The less specialized the firm,the greater the importance of proximity in the location decision.

Question

Quizplus · Accepted Answer

Specialized firms, especially those in industries like high-tech, biotech, or specialized manufacturing, often place greater importance on proximity to resources such as skilled labor, specific suppliers, or knowledge centers (like universities) than less specialized firms, which might prioritize factors like cost or general access to markets.

The Less Specialized the Firm,the Greater the Importance of Proximity