Question

The location decision of a bulk-reducing industry is most likely to be affected by: a) Cost of labor b) Close proximity to raw materials c) Close proximity to customers d) Good access to railroad lines e) Good access to warm water ports

Answer 1

The location decision of a bulk-reducing industry is most likely to be affected by:

b) Close proximity to raw materials

Bulk-reducing industries are those that process raw materials and produce goods whose weight is less than that of the raw materials they started with. Therefore, being close to the source of raw materials is essential to minimize transportation costs and maximize efficiency in such industries.