Political factors greatly affect the manufacturing industry's growth and profits. In a study by Momin, they imply that government regulations, aimed at protecting the environment and ensuring fair practices, can increase production costs (2024). Political instability can disrupt operations, causing delays and increased costs. Government investment in R&D can enhance efficiency and competitiveness, but reduced funding may lead to stagnation (Momin, 2024).

In an analysis by Wood, they assert that economic recession, marked by customers seeking cheaper alternatives, impacts the manufacturing industry by reducing demand for higher-priced goods (2023). Supply chain issues and inflation are contributing to increased overhead costs, adding pressure on manufacturers. Additionally, the housing crisis and market crunch are influencing the industry by affecting consumer spending patterns and overall economic stability (Wood, 2023).

In the study conducted by Wood, they imply that sociocultural factors affecting the manufacturing industry include the retiring Baby Boomer generation, changing family patterns, and lowered birth rates, resulting in a decrease in spending customers (2023). Changing workstyles and lifestyles, such as increased remote work, impact consumer and worker behaviors and preferences. The growing global dependence on digital ecosystems also influences manufacturing, as does the increased access and desirability of travel (Wood, 2023). Furthermore, Momin’s study also suggests, that there's a local consumer push for same-day delivery of products, reflecting changing expectations and demands in the marketplace (Momin, 2024).

Wood’s study indicates that social media and advertising platforms play an important role in brand-building and marketing, enhancing customer engagement and market reach (2023). Presentations at Stiles Machinery’s Manufacturing Solutions Seminar demonstrate how automation adoption affects efficiency, productivity, and labor requirements, shaping operational processes (2024). As discussed on Stiles Machinery’s technologies page, the expansion of the Tapio mobile app and online services improves customer interactions and service accessibility, boosting satisfaction and loyalty (2023). Additionally, Wood emphasized that utilizing advanced technology in distribution and warehouse centers optimizes inventory management and supply chain efficiency (2023). Integrating robotic automation enhances order fulfillment processes, improving speed and accuracy. Implementing AI for augmented reality enhances product visualization and customer engagement, providing competitive advantages. However, the threat of cyberattacks on data security requires robust cybersecurity measures, while increased reliance on mobile apps and digital solutions impacts customer service and operational efficiency, influencing overall business performance (Wood, 2023).

Scott Curtis of the TWI Institute suggests, that to hire and retain skilled labor, manufacturing companies need to consider several strategies (2024). Manufacturing companies can improve skilled labor retention by maintaining a safe work environment through ongoing safety training and establishing a company code of conduct with appropriate disciplinary measures. Additionally, they can implement employee recognition programs, foster strong peer relationships through mentorship programs, and offer opportunities for skills development and career growth. Providing comprehensive benefits, supporting employees' well-being with flexible time-off policies, and promoting work-life balance through community-building initiatives are also effective retention strategies (Curtis, 2024).

Legal factors affect hiring and retaining skilled labor in manufacturing in numerous ways. According to the U.S. Department of Labor’s Wage and Hour Division, labor laws cover minimum wage, safety, and discrimination, which can increase costs and complexity for manufacturers (2024). Additionally, strict immigration laws limit the availability of skilled labor, particularly in technical roles. Employment regulations add costs and complexity to hiring practices, and certain manufacturing roles require licenses, limiting the talent pool. Moreover, worker classification laws impact hiring flexibility, while strict intellectual property laws restrict hiring from competitors (Division, 2024). To address these challenges Christianson recommends, that manufacturers invest in training, offer competitive compensation, and advocate for favorable legal environments supporting workforce development and talent acquisition (2021).