Ch8: Sec. Econ. Activities

• Factors influencing a factory's location:

  • Raw material - they should locate closer to the raw material if it is large and heavy so it costs less to transport the material
  • Market - factories just near the target market can have lower transport costs when transporting their product
  • Transport facilities - a rail network or an airport is beneficial for a factory to import raw material and export products
  • Workforce - some factories locate near colleges/schools for an educated workforce
  • Personal preferences - some locate a factory in their hometown
• Industrial inertia - when an industry does not relocate to an area when it makes sense to do so, possibly because of the connected history the factory has had in the area.