There is a tendency of firms being located where other firms exist. Highlight five disadvantages of this move.

      

There is a tendency of firms being located where other firms exist. Highlight five disadvantages of this move.

  

Answers


Maurice
(i) Employment problems – as many people will be seeking for jobs at the area which may not be available.

(ii) Strategic reasons as the area is risky for the country especially in times of war as such can be easy target for attack.

(iii) Rural-urbane migration – People tend to move to the area in search of employment/better conditions.

(iv) Regional economic imbalances: as firms are concentrated in one area/new firms are attracted to that area due to the benefit that they may get.

(v) Social problems: as influx of people to urban areas constrains in the social amenities/increased crimes, prostitution/creation of slums.
maurice.mutuku answered the question on August 20, 2019 at 06:27


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