Location Flashcards
Why is location important within a business?
Location can determine the cost of transportation of raw materials, the customer rates and distance from competition
why do retail businesses prefer to be closer to their competitors
They are usually positioned closer to their competitors (shopping centres, public highstreets etc) as this
- allows customers to shop around, and so their shop will be taken into consideration by shoppers
- ensures more purchases are made in that business
What is proximity to the market?
How close a business is to their customers
why is proximity to market important?
it is important for in-person businesses to reach their target market
for bulk-gaining products, where the product is larger than the material used, the business must be closer to their market
whit is proximity to labour?
proximity to the people who the business employs / wants to employ
why is proximity to labour important
it is important for all companies to be close to potential employees, this differs on the skills that they want to obtain. distance is important to quality and quantity of employment
what is proximity to materials?
how close the company is to materials needed
why is proximity to material important?
an important factor in saving money
for bulk-reducing products, where the product is smaller than the material used, they prefer to be closer to materials
what is proximity to competitors?
how close a business is from its competing business’
