Delocalization

Delocalization in Global Commerce Policy

In this regard, delocalization is: a term used by advocates of negotiations concerning trade and labour standards. The entries on trade policy are here. It means that a company may decide to relocate its production facilities from a high-cost location to a low-cost country because it expects to save on expenses for the support of social conditions for the workforce. This claim is disputed. With the shift towards advanced, flexible production systems and the need to assure quality and reliability, increasing importance is attached to such factors as infrastructures, educational standards and skill levels. Relative wage levels then are a factor, but not the only important one, in the choice of laocation. See also deindustrialization, globalization, internationalization, race-to- the-bottom argument and workers rights.[1]

Delocalizationin the wold Encyclopedia

For an introductory overview on international trade policy, see this entry.

Resources

Notes and References

1. Dictionary of Trade Policy, “Delocalization” entry (OAS)

See Also