Final answer:
The need for category management has been spurred by technological advancements and globalization, which have increased competition for local businesses and necessitated strategic management of product categories.
Step-by-step explanation:
The need for category management in the industry has primarily been driven by two major shifts: the evolution of technology, particularly in communications, and the expanding impact of globalization. These interconnected shifts have significantly altered market dynamics, introducing heightened competition as consumers and businesses can purchase and supply goods on a much broader scale.
The shift from manufacturing to service industries, the force of globalization, and increased competition from foreign producers are additional factors prompting the need for category management. Furthermore, given that workplace protection laws are now in place, there's a reduced desire for unions, indicating a transition in workforce dynamics and expectations. Collectively, these changes necessitate more strategic management of product categories to cater to evolving market demands and to compete effectively in an increasingly interconnected world.