfect information, or the existence of imperfect competition".

On industrial production there are many views: "1) Geography as a key determinant of climate, endowment of natural resources, disease burden, transport costs, and diffusion of knowledge and technology pushed advanced areas. 2) Emphasize the role of international trade as a driver of productivity change: as an integration view, giving market integration, and impediments thereof, a starring role in fostering economic convergence between rich and poor regions of the world. 3) A third group of explanations centers on institutions, and in particular the role of property rights and the rule of law. In this view, what matters are the rules of the game in a society and their conductiveness to desirable economic behavior".

Social relations are an essential constant perspective also very important to industrial production, be it summarized for example as a "problem of sharing a joint surplus among the agents creating it. Looking at solution associating with each economic environment (agents described by preferences and endowments) a set of outcomes (allocations of the aggregate endowment across the agents). There exists an (ordinal) solution that satisfies efficiency and suitably defined notions of consistency and fairness. This solution is a natural extension of the Shapley value to general environments (NTU games) so called Ordinal Shapley value. which provides not just an allocation but also a matrix of concessions “measuring” the gains each agent foregoes in favor of the other agents".


Centripetal forces arise from scale economies and the inhomogeneity of products, in particular from 1) Technical increasing returns to scale internal to a firm (e.g., due to a degression of fixed costs); 2) Economies of localization external to a firm but internal to a certain industry (forward and backward linkages such as a large industry-specific market, proximity to important industry-specific suppliers, supply of specific labor qualifications, or specific knowledge spillovers); 3) Economies of urbanization that are not restricted to a specific industry (e.g., more general information and knowledge spillovers). In some models centripetal forces translate into home market effects: the higher a region’s share of the manufacturing sector is, the higher are sales obtained without any loss to transport costs, and the higher are (nominal) factor incomes in the respective region; 4) Price index effects: the higher a region’s share of the manufacturing sector is, the more of its consumption goods originate from the region itself without having to bear any transport costs, the lower is thus its price index, and the higher are real factor incomes".

"By contrast, the centrifugal forces strengthen as agglomeration increases and give incentive to a deglomeration of factors. Such forces are 1) Scarcity of immobile factors increasing the respective factor prices (e.g., land, immobile labor), 2) Congestion costs (e.g., air pollution, traffic congestion, high crime rates). In this class of models, centrifugal forces particularly translate into 3) Price competition effects: the higher a region’s share of the manufacturing sector is, the smaller is the scope for regional producers to reach product prices well above costs, and the more intense is the pressure exerted on the level of factor incomes in the respective region".

Strategy respect to competitors govern much the Industrial Actors, be summarized some concepts in the extract: "Supply Function Equilibrium (SFE), where actors compete on both quantity and price. Although models are based on the Nash equilibrium concept, the Cournot approach is usually regarded as being more flexible and tractable. Listing the strategic interactions that have been, or could be, included in power market models as: 1) Pure Competition; 2) Generalized Bertrand Strategy (Game in prices); 3) Cournot Strategy (Game in quantities); 4) Collusion; 5) Stackelberg (Leader-follower games); 6) Supply Function Equilibria; 7) General Conjectural Variations; and 8) Conjectured Supply Function Equilibria. Conclusion was that the CSF approach to modelling oligopolistic competition is more flexible than the Cournot assumption, and more computationally feasible for larger systems than the standard supply function equilibrium models".


They have been many forms of geographic disposal of industrial complex since Marshall's industiral district's economics as concentration of activities helping to solve the diversity of problems of production. Some district are created around extraction, other by the economy of scale of industrial or a collection of advantages. Poles of development have been intended for creating industrial development. Then set back to a concept of traditional industrial districts; rebirth as industrial districts in economic regions. Appear further clusters of integrated industrial leadering activities, industrial services or scientific parks. Free zones of productions where also implemented more for providing jobs and catching trade restrictions opportunities rather than for creating a peripherical core of integrated development. Latelly, also appear the integrated concept of green industrial district as Kalundborg.

"Types of Parks and Sites Business / industry parks and sites can be divided into 3 major categories: commercial, industrial and retail. Commercial sites accommodate such uses as back-office operations, corporate headquarters, and research and development facilities; industrial sites accommodate manufacturing and warehousing and distribution; and retail sites include outlet malls.".

Whatever they are "Industries of processes are structured by at least 3 kinds of processes with: 1) Management processes containing activities to control and develop other processes. Strategic or tactical management, production management, service management, human resource management and information technology management. Management processes is seen as setting constraints to other processes; 2) Supporting processes consist of activities that support an organisation's core business. These kinds of activities include categories like accounting, recruitment and IT support; 3) Operational process activities which produce customer value are called core business activities. It has been observed that activities can change their location from one process to another process as the market situation changes".

"The production process in the traditional economy may be characterized by a neoclassical production function with land, labor and capital as input factors. The availability and the prices of these inputs as well as the proximity to suppliers and customers are the most important location factors for firms belonging to the traditional economy. By contrast, knowledge has emerged as the most important production factor in the new, entrepreneurial economy. As knowledge cannot be costlessly transferred across geographic space, new economy firms are spatially more concentrated than firms belonging to more traditional sectors of the economy. The costs of information transfer over large distances have been decreasing rapidly during the last decades. So, at first glance, in the age of Internet, fax and e-mail spatial aspects may seem of ever decreasing influence. This is not the whole story. There are good reasons to assume that spatial proximity encourages the creation and diffusion such that knowledge can be viewed as a special kind of a local public good".

