Question

What do Edna Bonacich and Richard Appelbaum mean when they write about a global "race to the bottom" in the retail-dominated production of clothing?

A. Clothing retailers and manufacturers race to get out new products before anyone else and thus foment innovation and increasing quality in the sector.

B. Retailers and manufacturers will go anywhere on earth to pay the lowest possible wages, which results in dismal wages for workers—who are often children.

C. As the manufacture of clothing for large retailers was increasingly centered on areas of the Southern Hemisphere, competition for workers gradually brought wages up in these parts of the world.

D. A manufacturing race has been on for more than twenty years, and it pits large northern retailers against southern manufacturers.

Answer 1

The phrase 'race to the bottom' refers to manufacturers seeking the lowest possible labor costs globally, often resulting in poor working conditions and low wages for garment workers. This is particularly evident in the clothing industry, where pressure from apparel companies on factories can lead to sweatshop practices. Ensuring worker welfare is challenging due to complex supply chains.

Step-by-step explanation:

When Edna Bonacich and Richard Appelbaum write about a global "race to the bottom" in the retail-dominated production of clothing, they refer to the trend where retailers and manufacturers seek out the lowest possible wages for workers in an effort to cut costs and maximize profits. This trend often results in dismal wages and poor working conditions for garment workers, and it can include child labor. The term reflects the broader dynamic where multinational companies relocate production to countries with lower environmental and labor regulations to gain a competitive advantage, leading these countries to compete by further lowering standards, thereby exacerbating the problem. This describes option B, which points out that retailers and manufacturers will go anywhere on Earth to pay the lowest possible wages, often resulting in poor conditions for workers, including children.

Clothes get made under these circumstances because apparel companies like Nike, Lululemon, and H&M outsource their manufacturing to factories all over the world and press for the cheapest manufacturing costs and quickest turnaround times. This pressure can force factories to adopt sweatshop practices such as underpaying employees, mandating long hours, and maintaining unsafe conditions. While some companies have taken steps to ensure proper treatment of workers, the complexity of supply chains makes it difficult to guarantee that such standards are upheld universally.