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particular premises where the organisation operates."},{"text":"Business location is the number of customers a business serves in a year.","correct":false,"explanation":"This confuses location with customer numbers, which measure business activity rather than where the business operates. Location means the area and specific premises chosen for operation."},{"text":"Business location is the total amount a business spends on advertising.","correct":false,"explanation":"Advertising expenditure is a marketing cost, not a description of premises or area. Business location means the area and specific premises a business chooses to operate from."},{"text":"Business location is the range of products a business decides to sell.","correct":false,"explanation":"The products sold describe the business offer, not its geographical position. Business location means the area and specific premises selected for the business to operate from."}]},{"id":"a7dd6280-4917-4e4f-812d-c0a7ebcc1bd0","cardType":"basic","points":1,"front":"What five factors influence a business location decision?","back":"

Proximity to the market
Availability of raw materials
Availability and cost of labour
Competition
Costs of the site

","mcqOptions":[{"text":"

Proximity to the market
Availability of raw materials
Availability and cost of labour
Competition
Costs of the site

","correct":true,"explanation":"These five factors influence location because they affect customer access, input supplies, staffing, rivalry and the cost of occupying the site."},{"text":"

Proximity to suppliers
Availability of finished products
Availability and cost of machinery
Brand image
Costs of advertising

","correct":false,"explanation":"These factors may matter in some decisions, but they replace the GCSE location factors with broader operational and marketing concerns. The correct five are market proximity, raw materials, labour, competition and site costs."},{"text":"

Proximity to competitors
Availability of finance
Availability and cost of energy
Business ownership
Costs of insurance

","correct":false,"explanation":"This list includes possible business considerations but omits the specified location factors. The correct factors concern the market, raw materials, labour, competition and the cost of the site."},{"text":"

Proximity to employees
Availability of storage
Availability and cost of transport
Customer loyalty
Costs of production