"The geography of new industrial site compromise a large process of "Zoning: 1) Proposed location properly zoned for its intended use or - potential for re-zoning the property to fit the designated use. 2) Existing uses of neighboring property. For example, even if a location is zoned heavy industry, is it appropriately zoned when all the surrounding parcels are used for retail purposes. 3) Topography and Soil Conditions: need to do much excavation or site work to make the location suitable? Is the site in a floodplain? Is there some slope to allow for surface drainage of water ? What is the soil makeup of the location? Are there sufficient soils to allow for compaction, or will the developer need to haul and replace topsoil? 4) Size and Shape: A rectangular site is preferred based on the particular use since this allows options for laying out building dimensions, parking lots and delivery methods. In addition. The trend has been toward larger firms purchasing larger acreage than the project needs because doing so allows for future expansions as well as creating a well-landscaped site. 5) Highway Access and Traffic Patterns: Is the location close to major transportation routes? Can the firm route its trucks away from residential usage, thereby reducing noise levels for residents? Are there any difficult turns or points of traffic congestion that make it difficult to operate tractor-trailers. 6) Utilities: Are utilities such as water, wastewater, electricity and natural gas available near or at the location? Are the mains serving this location adequate for providing service to the site? What is the per unit users’ cost if competing suppliers are within the community? How is storm drainage to be handled?. 7) Ownership: Who owns the location? Is the owner willing to sell, and if so can an option be obtained in order to set the price per acre? Is the price within a fair market value for the particular proposed usage? If the location is being used for agricultural purposes, who pays damages to crops? 8) Environmental Concerns: What was the previous use of the location? Was it used for a purpose that had the potential for environmental contamination (known as a brownfield)? If so this could lead to costly cleanup costs or even denial of financing by financial institutions. Is the location known as a historically significant site? Are there any visible signs of wetlands? Is the site in a floodplain?".

Industrial Site poses plenty of health, security and safety problem, see with the example of:"Minimum fire protection provisions (include required vs. provided): 1) Building code analysis (i.e., type of construction, height and area limitations, and building separation or exposure protection) 2 ) Classification of occupancy, 3) Lawfulcompliance 4) Requirements for fire-rated walls, fire-rated doors, fire dampers with their fire-resistive ratings, smoke compartmentation, smoke barriers. 5) Life Safety Code 6) Analysis of automatic sprinkler systems and suppression systems and protected areas, including hydraulic analysis of required water demand . 7) Water supplies, water distribution, location of fire hydrants. 8) Smoke control methods and smoke control systems, 9) Fire alarm system (the type of alarm system and location of the fire alarm equipment). 10) Fire detection system (the type of detection system and location of detectors), 11) Standpipe systems and fire extinguishers, 12) Interior finish ratings (fireproof). 13) Connection to and description of base fire alarm reporting system. 14) Identify the various occupancies and hazardous areas associated with the facility, 15) Coordination with security requirements,16) Fire Department access". This local geography is the minimum of involvement of participation of communities around. . Increasing sustainability concern must be approached too. Learning and training of cummunities on a medium large term prospect would be another necessary approach.

Industrial Project Planning Management can consider: 1) Feasibility study steps actions: Initiators, Create task force, Discover community economic personality, Set goals, Site availability. 2) Purpose: Present opportunity, Manage feasibility study process - Gather and disseminate data - Analyze and compare to business needs , Define community benefits of project, Set objective, Selection of particular site or park , Select appropriate sites for engineering study phase. 3) Following organizations (as detailed in inclusion paragraphs). 4) Potential community goals (as detailed in inclusion paragraphs).

Inclusion Social and Environmental

Nowadays sustainable development consider various kinds of incorporations with the support of the industrial management: 1) Communities involvement, 2) Transgenerational population involvement considering the long term perspective of an industry and the local groups evolutions (since human ressources need now to be more explicit, 3) The greening of industry from: - direct involvement as green industry - development of such perspective of expertise around one industrial site - voluntary poliicy of local integration as industrial ecology - industrial green processes of costs reductions reviewing industrial processes and searching for improvments as well as to development recycling economics.

So Industrial Project Planning going on with social environment inclusion: "4) Following organizations should be represented: an elected official from the affected political jurisdictions where the proposed site will be located - the local economic development office representatives from area utility companies actively promoting sites - the local engineer (may be county, municipality or contracted firm) - planning organizations with jurisdiction over the project Local business organization such as chamber of commerce local employment agency (may be public or private) -representatives from affected neighborhood groups. 5) Potential community goals include: creating more jobs and increasing local population - providing better jobs for people already in the community - replacing lost jobs - replacing lost sources of income - producing a greater variety of jobs and economic activity - building and diversifying the local economic base".

"About recycling or downcycling economics question often presented to researchers and policy makers advocating downcycling critical arguments: 1) There are significant policy barriers to efficient downcycling; 2) There are significant economic barriers and perhaps downcycling is a sign of inefficiency rather than efficiency; 3) Downcycling is efficient but only when it takes place where transaction costs are minimized within a single firm (as in the petroleum industry) and hence trade is unobserved; or 4) Downcycling can increase efficiency but we should assume that firms have exhausted the opportunities".

Japan's Kyoto self-prescriptions are also directed to industries: "- Efforts by manufactures, etc. Efforts by the civilian and transport sectors in industry CO2-saving in the energy - Steadily implement voluntary action plans - Thoroughly manage energy in factories, etc. - CO2 emission factor in the electric field - Thoroughly manage energy according to the Energy Conservation Law - Improve energy conservation capability of buildings - Spread Building Energy Management Systems (BEMS) - CO2-saving in business facilities such as offices and stores: Steadily implement voluntary action plans - Thoroughly manage energy according to the Energy Conservation Law . Improve energy conservation capability of buildings" .