Two product factors impact location decisions. These are (1) whether the product serves universal needs and (2)

Question

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Product value-to-weight ratio is an important factor in location decisions because it impacts transportation costs. Products with a high value-to-weight ratio are typically transported by air, which can be more expensive, while products with a low value-to-weight ratio can be transported by sea or land. This consideration becomes important in deciding whether to locate a production facility near the market or near the source of raw materials.

Two Product Factors Impact Location Decisions