Localization of Industries

This refers to the concentration of related firms in one locality

ADVANTAGES OF LOCALIZATION OF INDUSTRY

• It encourages specialization.

• Social and economic services are enjoyed among the industries (external economies)

•  It enhances research possibilities.

• It enhances the supply of labour. 

• It encourages the development of subsidiary industries

DISADVANTAGES OF LOCALIZATION OF INDUSTRY

1. 1. Localization brings about social disorder owing to emergence of pop seeking for jobs.

• It is an area of target for bombing during war.

• It also brings about insufficiency in supply of local amenities clue to the over-crowdedness of the area.

• It causes the depopulation of the rural areas. 

• It sometimes causes unemployment problems. 

• It causes a high standard of ivir0 i.e. it brings about a rise in cost of living.