Which of the following statements regarding "proximity" in the location decision is FALSE?
A) Service organizations find that proximity to suppliers is the most critical primary location factor.
B) Manufacturers want to be near customers when their product is bulky, heavy, or fragile.
C) Perishability of raw materials is a good reason for manufacturers to locate near the supplier, not the customer.
D) Reduction in bulk during production is a good reason for a manufacturer to locate near the supplier.
E) Clustering among fast-food chains occurs because they need to be near high traffic flows.

Question

Quizplus · Accepted Answer

While proximity to suppliers is important for service organizations, it is not always the most critical primary location factor. Other factors such as access to customers, labor, and transportation may be equally important.

Which of the Following Statements Regarding "Proximity" in the Location