How geographical factors affect location decisions
- Closeness to suppliers
- Closeness to water/gas/reliable electricity supplies
- Winds/weather - important for companies who may work outdoors or produce smoke pollution
- Waste disposal - important for businesses that need to get rid of a lot of waste
- Safety - important for businesses that that make dangerous products and so need to be far away from housing (e.g. a firework factory)
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How cost affects location decisions
- How long will the site be needed?
- Is it better to rent it or buy it?
- Does the site need a lot of work?
- Is it in an expensive area? - Does it need to be?
- How much do you need to pay the local council?
- Is there room to expand?
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How infrastructure and labour affect location deci
- Communication facilities - phone lines, internet access
- Transport systems - roads, trains, the sea (for imported goods), airports
- Ancillary businesses - these are helpful, additional businesses that can do things for you (like waste disposal companies or repair men). Are they local?
- Supply - are there enough workers locally?
- Skills - are the local workers adequate?
- Training - are there training facilities nearby?
- Wages - can the business afford to pay workers the amount needed to get them to work there? (Businesses may find they can pay workers less in areas of high unemployment)
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Financial assistance, advice and information
- District councils have economic development officers to give advice
- The RDC (Rural Development Commission) supports small businesses by providing training and other help like top up loans for businesses in rural communities
- TEC (Training and Enterprise Councils) can give grants and interest free loans to new businesses
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