Advantage of international division of labour

1. Right person in the right Job:

Every worker is assigned the task for which he is best suited. This helps to provide, opportunities for the best utilisation of natural talents as a person performs the job which he likes he gets pleasure in work.

2. Greater Efficiency:

Right man in the right job leads to higher output. Secondly, due to division of labour, a worker continuously repeats his work. He becomes an expert in performing the job Repetition of the same work improves his dexterity and skills.

3. Better Quality of Work:

Division of labour not only increases the quantity of work it also improves the quality of production. Better and modern machines and equipment are used. Better quality products help to increase the goodwill and profits of business.

4. Saving of time:

Division of labour helps to avoid waste of time and effort caused by changes from one type of work to another. The worker does not have to shift from one process to another.

5. Economies of large scale production:

Division of labour facilitates mass production. Large scale production provides economies in the use of resources, such as raw materials, labour, tools etc. Optimum use of means of production helps to reduce cost of production.

6. Less learning period:

Under division of labour a worker needs to learn only a part of the whole task. Therefore, lesser time and expenditure is involved in training workers.

7. Inventions and Innovations:

A worker doing the same task again and again tries to find new and better ways of doing the job. Small and simple parts of a task can easily be done by machines. Thus, division of labour increases scope for inventions and innovations.

8. Less Strain:

Division of labour makes tasks small and simple Workers can perform them without much strain and physical tiredness is reduced. Less skilled labour is required to perform the divided and sub-divided tasks.

9. Wider Market:

Division of labour makes available cheaper goods of a wide variety. As a result demand for goods and services increases.

10. Benefits to society:

Society is benefited due to (a) reduced cost on account of large scale production (b) higher productivity which leads to economic growth (c) employment of unskilled workers and (d) better quality of goods and services for consumers.

I'm sorry Choen, I think we could try to help better if we understood the question better because I do not know exactly what you mean by this question. 

Can I suggest you give us an example of what you mean and what your hypothesis is?

Thanks

Richard

Dear Professor Richard, I mean how international division of labour will contribute to development of particular cross-border regions between 2 neighboring countries.

Ok thank you for the clarification Choen.  That is a massive question.

There are clearly some very different ways in which the international division of labour can operate and that means that the context will be very important.  The content of the international division of labour within or between companies and countries is not a static phenomenon but a changing one and how it relates to the development of regions is the outcome of negotiated interactions within and between companies and countries, not to mention regional government as a player.  At the global level and within MNCs, a good illustration of that negotiation is contained in Peer Hull Kristensen and Jonathan Zeitlin's book Local players in Global Games (Oxford University |Press 2004). 

Some of the most important issues in the developmental effects at the regional level are likely to be: (1) the nature of the industries involved.  Where there are relatively high levels of technology transfer across the borders (not very common although equally far from unknown) and (2) where these transfers are encouraged effectively by state policy one can see that the possibilities of cross-border mutually interdependent regions developing in positive synergy will be higher.  Where the industries operate within a ''low road' (low technology, low pay) paradigm these possibilities still exist but the developmental effects will be reduced.  The earnings issue is quite important here because where there is combined development of a cross-border region based on low skill, low tech and low pay the impact on regional development will be reduced compared to the opposite model simply because workers capacity to raise levels of consumer demand will be reduced, thereby reducing the developmental effects.  The aim really needs to be to develop clusters of companies (especially relevant with small companies) so that they can pool and share resources that they could not individually support. 

Its all a question of combined but uneven development.  The political playing field is probably more level in South-South cooperations than in MNC-local subsidiary interactions.

I hope that helps a bit

Richard

Thanks to Professor Richard for broad view and substantive  insight of advantages of international division of labor on development of cross-border regions.

Thanks to Kwamina for insight on the general benefits or international division of labour.

As fronteiras (os espaços de fronteira, incluindo seus povos) subvertem as lógicas internacionais. Existe um arranjo territorial particular entre os fronteiriços a partir das relações sociais historicamente construídas e das oportunidades econômicas oferecidas por um lado ou outro da fronteira.

Na maioria das vezes, as simetrias não estimulam as mobilidades territoriais transfronteiriças, ao contrário das assimetrias. As desigualdades socioeconômicas são catalisadoras de fluxos territoriais de pessoas, mercadorias e capitais.

Assim, não vejo que a divisão internacional do trabalho possa produzir maiores vantagens ou desvantagens para o desenvolvimento dos fronteiriços. Na verdade produzirá as duas coisas, com arranjo territorial particular em cada fronteira. Nós brasileiros diríamos: com o "jeitinho" de cada uma delas.

abraços

Edgar

Apart from advantages we generally get from trade between two countries (many of them are listed by Kwamina Ewur Banson ), two neighbouring regions can build up an industrial complex, because the transport cost is small. Of course,  in order to enjoy this condition, the tariffs should be lowered as far as possible. If they are high, the country border may become a barrier for any kind of complex formation.

If wages of two countries are very different, it will help to divide the formerly coupled process into two or three independent processes. One of them (the second process) can be executed in another country whereas two of them (the first and the third process) are executed in the original country.

This is a case of unbundling (or fragmentation, outsourcing, global value chain, and others). See for a theroretical analyis on this point, my conference paper and PPT presentation

The Economics of the Great Unbundling

https://www.researchgate.net/publication/272943681_The_Economics_of_the_Great_Unbundling?ev=prf_pub

https://www.researchgate.net/publication/273135143_The_Economics_of_the_Great_Unbundling_PPT_Presentation

Conference Paper The Economics of the Great Unbundling

Data The Economics of the Great Unbundling PPT Presentation

Thanks Professor Yoshinori! I will go through your attached paper.It looks like relevant to international division of labour.

Apart from the usual trade-related benefits, the skill premium for workers in an intraindustry trade, involving two countries, may be enhanced if the division of labor leads to skill complementarities rather than skill substitutabilities. Particularly with regards to intermediate goods.

https://www.researchgate.net/publication/222827057_Intraindustry_Trade_and_the_Skill_Premium_Theory_and_Evidence

Article Intraindustry trade and the skill premium: Theory and evidence

Dear Choen Krainara,

On of the elements that could also be brought into this discussion is the specific nature of cross-border regions. When discussing international division of labour (not focusing on CB regions), we tend to think about the consequences (+ or -) of workers moving from one country to another.

The new element in this discussion associated with CB Regions is the element of the "daily commuters". This allows for the two different labour markets (on each side of the border) to complement each other (and eventually balancing each other) without people actually moving out to another country.

In the EU it is estimated the existence of 2 million daily commuters (ref in links below). This is a facet of the question that only occurs in CB regions.

The EU case is interesting to follow. For the most recent policy developments and references search for the initiative "Boosting Growth and Cohesion in EU border regions" (docs in here: http://ec.europa.eu/regional_policy/en/information/publications/communications/2017/boosting-growth-and-cohesion-in-eu-border-regions)

Also interesting to note that a platform has been created to discuss (as well as promote articles or events) cross-border cooperation: https://ec.europa.eu/futurium/en/border-regions

Hope this is still helpful,

Ricardo