Does location matters in business?

[U-Exchange]

The answer is yes. Location has a very important role to play when it comes to business establishment. You may have a very good and profitable business in mind but the location you choose to set it up can spoil the whole thing for you.

Setting up your business in a very busy area will surely generate more income because you'll meet thousands of people to patronize you.

So i think location is very important in business establishment.

 

[TOZZIBLINKZ]

It is absolutely mandatory that we understand how important the location of a business actually matters to the existence of the business that we established or we intend to establish and implement . The location of the business doesn't mean that we should only focus on the population size of such business writer we must go ahead also to check the crime rate of the location of the business and lastly we must conduct a feasibility study about the test and preference of the individuals living in the location we intend to situate the business . A business environment and it could be filled with a high rate of population of people but yet we may unknowingly be aware that majority of the population individuals living in such area crime indulgers such as thieves , arm robbers , miscreants , hoodlums, pickpockets , etc . And so establishing a business in a location filled with individuals like this totally put it in a vulnerable state to be attacked and overwhelmed by individuals such as this .

Another parts we must also focus on which is also included in the location of the business is the test and preference of the individuals living there . For example we may unknowingly end up establishing a sachet water industry in an area where people are not used to the drinking of sachet water , rather they get their water from ocean , streams , rivers etc and after passing it through some series of purification then they make use of the water . As business owners we do not want to make this kind of mistakes and errors .

 

[btaliat]

Location is not only important in deciding the profitability of a business, it is also a major determinant of how peaceful the business owner will be. I will explain in details what I meant.

In economics, the assumption is that a business needs to be located where there will be market. That's why most people will do what we call market research to know the market segmentation to know the concentration of buyers in a particular area. For instance, a business owner will first of all know the target audience. Does he want to sell to the young, the old, the female or male. This is what we make him to know where to situate the business. This is not the only reason why there must be good localisation. There is the tendency that the owner will also know whether to situate the business where there is rich or where there are poor people.


Another reason is that I made mentioned is about the peace of mind. There is need to go to areas that are peaceful while citing business. This is because a place that is always riddled with violence may be a discouragement to customers and will not make the owner to have peaceful mind.

 

[eldavis]

The location of the business is actually one of the most important aspect an entrepreneur should look into when starting up a business. Setting up your business at the wrong location could completely destroy your business. There are cases where most business owners set their business in places where their target audience finds it hard to access them, this would lead to low sales.

 

[Kingsley]

We Can not over emphasize the relevance of location in setting up a business venture. The truth is in setting up a business one of the most important things to consider is location. Now when we take a look at one of the richest man on earth and the richest man in Africa he took a very good cognizance of the fact that location is a key concept in sighting a business. When he started building his refineries he made sure he sited them in locations where it will be easier for his target audience to locate his products. Just like his oil refinery he placed it in where it will be easy for him to have access to raw materials as this will help to reduce the cost of production and at the same time it is very close to the target audience.

Again it is always wise to map out those places with large population settlement even MTN came down to Nigeria all the way from south Africa to the largest market in Africa and this is where they are indeed making the bulk of their profit in running their business. So location is key in having a successful business.