Answer: The correct answer is false
I hope that this helps you!
To be near the source of raw materials because these are your first priority as a producer. The market is an important factor too, since you need customers that other firms will conceive so you can grow too. You need a reliable source that will help you grow by attracting more customers, so being near one of these sources is going to help both your factory AND your source which will stay with you. Being near your raw materials could save you delivery costs too, since they don’t have to be exported from abroad. If your raw materials are close, then you can spend more money on production and advertising costs rather than delivery. Proximity to the market also means better understanding of your competition and helps you reach your target market better.