","correct":false,"explanation":"These are plausible influences but do not match the five factors required here. Location decisions focus on market proximity, raw materials, labour, competition and site costs."}]},{"id":"648837f8-b18e-495c-8bc6-471b1fad446c","cardType":"basic","points":2,"front":"How does every location factor affect a business?","back":"Every factor affects either the site's running costs or the amount the business can sell.","mcqOptions":[{"text":"Every factor affects either the site's running costs or the amount the business can sell.","correct":true,"explanation":"This is correct because location factors influence the expenses of operating at a site or the quantity of goods and services the business can sell."},{"text":"Every factor affects either the site's purchase price or the amount the business can produce.","correct":false,"explanation":"This focuses too narrowly on buying the site and production volume. Location factors affect the site's running costs or the amount the business can sell."},{"text":"Every factor affects either the site's appearance or the amount the business can advertise.","correct":false,"explanation":"Appearance and advertising are not the two overall effects used in this topic. Location factors affect running costs or the amount the business can sell."},{"text":"Every factor affects either the site's legal status or the amount the business can borrow.","correct":false,"explanation":"Legal status and borrowing are not the general outcomes of location factors. The relevant effects are changes to running costs or to the amount the business can sell."}]},{"id":"ffe00ba7-1b73-4e77-bb79-e6f30b892a96","cardType":"basic","points":2,"front":"Why is a business location decision expensive to reverse?","back":"The decision is expensive to reverse because the business may have signed a lease and installed equipment.","mcqOptions":[{"text":"The decision is expensive to reverse because the business may have signed a lease and installed equipment.","correct":true,"explanation":"A lease can create contractual costs when the business leaves, while equipment may be expensive to move, adapt or replace at another location."},{"text":"The decision is expensive to reverse because the business may have signed a contract and purchased stock.","correct":false,"explanation":"Contracts and stock can create costs, but this answer misses the location-specific commitments identified here. The relevant reasons are a signed lease and installed equipment."},{"text":"The decision is expensive to reverse because the business may have hired workers and increased wages.","correct":false,"explanation":"Staffing costs may change after relocation, but they are not the specific commitments that make reversing a location decision expensive. The answer is a lease and installed equipment."},{"text":"The decision is expensive to reverse because the business may have launched a website and printed advertisements.","correct":false,"explanation":"Marketing materials can be changed more easily than physical premises commitments. The major reversal costs come from the lease and equipment installed at the chosen site."}]},{"id":"d9fab6b6-f6e2-43bc-a70c-d2bc201fe291","cardType":"basic","points":1,"front":"What does footfall measure?","back":"Footfall is the number of people who walk past the business.","mcqOptions":[{"text":"Footfall is the number of people who walk past the business.","correct":true,"explanation":"Footfall measures how many people pass a business, making it a useful indicator of potential visibility and passing customer opportunities."},{"text":"Footfall is the number of people who purchase from the business.","correct":false,"explanation":"Purchases measure actual customers or sales, whereas footfall counts people passing the premises whether or not they enter. It is the number of people who walk past."},{"text":"Footfall is the number of employees who work inside the business.","correct":false,"explanation":"Employees are staff working at the premises, not pedestrians outside it. Footfall counts the number of people who walk past the business."},{"text":"Footfall is the number of vehicles parked near the business.","correct":false,"explanation":"Nearby vehicles may indicate access or parking, but they are not pedestrians passing the premises. Footfall measures the number of people who walk past the business."}]},{"id":"dd9fb4f0-54b8-4d36-abb2-ee37fc3d4d58","cardType":"basic","points":2,"front":"Why is proximity to the market important for a shop or café?","back":"A shop or café benefits from high footfall because more passing customers may enter and buy.","mcqOptions":[{"text":"A shop or café benefits from high footfall because more passing customers may enter and buy.","correct":true,"explanation":"High pedestrian traffic increases visibility and the number of potential customers who may enter the shop or café and make a purchase."},{"text":"A shop or café benefits from high footfall because fewer passing customers will compare prices elsewhere.","correct":false,"explanation":"Passing customers may still compare prices, so high footfall does not prevent competition. Its benefit is that more potential customers may enter and buy."},{"text":"A shop or café benefits from high footfall because the business will automatically pay lower rent.","correct":false,"explanation":"Popular sites often have higher, not lower, rent because demand for them is strong. High footfall helps by creating more opportunities for customers to enter and buy."},{"text":"A shop or café benefits from high footfall because suppliers can deliver without using roads.","correct":false,"explanation":"Footfall concerns passing pedestrians and does not remove the need for road deliveries. Its importance is the greater chance that passing customers will enter and buy."}]},{"id":"2dad1f18-da1a-4103-883f-87aefeddb16e","cardType":"basic","points":2,"front":"Why does Greggs locate shops inside mainline railway stations?","back":"Greggs locates in mainline railway stations because large numbers of commuters pass through when they buy coffee and baked goods.","mcqOptions":[{"text":"Greggs locates in mainline railway stations because large numbers of commuters pass through when they buy coffee and baked goods.","correct":true,"explanation":"Mainline stations provide access to many commuters, creating strong potential demand for convenient items such as coffee and baked goods during their journeys."