Question

Using specific details and examples from the article, explain both site and

Answer 1

The site and situation factors that are considered by industries in their decision to move their manufacturers south of the border into Mexico is given below:

Situation factors :

• This includes costs linked with the set up transportation networks that is only accessible from a particular place.

• Skilled labor and rapid delivery to market.

Site factors

• costs linked with Land, labor, and capital.

Why are situation factors vital?

They are known to be vital because factories finds ways to identify a location that best suit the pint where their production cost is said to be minimized.

Note that the critical industrial location costs are part of some situation factors that firms do consider along with site factors when setting up an industry.

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