Proximity to markets

Proximity to markets
Each company is expected to serve its customers by providing goods and
services at the reasonable price and time.Organizations may choose to locate
facilities near to the market. When the buyers are concentrated, it is advisable to
locate the facilities close to the market. Nearness to the market ensures a
consistent supply of goods to customers and it reduces the cost of transportation.
Locating nearer to the market is preferred if:
• The products are subject to spoilage.
• After sales services are promptly required very often