},{"text":"Greggs locates in mainline railway stations because large numbers of commuters pass through when they repair trains and store equipment.","correct":false,"explanation":"Greggs sells food and drinks rather than repairing trains or storing railway equipment. The location is valuable because commuters pass through and may buy coffee and baked goods."},{"text":"Greggs locates in mainline railway stations because large numbers of commuters pass through when they collect parcels and buy furniture.","correct":false,"explanation":"Parcel collection and furniture purchases do not explain Greggs' station locations or its product range. Commuters create demand for convenient coffee and baked goods."},{"text":"Greggs locates in mainline railway stations because large numbers of commuters pass through when they attend meetings and hire offices.","correct":false,"explanation":"Meetings and office hire are unrelated to Greggs' core sales. Stations offer high footfall from commuters who may purchase coffee and baked goods while travelling."}]},{"id":"638b47b7-3711-4c6a-afcc-c643b9944e06","cardType":"basic","points":2,"front":"Why should a delivery business locate near its market?","back":"Being near the market reduces fuel and driver hours per order and helps protect perishable goods.","mcqOptions":[{"text":"Being near the market reduces fuel and driver hours per order and helps protect perishable goods.","correct":true,"explanation":"Shorter delivery distances reduce fuel use and driver time, while faster journeys reduce the risk that goods such as food will spoil before reaching customers."},{"text":"Being near the market reduces warehouse and packaging costs per order and helps protect electronic goods.","correct":false,"explanation":"This substitutes different costs and products for the key delivery issue. Proximity reduces fuel and driver hours and helps protect goods that can spoil."},{"text":"Being near the market reduces advertising and insurance costs per order and helps protect luxury goods.","correct":false,"explanation":"Advertising and insurance are not the main costs reduced by shorter delivery journeys, and luxury goods are not necessarily perishable. The relevant savings are fuel and driver hours."},{"text":"Being near the market reduces rent and staffing costs per order and helps protect durable goods.","correct":false,"explanation":"A nearby market does not necessarily lower rent or staffing costs, and durable goods are less threatened by delivery delays. The answer concerns fuel, driver hours and perishable goods."}]},{"id":"1335663b-dcb5-4f6f-a41b-104983302d84","cardType":"basic","points":1,"front":"When is availability of raw materials most important to location?","back":"Availability of raw materials matters most when inputs are heavy, bulky or perishable.","mcqOptions":[{"text":"Availability of raw materials matters most when inputs are heavy, bulky or perishable.","correct":true,"explanation":"Heavy, bulky or perishable inputs are expensive or difficult to transport, so locating near suppliers reduces transport costs and prevents spoilage."},{"text":"Availability of raw materials matters most when inputs are light, compact or non-perishable.","correct":false,"explanation":"Light, compact and non-perishable inputs can usually be transported cheaply and stored easily. Raw-material availability matters most when inputs are heavy, bulky or perishable."},{"text":"Availability of raw materials matters most when customers are distant from the finished product.","correct":false,"explanation":"Customer distance concerns the market and distribution, not the physical characteristics of inputs. Raw materials matter most when they are heavy, bulky or perishable."},{"text":"Availability of raw materials matters most when local wage rates are particularly high.","correct":false,"explanation":"Wage rates relate to labour costs rather than materials. The location factor becomes important when raw-material inputs are heavy, bulky or perishable."}]},{"id":"07b0b0a1-cd0d-483c-838e-59ed4015cce0","cardType":"basic","points":2,"front":"Why might a business using heavy raw materials locate near its suppliers?","back":"If the finished product weighs less than its inputs, transporting the finished goods is cheaper than transporting the raw materials.","mcqOptions":[{"text":"If the finished product weighs less than its inputs, transporting the finished goods is cheaper than transporting the raw materials.","correct":true,"explanation":"Processing removes waste or water, reducing the product’s weight. The business therefore saves transport costs by moving the lighter finished goods rather than the heavier inputs."},{"text":"If the finished product weighs more than its inputs, transporting the finished goods is cheaper than transporting the raw materials.","correct":false,"explanation":"A heavier finished product would cost more to transport, not less. The saving occurs when processing makes the finished goods lighter than the raw materials."},{"text":"If the finished product weighs less than its inputs, transporting the raw materials is cheaper than transporting the finished goods.","correct":false,"explanation":"This reverses the transport-cost relationship. When inputs are heavier, transporting the lighter finished goods is cheaper, encouraging production near the suppliers."},{"text":"If the finished product weighs the same as its inputs, transporting the finished goods is cheaper than transporting the raw materials.","correct":false,"explanation":"Equal weights provide no weight-based transport saving. The relevant reason for locating near suppliers is that processing makes the finished product lighter than the inputs."}]},{"id":"34e22087-59d6-4f6c-ad79-a34859f9d819","cardType":"basic","points":2,"front":"Why are British Sugar factories located near beet-growing areas?","back":"British Sugar locates factories near beet-growing counties because beet is heavy and perishable, but becomes much lighter as sugar.","mcqOptions":[{"text":"British Sugar locates factories near beet-growing counties because beet is heavy and perishable, but becomes much lighter as sugar.","correct":true,"explanation":"Sugar beet is costly to transport and can spoil, while processing removes much of its weight. Factories near growing areas reduce transport and spoilage costs."},{"text":"British Sugar locates factories near beet-growing counties because beet is light and non-perishable, but becomes much heavier as sugar.","correct":false,"explanation":"Sugar production does not make the product heavier, and beet is not easy to store indefinitely. Beet is heavy and perishable, but becomes much lighter during processing."