HOW TO REPLY TO THE DISCUSSION BELOW AS A PEER

How has the industry changed over the last fifty years?

Over the past fifty years, the industry in Chicago has shifted from manufacturing-based to service-based. This change is similar to that of the U.S. economy overall. This crossroads occurred after an indication of a structural change taking place in Chicago. Between 1970 and 2000, The number of manufacturing employees in Chicago decreased from over one million to 600,000. While the number of service employees in the sector increased from 600,000 to over 1.2 million. (Hewings et al., n.d.) The transformation from manufacturing to service has been fueled by three contributing factors, productivity, demand, and business practices. Productivity advancements have allowed for steady production with fewer employees. Demand has also shifted from the need for manufacturing to services. Overall, Chicago manufacturing companies have shifted to input from regions outside of the city which decreased the need locally.

What cultural changes have occurred to drive those changes?

Culturally, the City of Chicago has adapted to life post the COVID-19 Pandemic, enhancement to the digital and online market, globalization, and offshore competition. The need for services such as call centers versus in-person interactions has been adopted by the people of Chicago. (Chicago's Structural Advantages (and Professional Services 2.0) | Smart Cities Dive, n.d.) These changes drive the change from manufacturing to service-oriented.

What do you see as the future of industry in the city?

The decline from a manufacturing-based to a service-based economy has posed the city for resilience in the service sector. The region is prepared for competitiveness in the global economy. While there is a notable decrease in the manufacturing sector, Chicago's economy is diversified with the rise in the service sector. This alone will enhance global competitiveness. Projections suggest that this shift will continue, foreseeing ongoing reductions in manufacturing employment rates and a moderate decline in output due to heightened productivity levels. (Hewings et al., n.d.)

References

Chicago's Structural Advantages (and Professional Services 2.0) | Smart Cities Dive. (n.d.). Www.smartcitiesdive.com. https://www.smartcitiesdive.com/ex/sustainablecitiescollective/chicago%E2%80%99s-structural-advantages-and-professional-services-20/13654/

Hewings, G. J. D., Israilevich, P., & Mahidhara, R. (n.d.). Chicago's Economic Transformation from