Business location and site

Question 1

Why is location important?

Answer 1

Costs - rent may be cheaper
Sales - may increase in particular areas
Reputation/ image - the product may sell better in a certain area as it is favoured.

Question 2

Factors influencing a business location:

Answer 2

The type of business
The proximity to the market
Competitors
Availability of raw materials
Cost of labour
Infrastructure
Technology
Costs
Government support

Question 3

Factors affecting the choice of a specific site:

Answer 3

Footfall - how many people walk past
The ease of access to a particular location
Costs
Personal reasons
Proximity or closeness to customer