},{"text":"British Sugar locates factories near beet-growing counties because sugar is heavy and perishable, but becomes much lighter as beet.","correct":false,"explanation":"The raw beet, rather than the sugar, is the heavy and perishable material. Processing beet into sugar reduces the weight that needs transporting."},{"text":"British Sugar locates factories near beet-growing counties because beet is heavy and durable, but becomes much lighter as sugar.","correct":false,"explanation":"Although beet is heavy and becomes lighter as sugar, it is also perishable. That spoilage risk is an important additional reason for locating factories near beet-growing areas."}]},{"id":"c3f8c004-f91a-47d9-babd-8e834cdd000e","cardType":"basic","points":2,"front":"Why does availability of raw materials barely affect a jewellery maker's location?","back":"A business using light inputs in small quantities can operate almost anywhere with a postal service.","mcqOptions":[{"text":"A business using light inputs in small quantities can operate almost anywhere with a postal service.","correct":true,"explanation":"Small quantities of light materials are inexpensive to transport, so the jewellery maker does not need to locate near suppliers. A postal service is usually sufficient."},{"text":"A business using heavy inputs in large quantities can operate almost anywhere with a postal service.","correct":false,"explanation":"Heavy inputs in large quantities are costly to transport, so material availability would strongly influence location. The point applies to light inputs used in small quantities."},{"text":"A business using light inputs in small quantities must locate beside suppliers with a railway service.","correct":false,"explanation":"Light, small quantities do not usually require a specialist transport link or a supplier-side location. They can generally be sent through an ordinary postal service."},{"text":"A business using light inputs in small quantities can operate almost anywhere without a postal service.","correct":false,"explanation":"The inputs still need to reach the business, so some delivery method is required. A postal service makes flexible location possible; it is not unnecessary."}]},{"id":"1eed9a43-d7c4-4fae-8919-1e394eea0e0f","cardType":"basic","points":1,"front":"What does availability of labour mean?","back":"Labour availability means having enough people with the right skills within travelling distance.","mcqOptions":[{"text":"Labour availability means having enough people with the right skills within travelling distance.","correct":true,"explanation":"Labour availability is not simply a large population. It means enough suitably skilled workers can reach the workplace within a practical travelling distance."},{"text":"Labour availability means having enough people with the highest wages within travelling distance.","correct":false,"explanation":"Wages measure the cost of labour, not whether suitable workers are available. Labour availability concerns having enough people with the right skills nearby."},{"text":"Labour availability means having enough people with the right skills from overseas only.","correct":false,"explanation":"Suitable workers may be local or recruited from elsewhere. The definition focuses on having the required skills within travelling distance, not on overseas recruitment."},{"text":"Labour availability means having enough people with the fewest skills within travelling distance.","correct":false,"explanation":"Businesses need workers whose abilities match the job, rather than the least-skilled workforce. Availability therefore means having enough people with the right skills nearby."}]},{"id":"468ecef7-45da-485f-835b-e6a57ce038f3","cardType":"basic","points":2,"front":"Why can a lack of locally available labour increase business costs?","back":"If suitable skills are unavailable locally, the business must recruit from further away or provide training, increasing costs.","mcqOptions":[{"text":"If suitable skills are unavailable locally, the business must recruit from further away or provide training, increasing costs.","correct":true,"explanation":"A local skills shortage creates extra recruitment or training expenses. Both solutions raise costs compared with employing suitably skilled workers who already live nearby."},{"text":"If suitable skills are unavailable locally, the business must recruit from further away or provide transport, increasing costs.","correct":false,"explanation":"Transport may sometimes help workers commute, but the standard cost response is recruiting farther away or training existing workers. Those measures address the skills shortage directly."},{"text":"If suitable skills are unavailable locally, the business must recruit from further away or provide advertising, increasing costs.","correct":false,"explanation":"Advertising can help find applicants but does not provide the missing skills. Businesses normally recruit farther away or train workers, which increases costs."},{"text":"If suitable skills are unavailable locally, the business must recruit from further away or provide automation, increasing costs.","correct":false,"explanation":"Automation can replace some labour but is not the usual explanation for a local skills shortage. Recruitment from farther away or training creates the relevant additional costs."}]},{"id":"20f7cb87-dfe6-4502-87db-0f6c0d9542af","cardType":"basic","points":2,"front":"Why might a business locate outside the south east to reduce labour costs?","back":"Labour costs are lower outside the south east because wage rates vary with the cost of living.","mcqOptions":[{"text":"Labour costs are lower outside the south east because wage rates vary with the cost of living.","correct":true,"explanation":"Higher living costs in the south east contribute to higher wage expectations. Businesses can often reduce labour costs by locating where wage rates are lower."},{"text":"Labour costs are lower outside the south east because wage rates are identical across the country.","correct":false,"explanation":"Wage rates are not identical across the UK. Regional differences in living costs help explain why wages, and therefore labour costs, can be lower outside the south east."},{"text":"Labour costs are lower outside the south east because rent rates vary with the cost of living.","correct":false,"explanation":"Rent affects premises costs rather than directly determining labour costs. The relevant factor is that wage rates vary between regions with different living costs."},{"text":"Labour costs are lower outside the south east because wage rates vary with the weather.","correct":false,"explanation":"Weather does not explain the main regional pattern in wages. Differences in the cost of living influence wage rates and can make labour cheaper outside the south east."