Salt Industry In China Case Study Essay

In a case study conducted by Sedivy, the reasons why China fail to increase its profitability were discussed. It gave a detailed overview of the present status of the industry. It also provided recommendations on how to enhance the industry’s productivity. According to the study, China used to be a major exporter of salt in Japan until 1987 [Sedivy, 1]. But in 1988, the amount of export has declined significantly. The researcher then studied the causes of this decline. Chinese salt was being produced along the shore [Sedivy, 2]. In fact, 50% of the total production were made in the area since the evaporation rate is approximately 1.5 m and precipitation is .5 m per annum. Using their current technology, the amount of salt produced can already be considered enough to meet the demand for salt. The researcher pointed out that in a production- oriented economy, their industry is sufficient but they are the opposite in a quality- oriented market. The study then proposed that the quality must be enhanced to increase the competitiveness of the industry [Sedivy, 11]. They must consider using advanced technologies to improve the purity of their salt since at that time when the study was being conducted, their final product is below the quality standard of

Her research described how the Katwe salt industry progressed across time. It discussed the rise and fall of the industry as well as the factors that affected its fluctuation [Gaines 2004, 15-49]. The study shows that the salt industry in Katwe continues to grow over the years [Gaines 2004, 16]. It is the main source of income for the residents [Gaines 2004, 16-17]. According to Muhindo, the industry is very successful for the reason that it provides jobs for the people and not because of the high demand for salt [Gaines 2004, 16]. The production then grows when there is an abundance of laborers [Gaines 2004,