GCSE Business Studies Unit 1 Starting a Business

GCSE Business Studies Unit 1 Starting a Business Location

Learning Outcomes • Explain the following factors that influence the location of businesses locally, nationally and internationally: – Proximity to raw materials – Proximity to market – Availability and price of land – Governmental influences – Communication – Transport infrastructure and parking Images © thinkstockphotos. co. uk

Good phone/internet signal Close to suppliers Availability of raw materials Type/size of business Communication Market Competitors Close to customers Factors affecting Location Price of land/premises Government Influence/assistance Infrastructure/Parking Transport links Cost of Labour Images © thinkstockphotos. co. uk

Think of a retail shop in your local town. (a) (b) (c) (d) Write down the name of the shop. Does this shop exist anywhere else (in a different town/country? ) List the advantages of the shop being situated in its current location. List all the disadvantages of the shops current location. Spend 15 minutes on this activity Images © thinkstockphotos. co. uk

Factors to consider when choosing a business location • Raw Materials – Raw materials are used in the primary production of goods eg. Wood, grain, minerals or metal from a mine. • Infrastructure/Parking – transport network including rail, road and ports available and utility systems (wiring and piping) • Government Influences – grants, loans and possibly tax breaks • Cost – Price of land to buy/rent and cost of labour Images © thinkstockphotos. co. uk

Factors to consider when choosing a business location • Communication – Internet and phone signal • Market – Close to suppliers and customers. Not too close to competitors Copy the table below: Advantages Disadvantages In groups: (20 minutes) Identify the advantages and disadvantages of a business locating overseas. Images © thinkstockphotos. co. uk

Exam Question and Check List Past paper 2015 Unit 1 - Q 3 – spend approx. 8 -10 minutes completing this question. Learning Check – Do you know. . . 1. The factors that influence the location of businesses locally, nationally and internationally? Images © thinkstockphotos. co. uk