}]},{"id":"15e4cdad-da39-4c37-b84a-f45c340fbe4c","cardType":"basic","points":2,"front":"Why do some banks and insurers locate call centres outside central London?","back":"Call centres can locate in places such as Sunderland, Glasgow or Swansea because the work only requires a phone line, allowing lower wages and rent.","mcqOptions":[{"text":"Call centres can locate in places such as Sunderland, Glasgow or Swansea because the work only requires a phone line, allowing lower wages and rent.","correct":true,"explanation":"Call-centre work can be delivered remotely because employees mainly need telephone communication. Locating outside central London can reduce both wage and premises costs."},{"text":"Call centres can locate in places such as Sunderland, Glasgow or Swansea because the work only requires a railway line, allowing lower wages and rent.","correct":false,"explanation":"A railway line may help workers travel but is not the essential requirement for call-centre work. Telephone communication allows these businesses to locate away from central London."},{"text":"Call centres can locate in places such as Sunderland, Glasgow or Swansea because the work only requires a factory line, allowing lower wages and rent.","correct":false,"explanation":"Call centres do not depend on a factory production line. Their key operational requirement is a phone line, enabling them to use cheaper labour and premises elsewhere."},{"text":"Call centres can locate in places such as Sunderland, Glasgow or Swansea because the work only requires a shop front, allowing lower wages and rent.","correct":false,"explanation":"A shop front is unnecessary for telephone-based customer service. A phone line is the important requirement, so the business can avoid central London’s higher costs."}]},{"id":"3308e4d4-62dd-4f39-a0f8-d4ff8235c446","cardType":"basic","points":2,"front":"How can locating away from competitors benefit a business?","back":"Locating away from rivals can give a business the whole neighbourhood to draw customers from.","mcqOptions":[{"text":"Locating away from rivals can give a business the whole neighbourhood to draw customers from.","correct":true,"explanation":"A business away from rivals may face less direct competition and can attract customers from the surrounding neighbourhood rather than sharing them with nearby competitors."},{"text":"Locating away from rivals can give a business the lowest rent available to draw customers from.","correct":false,"explanation":"Being away from competitors does not guarantee low rent; the site could still be expensive. The correct benefit is access to the whole neighbourhood without nearby rivals sharing customers."},{"text":"Locating away from rivals can give a business the exclusive suppliers to draw customers from.","correct":false,"explanation":"Location does not normally give a business exclusive suppliers. The advantage is that it can draw customers from the whole neighbourhood without direct competitors next door."},{"text":"Locating away from rivals can give a business the largest workforce to draw customers from.","correct":false,"explanation":"A site away from competitors does not automatically provide a larger workforce. Its possible advantage is attracting customers from the whole neighbourhood rather than splitting demand."}]},{"id":"318bb779-605e-4804-ae2a-fe867d78fdf4","cardType":"basic","points":2,"front":"Why might a business choose to locate next to competitors?","back":"Locating beside rivals helps when customers want to compare before buying, as with car dealerships.","mcqOptions":[{"text":"Locating beside rivals helps when customers want to compare before buying, as with car dealerships.","correct":true,"explanation":"Customers often prefer competing businesses together because they can compare prices, quality and features before buying, as happens with car dealerships."},{"text":"Locating beside rivals helps when customers want to avoid comparing before buying, as with car dealerships.","correct":false,"explanation":"Clustering is useful precisely because customers can compare alternatives. Avoiding comparison would not be a reason for dealerships to locate beside one another."},{"text":"Locating beside rivals helps when customers want to buy without researching first, as with car dealerships.","correct":false,"explanation":"Customers visiting a cluster of rivals are typically seeking information and comparisons. Buying without researching does not explain why competing businesses benefit from being together."},{"text":"Locating beside rivals helps when customers want to visit only one business, as with car dealerships.","correct":false,"explanation":"The attraction of a cluster is that customers can visit several businesses in one area. Visiting only one removes the main comparison benefit of locating beside rivals."}]},{"id":"0ad281a0-ac73-4756-820d-1c8a1f185a96","cardType":"basic","points":2,"front":"What is the main risk of several similar businesses clustering together?","back":"Clustering can reduce sales when similar businesses simply split the same customers rather than creating new demand.","mcqOptions":[{"text":"Clustering can reduce sales when similar businesses simply split the same customers rather than creating new demand.","correct":true,"explanation":"Several similar businesses may attract the same limited group of customers, so each receives a smaller share of sales instead of the cluster increasing total demand."},{"text":"Clustering can reduce sales when similar businesses simply share the same suppliers rather than creating new demand.","correct":false,"explanation":"Sharing suppliers may affect purchasing costs, but it is not the main sales risk. The danger is that similar businesses split the same customers between them."},{"text":"Clustering can reduce sales when similar businesses simply increase the same customers rather than creating new demand.","correct":false,"explanation":"Businesses cannot increase the number of customers merely by sharing them. The correct concern is that they split the same customers without creating new demand."},{"text":"Clustering can reduce sales when similar businesses simply attract different customers rather than creating new demand.","correct":false,"explanation":"Attracting different customers would reduce the problem of direct competition. Sales suffer when similar businesses compete for and split the same customers."}]},{"id":"e2e791c5-a936-4e52-84fb-73b61b2821f9","cardType":"basic","points":1,"front":"Which three site costs should a business compare between premises?","back":"

