Looking at the four choices in which to build the Podmore's factory I will explain, analyze and look at which location is best to suit its essentials, wants, needs and which location will benefit the company the most. The four locations from which one will be chosen include Edinburgh, Liverpool, Hull and Newman. Firstly deciding which location is most suitable for the factory's needs many different factors must be considered. The factors which may need to be considered will differ from the type, purpose and nature of the business.
Six other factors which will be needed to look into include:
- Labour Supply: When thinking about a new location for the business I must think about the availability of employees around, the labour supply. Will the business have enough employees?
- Transport Services: Transport links influence the decision of the business's location, now then ever before. Will there be enough transport facilities for the company. E. g. possibly locating near a motorway junction or ship port. Transport links can save the business money.
- Government and other incentives:
- Access to customers: The Company needs to locate near to their customers in order to have access to them.
- Proximity of other businesses: The company would have to think about is location as this largely refers to the location of competitors.
- Natural resources: Businesses are dependent on natural resources in order to operate and exist, all businesses benefit from having good access to suppliers and raw materials. So the location I will choose will have to fulfill these needs in order to benefit the company.
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I know that they want to find a new site to build a factory, so I will go through all four locations researching on their advantages and disadvantages. With the basic information provided I can see that firstly Hull has an existing factory near a port and good motorway connections, this already shows that it has a good transport facility. The factory is also ideally suited to present capacity needs. Secondly Edinburgh premises on an industrial estate with good road access to Glasgow and the South, again good transport facilities. Next there is Liverpool which has been completely suited for 21st century manufacturing.
The building is already 20% larger than its current needed for production. Lastly Newham, an existing factory with about 10% more space than is currently needed for the factory. Office accommodation is crapped and poor quality. From the table, in my personal perspective I think that Liverpool have the best facilities in terms of transport. I say this because it has good connections to the motorway; M6 and M1 which lets it travel up and down the country. It also has a nearby port which enables access to around Europe and overseas.
Next would have to be Edinburgh, followed by Newham and then Hull. From all the information I have gathered I have chosen for my final location Liverpool. I have chosen this because not only does it have the most facilities that will benefit the company, it also is suited to represent a factory and present capacity needs. It has good transport needs which include the M1, M6, a nearby Liverpool port and also a good supply of labour. Adding onto Liverpool's advantages it has a good population of young aged people who could have interest in a job.
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