[ToC]

 

J. L. Heskett, Robert M. Ivie, and Nicholas A. Glaskowsky, Jr., Business Logistics: Management of Physical Supply and Distribution, The Ronald Press Co., 1964

A CONSTRUCTION OF ISODAPANES SHOWING THE INTERRELATED INFLUENCE OF TRANSPORTATION AND PRODUCTION COSTS ON THE SELECTION OF A PRODUCTION SITE

Conceptually, forces of agglomeration can be treated much as production economies at various sites in relation to appropriate isodapanes, as shown [at right]. At the same time, it is important to note that "deglomerating" forces such as rising labor costs (with increased demand for labor) may accompany the advantages of agglomeration. When it is used, therefore, the term agglomeration refers to the net advantages which can be gained by common location with other economic activities.