Wednesday, July 21, 2004
-this is what happens when i have no paper and pen to take notes at the monet lab. :)
Market
-refers to customers
-->perishable -->near to customers
Manufacturers - high production cost
(eg. car manufacturing)
locate near market(large)
redcue transport costs
Complimentary industries
eg.tyre factory & car manufacturing
LOCALISATION ECONOMIES
-centralisation/concentration of industries in a certain area
-related products also locate there
-->Benefits
-share and benefit infrastructure
-attract skilled labour force relating to industry
eg.Durgapur - steel industry
Bangalore - IT/electronics
GOVERNMENT
-policies influence location
-->encourage location of industries in certain areas by:
1. Clearing land & providing basic infrastructure(elec./roads)
2. Tax exemptions & subsidies
(Eg. S'pore -> attracted industries to Jurong Ind. Estate)
3. Excluding certain industries from residential area
(Eg. chemical features,oil refining)
4.Ensure political stability
-conducive conditions
-minimise risks
ACCESSIBILITY
-important to be located at intersection of tpt networks.
-higher accessibility = lower cost of production.
(eg.import of R.M,export of finished goods)
je t'aime8:25 AM