Location theory
Weber’s Theory of industrial location
Space is characterized by:
Uniform interest rate;
Uniform production costs, wages, rents;
Uniform and proportional to distance unitary transport costs;
Resources consisting of:
Localized materials (mine resources)
Ubiquitous materials (water)
Losing weight materials (raw material’s weight is only partially reflected into the final product)
Net materials (raw material’s weight is totally reflected into the final product)
The model is aimed at identifying the place where to locate a firm / plant minimizing costs related to places
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Raw material places
Energy places
Market / consumption places
