The Electronic Industry which is basically comprises of semiconductor devices, transistors and integrated circuits and it’s systems has created revolutionary development in modern manufacturing that affects every single industry that exists around the globe (Maloney, 2003). With the industry’s continued success in innovating and providing newly developed technology that would cater the growing needs of people, electronics has become the keystone and foundation of numerous products and services delivered by various industries (Kremer, 1993).
In fact it is difficult to imagine a product or a service which is not influenced and affected by products created from the electronic industry.
Electronic appliances, personal computers, vehicles, automation processes, communication devices and other entertainment gadgets are all product and dependent to the said industry. The advent of new technology gives rise to new line of electronic devices that in turn improved existing products, and further more make it available to the public by making them affordable (Lovitt, 1977).
Thus, as technology improves each passing day, the electronic industry also make significant step and leap forward.
Over the last several years, the growth of the industry was overwhelming. All around the globe, the electronic industry has exhibited a sustainable growth rate for almost over a decade now (LaPedus, 2008). In terms of revenue and employee numbers, the results were satisfying and with the influx of demand for electronic components such as semi-conductors, to usher the dawning of the era of information revolution we are experiencing now, significant growth over the next five years or well before 2015 is expected.
In 2006, the industry experienced a 9 percent to 249 billion dollars growth, the following year, 2007, the growth was 10 percent to 274 billion dollars (LaPedus, 2008). This year the growth was projected to be at roughly around 10. 8 percent to 303. 4 billion dollars and the Electronic and Semiconductor Industry Associations believed that for the next several years it would not be surprising if the growth rate continue to jump and reached higher ground. The robust growth can be attributed to the consumption of electronic products especially digital cameras, high definition TV sets, MP3’s, DVD’s and cellular phones.
Sales of cellular phones alone are expected to account for 20 percent growth, which would mean 1 billion more units are predicted to be sold. Despite fear of recession and the energy crisis looming at hand, a consumer electronics industry group predicted that consumers would likely to buy more gadgets. For the electronic industry, the Nation’s economy plays vital and pivotal role. It could be observed that the economic growth and productivity leads to technological innovations, as huge revenue is incurred by the industry, and vice versa – technological innovations lead to economic growth as more investments are made (Chute, 1971).
There exists a strong interrelationship between them. The industry is expected to grow as the economy continues to grow. Thus, if the economy has become stagnant and gone sour, a delay for technological advancement is likely to follow and is downfall is inevitable. With development of new technology stalled, growth and productivity of the industry is slowed down and it won’t take long, before the nation’s economy feel the blow (Maloney, 2003). The industry would suffer severely if there is a declination in the economy.
In addition to the recession, the looming energy crisis is likely to affect the growth of the industry as developments of new technologies are held up. However, the industries are confident enough that still growth in the next few years will still be seen. Also, electronic industries, employed billon of workers around the globe. Employment also affects the industry as manpower results to more output, and competition among personnel may provide better results in the production (Yefim F. ,1992).
Also, if due to economical reasons, personnel through labor unions wish for wage increase and huge bonuses that the industry could not afford, the impact to industry can be fatal, as chaos may erupt that may cause several company to stop from operating. Another variable that may affect the electronic industry is the political stand made by the government. It is no secret that our government today had put emphasize in protecting our homeland and placed a huge chunk of the nation’s budget to the defense industry.
In providing the government the services it needed to protect its people, the electronic industry caters around 80 percent of the product and devices. Modern warships, submarines, tanks and simple homing devices and x-ray machines at airports are product of the industry. If a change in the political scenario is made, and the government would withdraw their initial investments to these products, a decline in the industry can well be observed, as large numbers of components are being supplied by the electronic industry.
Today, the growth of the industry can be attributed to the population genre. As today’s generation tend to purchase electronic gadgets that would satisfy their cravings for entertainment the electronic industry is experiencing huge boost. It is interesting to note that the fastest and most expensive personal computer was designed not to cater the needs of the business sector, but instead to satisfy games enthusiasts. Mobile phones, digital cameras and iPods are hot commodities. Unit sales of these components have increased, year after years.
Our lives have become increasingly dependent to these technological devices. From this, we can infer that population genre affect the electronic industry. The change of preference of the community and the customers will impact the industry. The robust growth of the industry can be credited to this as people and consumers try to secure the hottest gadgets fresh from the market. Although recession in the near future is being viewed by experts to happen, and energy crisis largely hanging in the air, the electronic industry will continue to grow.
This is because that almost every industry is tied, link and is somehow connected to the electronic industry. The nation’s economy, the preference of the population and the government all has their impact to the industry. As our technology continues to jump bounds and heights, the industry will also continue to grow and prosper, and as a result providing us better quality of living.
Chute, R. (1971). Electronics in Industry. McGraw-Hill. Kremer, M. (1993).Population Growth and Technological Change: One Million B. C. to 1990. The Quarterly Journal of Economics. LaPedus, M. (2006). Growth of consumer electronics drives semiconductor industry to new heights. Manufacturing & Technology News. Lovitt, W. (1977). The Question Concerning Technology. The Question Concerning Technology and Other Essays. Maloney, T. (2003) Modern Industrial Electronics. Prentice Hall. Yefim F . (1992). Process Improvement in the Electronics Industry. Wiley-Interscience.