Advantage And Disadvantages of Localization of Industries - SS2 Economics Past Questions and Answers - page 1
What is one advantage of localizing industries?
Higher land and property costs
Dependence on a single location
Access to raw materials
Limited access to specialized inputs
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What is one disadvantage of localizing industries?
Environmental benefits
Access to markets
Negative impact on local communities
Access to labour
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Why can localization of industries lead to higher land and property costs?
Because companies need to pay higher taxes.
Because companies need to pay for transportation.
Because urban areas have limited space.
Because local demand drives up prices.
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Why can localization of industries limit innovation and competitiveness?
Because it can lead to higher labor costs.
Because it can lead to dependence on a single location.
Because it can limit access to specialized inputs or technology.
Because it can reduce transportation costs.
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What is the potential environmental benefit of localizing industries?
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Why is it important to carefully consider the potential benefits and drawbacks before localizing an industry?
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