factors to consider before going into a production business

[Axis]

before engaging yourself into a production business you need to consider some factors which will determine the volume of how your production will be

Amount of capital
this factor is one of the crucial part a person should consider before engaging his own self in a production business why is because they hire the capital the higher the volume of production that will take place. and this will go a long way in developing other factors like equipments and so on

availability of storage facilities
when there is availability of storage facility this will promote and motivate production of more goods. so a person planning to go into a production business especially production of perishable goods should consider this particular factor

size of the market
a person should consider the size of the market before sit waiting his or her infrastructure for production why is this important because it is the size of the market that will determine the demand for the goods that will be produced

nature of the goods
the nature of the goods is another important Factor a person should consider. a person should consider if the goods he is going to produce is perishable or non-perishable goods this is important because perishable goods determine the quantity of goods you will produce at a particular time.

 

[Mastergp]

Well at school I was thought that production can be define as a process of Turning raw materials into finish goods and services they are different production businesses we have or would like to engage in but one need to consider the factors involve they are many but I will mention a few that I have full idea about?

Paining :
Before starting a production business one need to make plans on how they business would be run, numbers of workers or staff to employ and goal, cost of capitals to start the business.

Level of demands:
After the planing then comes demands, the reasons for producing is because we want our product to reach the final consumer so when demand is low the cost of product will also be low, so one need to make sure of the product he want to produce and those consuming it.

Location of the firm:
Location of production firm determine the demands, a production firm shouldn't be far from it consumers it should have subtle means to get them to their consumers like for example a local newspaper production shouldn't be start up away from the location of it coverage instead it should base on that locality.