Reasons for the decline of Heavy Industry

Question 1

Coal

Answer 1

It was possible to get cheaper coal from abroad. This is important because demand for Scottish coal fell

Question 2

Foreign Competition

Answer 2

There was an increase in foreign conpetition in iron production from countries such as USA and Germany. This was important as it led to the closing of over half of Scotlands’ iron furnaces by 1927

Question 3

Shipbuilding

Answer 3

Demand for shipbuilding had been high during the war, but afterwards, the demand had declined for Clyde built ships. This was important because after the war, Scottish shipyards went into decline due to lack of orders.

Question 4

Poor industrial relations

Answer 4

Scotland had a poor industrial relations record with strikes interrupting production. This was important as it discouraged orders from foreign companies as strikes meant it took longer to produce goods.

Question 5

Failure to invest in new technology

Answer 5

There was a failure of Scottish companies to invest in new technology, which made them less competitive. This was important as these international markets had to look elsewhere for their supplies during the war. Once lost these international markets were not recovered post war.

Question 6

Development of new fuels

Answer 6

There was the development of new fuels such as oil and electricity. This was important because new power sources meant coal production went into decline.