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informationsheet1

Information Sheet 1 Weber’s Model The Weberian model assumes that factory owners are economic rational and aim at locating their factories on the least cost locations. There is only one single factory locating over an uniform plain. Transport cost is directly proportional to distance and weight. The ways of finding out the least cost location are: - find out the transport cost of different locations - compare the cost after adding the saving from labour cost - add in the benefit of agglomeration and at last determinate the least total cost location Webers model find out the transport cost by adding up the total assembly cost of raw materials and distribution cost of products. The weight loss in manufacturing process and locational nature of raw material are also taken into consideration by material index. Transport cost can be shown by drawing isodapanes which means lines of same transport cost. Labour saving and agglomeration benefit can be considered by determining critical isodapane. Evaluation on Weber’s Model Discuss other important locational factors neglected by Weber such as behavioral and institutional factors, land, capital and dynamic market conditions. Comment on Webers method of finding total transport cost. Discuss how physical and cultural variation modify actual transport cost. Weber;s assumption on labour and market also changed under transportation improvement and international trade. Technological improvement has been changing the relative importance of locational factors which will affect the validity of Webers model. Evaluate the changing role of transport cost which is the key factor of industrial location in determining the location of industry. Economic globalization leads to international division of labour and a more complicated industrial location pattern. Industrial location in the modern world -manufacturing industries may be shifting away from sites closed to raw materials and power resources or nodal points of transportation as th

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