The World 's Leader Of Manufacturing Essay

Decent Essays

The ability to adapt as a manager is crucial, as 21st century leaders are currently working in a complex environment of constant change (Tamkin, 2016). Global production is always being innovated and developed to make it more efficient and to cut costs, therefore leaders of companies must always be up to date with current affairs. At the moment, China is the world’s leader of manufacturing, with over 38.1% of global manufacturing occurring there in 2013 (Hodgson, 2014). This is mostly due to the large workforce it can supply and the low minimum wage. However, large companies are starting to leave China and move to other countries for their manufacturing (Rapoza, 2012) as a result of their steadily rising minimum wage, poorly controlled regulations and a rapidly aging workforce due to their recently abolished one child policy. With China declining in popularity with firms to manufacture in, it is likely over the next 4 years it will become increasingly less popular. This will give way to the rise in popularity of other emerging markets such as India who are acquiring stronger representation in global production chains (Tamkin, 2016). The second biggest manufacturer in the world is America, which is expected to overtake China as the world’s leader of manufacturing by 2020. The main factor that contributes towards this change is recent developments in technology. As Tamkin stated in 2016 “Technological developments are slowly dissolving the boundaries between sectors and are

Get Access