Weber's Theory of Industrial Location

Which of the following is a bulk-gaining industry?

• A soda bottling company

• Copper or zinc smelting

• A paper manufacturing plant

• A winery

• All of the answer choices represent bulk-gaining industries

In a bulk-gaining industry:

• companies make money buying and selling bulky items.

• companies assemble products whose weight is greater after assembly.

• companies make weight-gain supplements.

• maquiladoras provide the labor force.

• production centers are far from their markets.

Alfred Weber's Least Cost Theory takes into account all of the following EXCEPT:

• locating markets close to raw materials.

• transportation costs.

• weight of raw materials.

• agglomeration costs.

• consumer demand for the finished product.

An example of a product made by a bulk-reducing industry is:

• potato chips.

• milk.

• automobiles.

• homes.

• textiles.

Shopping malls are an example of:

• urbanization.

• deglomeration.

• agglomeration.

• cumulative causation.

• gentrification.

Deglomeration occurs when a location:

• experiences a natural disaster.

• does not have a large enough labor force.

• is saturated with businesses offering similar goods/services.

• sees an increase in large firms moving in.

• experiences a rapid loss of manufacturing activity.

Which is the BEST example of a footloose activity?

• a steel mill

• an auto assembly plant

• a software engineering firm

• a real estate office

• an aluminum smelter

Silicon Valley in Northern California is famous as the home of many businesses that produce high-tech products or provide services to high-tech companies. This demonstrates the principle of:

• outsourcing.

• post-Fordism.

• market dependence.

• back office processing.

• agglomeration economies.

The most important cost in Weber's Least Cost Theory is:

• labor costs.

• transportation costs.

• infrastructure costs.

• energy production costs.

• land plot costs.