Asked by Laura Cinnamon on Jul 20, 2024
Verified
Manufacturers may want to locate close to their customers, if the transportation of finished goods is expensive or difficult.
Transportation
The movement of people or goods from one location to another by various modes such as road, rail, air, or sea.
Finished Goods
Products that have completed the manufacturing process and are ready to be sold to customers.
Manufacturers
Companies or individuals that produce finished goods from raw materials through various processes, machinery, and operations.
- Recognize the importance of costs, including labor and transportation, in location decisions.
Verified Answer
BJ
Brennen JonesJul 23, 2024
Final Answer :
True
Explanation :
If transportation of finished goods is expensive or difficult, manufacturers may find it more cost-effective to locate their production facilities closer to their customers. This can help reduce transportation costs and improve overall supply chain efficiency.
Learning Objectives
- Recognize the importance of costs, including labor and transportation, in location decisions.