How does a company decide where to locate a business facility?
A) The decision is almost always based on the availability of skilled labour.
B) The decision usually requires the analysis of several different factors, but the importance of each factor tends to vary according to the specific type of industry.
C) The decision is made based on the expense of purchasing the land.
D) The decision usually boils down to where the top manager wants to live.

Question

Quizplus · Accepted Answer

Choosing a location for a business facility involves analyzing several factors such as availability of skilled labor, transportation, infrastructure, local regulations, taxes, and cost of living. The relative importance of each factor varies according to the specific industry and the company's priorities. Therefore, it is likely that a company considers a combination of factors and performs a detailed analysis before deciding on a location. The other choices (A, C, D) are not accurate as they oversimplify the process or ignore some critical factors.

How Does a Company Decide Where to Locate a Business