Wednesday, May 8, 2013

"The Box: How the Shipping Container Made the World Smaller and the World Economy Bigger" by Marc Levinson

1. A selection from this chapter that I found interesting was when Levinson explained how the containers are organized on the ship. Most people would not think about how much thought goes into organizing the containers. "They have ensured that the refrigerated containers are placed in bays with electrical hookups, and that containers with hazardous contents are apart from containers that could increase the risk of explosion," (p. 6). With the great amount of containers on these ships, it amazes me how organized they are with them all in such a fast process. The advances in technology contribute greatly to the ability to organize these containers so efficiently. 

2. Levinson claims that containers not only saved time, but also lowered cost of shipping. Containers are able to organized quickly and efficiently, saving a lot of time. Therefore, countries feel more comfortable buying from another country that provides a good at a reasonable price, even if it is at a great distance, because time and cost of shipping are low. With that being said, Levinson sees a clear contribution to globalization from "containerization". 

3. As Levinson states, consumers win in the sense that there are a wider variety of choices from the global trade made available by containers. However, they are also at a loss because if these consumers are workers, they are part of the competition of employers who seek the cheapest labor. "In 1956, the world was full of small manufacturers selling locally; by the end of the twentieth century, purely local markets for goods of any sort were few and far between." This shows that producers of local goods are at a loss. With the use of containers, consumers receive more choices with worldwide goods. Some producers, though, like large manufacturers, win in this situation because their business can easily spread internationally. 

(source: Google images)

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