Textiles & Paper
School of Materials
Manchester

 

Title of Course Unit

Textile Economics (Part 1)

Degrees of which this Course Unit is a Component Part

 

Level - 2

Credit Rating - 5

Pre-requisite Course Units

Course Units to which this Unit is a Pre-requisite

None

Criteria for Satisfactory Completion of Course Unit

Examination pass mark of 40%

Course Co-ordinator

Mr J M Bailey

Staff involved in Course Unit

Mr J M Bailey

Location & Availability of Course Staff

Mr Bailey - C59b - by arrangement - or see Noticeboard

Student Feedback on Course Unit

Student questionnaire to be circulated towards the end of the course.

Mechanisms for Feedback on Student Progress

No formal system.

Course Length -

One lecture per week for 10 weeks

Course Aims -

The aim of the course is to provide the student with an information base in the area of factors affecting production, manufacturing costs and investment strategy in the textile industry.

Method of Achievement of Aims

The course consists of a series of lectures which include a blend of production information and investment strategy parameters.

Course Objectives

Mode of Teaching

Mode of teaching is by Lecture, with some questioning sessions..

Course Content - Major Topics

Factors of Production.

Labour, capital and output.

Economics of scale, including textile examples.

Economics of spinning.

Global manufacturing.

Investment opportunities and pitfalls.

Mode of Assessment

There is no coursework, assessment is by means of examination.

General Reference Texts

  1. Pickett & Robson - 'The Choice of Technology in the Production of Cotton Cloth' - Scottish Academic Press - 1981 - 677.21.PIC.
  2. Gerald K Boon - 'Technology Transfer in Fibres, Textiles & Apparel' - Sijthoff & Noordhoff - 1981 - 338.91724.BOO
  3. M A Amsalem - 'Technology Choice in Developing Countries: the Textile, Pulp and Paper Industries' - MIT 1983 - 338.47676.AMS
  4. Ormerod A - Management of Textile Production - Newnes-Butterworth
  5. Harverd A D - The Evaluation of Investment Proposals - Textile Inst. 1983 338.47677 TEX

Books Recommended for Purchase

There is no recommended book for purchase for this course.

Teaching Philosophy

The lectures help to build knowledge and experience in the analysis of examples and scenarios, developing the ability to evaluate the importance of a wide range of factors in particular situations.

Lecture Topics (incl. special refs.)

1. Course outline and basics of course.

Factors of production and neo-classical economic theory; the effects of institutional factors; economies of scale, internal and external and the limits of those economies; economies of scale in the textile industry; levels and types of technology in the textile industry.

References

  1. Buxton - Men, Management & Money in Developing Countries - JSDC Dec 1971
  2. Pickett & Robson - Chap. 6.
  3. Boon - Pp 273-274.
  4. Giuuzza/Mariotti - 'The Cotton Weaving Industry in European Countries: Size of Firm, Static & Dynamic Efficiency' - Managerial & Decision Economics - Vol.3 No.3
  5. Appropriate technology.
  6. Technology Variation with developing countries; appropriate and alternative technologies; the factors affecting ideal technology level; conditions affecting 'appropriateness'. Methods of measurement.

References

  1. Transfer of Technology - UN - 609.1724.UNI
  2. Appropriate Industrial Technology for Textiles - Monographs on Appropriate Industrial Technology No. 6 - UNIDO.
  3. Boon - Chap.5 & 6.
  4. Amsalem - Chap. 2.
  5. Pickett & Robson - Chap. 4

3. Major factors affecting the choice of technology.

Major factors affecting the choice of technology in both developed and developing countries; the labour factor, types and costs involved in supply and retention; labour in developed countries, in growth and recession; factors affecting labour utilization in developing countries; the use and payment of labour around the world.

References

  1. 'Conditions of Work in the Textile Industry including Problems Related to the Organization of Work' - 1981 - 331.1877.I6.
  2. Pickett & Robson - Chap.4.
  3. Ormerod - Chap.3 (Pp 132-135.
  4. Boon - Chap.5.
  5. Appropriate Technology for Indian Textile Industry - Mehta P C - Indian Textile Journal - March 1985.
  6. Application of Modern Machines & Techniques in Developing Countries - Woodford G C & Jezhi D - from 'Equipping a Progressive Textile Mill' - 6th Shirley International Seminar - Sept 1973

4. Other factors affecting the choice of technology.

Costs involved in establishment of factories; relative machinery costs; scale of operation; minimum and ideal size of textile factories; level and costs of quality; skills and training of labour; production levels and market size; opportunities for developing countries in the world market.

References

  1. McMeekin - 'Darkest Before the Dawn' - Textiles in the 1980s - Pub. Brit.Textile Confederation.
  2. 'Changing Needs & Relationships in UK Apparel Fabric Market' - NEDO Textiles Section - 1982.
  3. Ormerod - Chap.5.
  4. Developing Countries & World Trade - Roberts G - Multinational Business - No.3 1987

5. Investment by multinational companies.

Financial considerations, financial ratios and comparative costs.

For and against foreign investment; efficiency considerations; efficiency in textile plants worldwide; economics of spinning; economics of weaving;

References

  1. Thompson - 'Techno-economic Aspects of Textile Machinery Investment' - Textile Machinery: Investing for the Future - Pub. Textile Institute 677.0285.TEX.
  2. Modern Spinning Systems: the Economic Aspects' - Tomorrow's Yarns & Manufacture & Markets - UMIST Symposium 1984 - 677.02862.CUI.
  3. International Production Cost Comparison: Spinning & Weaving - ITMF 1986.
  4. Lennox-Kerr - 'Speed & Efficiency: The Key Factors' - ITM 1985.
  5. Ormerod - Chap.4

6. Technology transfer and development

Embodied and disembodied technology. Reasons for and against technology transfer, methods of transfer, methods of avoiding or limiting transfer. Licensing. Technology transfer in textiles. Sources of machinery.

References

  1. 'Major Issues Arising from Transfer of Technology to Developing Countries - UN - 609.1724.UNI.
  2. Transfer of Technology - UN - 609.1724.UNI.
  3. Social & Labour Practices of Multinational Enterprises in Textiles, Clothing & Footwear Industries - ILO - 338.47677.INT.
  4. UNIDO Monographs on Industrial Development No.7: The Textile Industry - UNIDO - 338.47677.UNI.
  5. Lennox-Kerr 'Selecting Second-hand Machinery' - African Textiles - Feb/Mar 1987.
  6. Ormerod - Chap.2 (Pp 90-95).
  7. Licensing & the Price of Technology - Etele A - Management Decision - Vol 23 No.3.
  8. Productivity, Technology & Development - Pack H - World Bank - Pp 170-178

7. Technology choice around the world

Assessment of actual technology usage worldwide; ideology of the choice in developing countries; future possibilities.

References

  1. Where in the World Should We Put that Plant - Stobaugh R B - Capital Investment Series Pt.2 - 658.152.HAR.
  2. Negotiating Investment in Emerging Countries - Williams S - Capital Investment Series Pt.2 - 658.152.HAR.
  3. Europe Now Competitive - Subhan M - Textile Asia - Sept 1987

8. New Projects and Investment.

Technology choice as a function of the project plan. Factory location and construction plans. Major stages of the project.

References

  1. Ormerod - Chap.6.
  2. Harvard -

9. Location Analysis. (new addition)

An examination of location strategy and systems. Looking mainly at distribution depots and retail outlets, building on the earlier work on manufacturing sites.

 

Additional Books for Further Study

Access to Resources

Access to Exam Examples

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