1. Laws and regulations Determine what type of business can occupy what type of premises in what areas http://apps.southnorthants.gov.uk/website/vacantPremises.a sp http://apps.southnorthants.gov.uk/website/vacantPremises.a sp What type of business can occupy an A1 premises? You want to open fast food restaurant; what type of approval do you need for your premises? Planning permission will be needed for expansion or new premises Legal frameworks may vary between countries eg H&S regs are much stricter in the EU than in the Far East

2. Social, environment and ethical considerations Some businesses have social, environmental and ethical goals which override the profit motive Some will exploit their social, environmental and ethical decisions to promote the business Businesses may act ethically to avoid negative publicity Decisions may include: – Remaining at a location to be loyal to the community which depends on jobs http://www.thisishullandeastriding.co.uk/Staying-loyal-local- workforce/story-17060567-detail/story.html#axzz2hM360FBB http://www.thisishullandeastriding.co.uk/Staying-loyal-local- workforce/story-17060567-detail/story.html#axzz2hM360FBB – Deciding against a location on environmental grounds – Moving into an area of high unemployment to offer jobs

3. Quality of life The interests of those making the decision are very important factors Small businesses tend to be located where their owner managers live Small to medium businesses will often relocate within a few miles of their present location Large businesses will need to consider whether or not managers posted to certain locations will enjoy that posting Quality of housing, schools and the environment are all important considerations Risk to employees means that multinationals will locate in China rather than parts of South America or Africa

4. Political stability A key factor In UK, taken for granted In some countries, political instability may lead to governments seizing foreign owned assets, imposing high taxes or even civil war http://money.cnn.com/2012/10/11/investing/coca-cola- greece/index.html

5. Quality of the workforce A business needs a workforce and won’t relocate to somewhere that it can’t recruit the right quality of labour China and India offer well educated workforce prepared to work for low wages http://www.bbc.co.uk/news/business-19897823 London and the South East attract businesses because of the large pool of highly educated workers

6. Infrastructure Infrastructure (roads, railways, airports, hospitals, schools) will impact on costs Access to transport hubs may be important to businesses in different ways, eg Motorway network for national company Airport / port for multinational company Railway / underground station for London based firm