Factors affecting business location

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  • Created by: Mich112
  • Created on: 02-11-18 17:02
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  • Factors affecting business location
    • Type of business
      • A web design business could be set up from a bedroom
      • A shop would need to be set up near potential customers
      • A service delivering flowers to houses would need to take account of the road system
    • Availability of raw materials
      • Many businesses rely of raw materials
        • They would need to be located somewhere that they can easily access them
    • Proximity to the market
      • A business will want to make sure that they know where its customers a located
      • They would need to ensure that they are easily accessible to their customers
    • Costs
      • Many businesses choose their location based on what they can afford
        • Start-up businesses have limited funds available which limits their options
        • Successful businesses would be able to set up somewhere more popular and expensive
    • Technology
      • More businesses can be run from home due to things like the internet
    • Transport links
      • Some businesses aim to sell abroad so they might set up near an airport
      • Some businesses want to set up in a place like london but they cant afford the rent so they locate somewhere outside but with effective road or train links

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