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Urban Centres and Urbanisation - Coggle Diagram
Urban Centres and Urbanisation
Reasons
for the start of Urban Centres
Economies of Scale
INCREASED SCALE OF PRODUCTION
bigger population = greater demand = greater production (e.g. food)
Savings in terms of:
bulk purchases of raw materials
specialization of labour
Agglomeration Economies
PLACE-RELATED
economies of scale due to:
Sharing of the pool of labour force
(e.g. worker's skill for employer can be used for another)
Firms dependent on each other
(e.g. hotels and shopping centres)
Services from specialized vendors
(e.g.legal firms, banks, insurance companies etc)
Some firms requiring face-to-face contacts
(e.g. architects and building contractors)
Problems arising
from Urbanization
Development of Slums, blighted areas
Inequality of Income Distribution
Problem of inadequate infrastructure
Greater overall power of administration
Existence of delinquency and crime
Health problems
[
Factors affecting further urban growth
]
Strong Economic base
Strong Economic Growth
= Attract people and business to urban area
Riots/ Social unrest disrupts urban growth
(e.g. people emigrate)
Tripartism
- collaboration between employers, unions and gov. (boost economic competetiveness
Specialization of functions
Larger Population
:arrow_right: greater demand for goods & services :arrow_right:more output :arrow_right:
possibility to specialize = create more job opportunities (e.g. banks get enough money to provide loans)
Rate of population growth
Net migration, birth rates
and death rates
Rate of capital investment
Attract investment :arrow_right: increase business activity, job opportunites :arrow_right: attract MORE people
Capital Deepening
Rate of technical progress
Greater technological advancement
:arrow_right: attract investors to urban area
workforce that is highly skilled
and
technologically savvy
:arrow_right:
attract companies
to set up businesses
Population that can be supported
Provide enough food and other goods and services
for the population :arrow_right: Urban Growth
Market Potential
Big population with Spending Power
:arrow_right: attracted Urban Area
Availability of least cost site
CHEAP COST SITE
:arrow_right: Attract Businesses
Definition
A place where the population density is higher than the surrounding area and where
socio-economic
activities gather