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Factors to consider when locating a factory - Coggle Diagram
Factors to consider when locating a factory
Raw materials
Water
Electricity
e.g copper
What the factory is made of
transporation
Traits
If
__
then
Large and heavy then should be sourced locally
Light and cheap can be imported more easily
Labour force
The people who work in the factory
Creates jobs
Must be built where there are enough workers
Could locate near colleges or universities
e.g abbots
Near towns or cities
Markets
Where factories sell their products
Locating close to your market is more beneficial
Can be transported quicker
Lower transport costs
Can advertise easier
e.g big citys or capitals in well developed countries
Regional groups
The European union provides easy business for countries in it
Taxes/government policy
The government encourages businesses to come here
Gives grants
Helps businesses move here
Our corporation tax is very low
Ir 12.5%
U.S.A 40%
U.K 19%
Services
Factories need access to basics
Sewage treatment
Waste disposal
Telephone
Broadband
Wi-fi
Industrial estates
Easy access to services
Transportation
Road transport
Good main roads are needed for transport
Railways
The middleman between factories and other countries
Overseas
Ports or docks are essential for overseas delivery
Over air
Airports are a way of delivering to other countries
Personal preferences
Some businesses might set up somewhere because they just like it