RMG 301 Chapter Notes - Chapter 8: Infrastructure Canada, Car Rental

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Location decision process: identify important search parameters and factors, such as location of markets or raw materials. Such as in car rental agencies, they locate in airports and downtowns where their customers are. Examples include fast food restaurants and gas stations. Quite often, their products and those of their competitors are so similar that they rely on convenience to attract customers. Hence these businesses seek locations with high population densities or traffic. Other factors include distribution costs or the perishability of a finished product: labour factors primary labour considerations are availability of workers, the wage rates and labour productivity, attitudes toward work and whether unions are a potential problem. Large plants usually locate in or near population centres. Rmg301: company standpoint: number of factors determine the desirability of a community as a place for its workers and managers to live.

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