Rent or land price
Business rates
Fitting-out costs

","mcqOptions":[{"text":"

Rent or land price
Business rates
Fitting-out costs

","correct":true,"explanation":"These three costs can differ substantially between premises: the property cost, ongoing business rates and the money needed to adapt the site for trading."},{"text":"

Rent or land price
Advertising costs
Staff uniform costs

","correct":false,"explanation":"Advertising and uniforms are not the key site costs being compared between premises. The relevant comparison includes business rates and fitting-out costs as well as rent or land price."},{"text":"

Business rates
Staff training costs
Packaging costs

","correct":false,"explanation":"Staff training and packaging are operating costs rather than premises-specific site costs. The three site costs are rent or land price, business rates and fitting-out costs."},{"text":"

Fitting-out costs
Delivery fuel costs
Social media costs

","correct":false,"explanation":"Delivery fuel and social media costs are not normally determined by comparing premises. A proper site-cost comparison also needs rent or land price and business rates."}]},{"id":"1c74c919-291e-45ea-a4d3-d1e910b18df4","cardType":"cloze","points":null,"front":"For a delivery business, locating near the market reduces [ ] on each order.","back":"For a delivery business, locating near the market reduces fuel and driver hours on each order.","mcqOptions":[{"text":"fuel and driver hours","correct":true,"explanation":"Being near the market shortens delivery journeys, so each order uses less fuel and requires fewer driver hours."},{"text":"stock and storage space","correct":false,"explanation":"A nearby market may affect delivery time, but it does not directly reduce the amount of stock or storage space needed. The correct saving is fuel and driver hours."},{"text":"rent and business rates","correct":false,"explanation":"Rent and business rates are site costs and do not usually fall for each individual order. Locating near the market reduces delivery fuel use and driver hours."},{"text":"packaging and advertising","correct":false,"explanation":"Shorter delivery distances do not directly reduce packaging or advertising costs. The relevant per-order saving comes from using less fuel and fewer driver hours."}]},{"id":"725beea0-4740-4428-b748-04084a6613e1","cardType":"cloze","points":null,"front":"Transport costs are based on [ ].","back":"Transport costs are based on weight and distance.","mcqOptions":[{"text":"weight and distance","correct":true,"explanation":"Transport costs generally rise when goods are heavier or need to travel further, so both the weight and distance must be considered."},{"text":"price and demand","correct":false,"explanation":"Price and demand affect revenue and sales decisions, not the basic cost of transporting goods. Transport costs are based on weight and distance."},{"text":"storage and packaging","correct":false,"explanation":"Storage and packaging may create separate business costs, but they are not the two main factors stated here. Transport costs are based on weight and distance."},{"text":"quality and location","correct":false,"explanation":"Quality can affect product value, and location may influence logistics, but the direct transport-cost measures are the weight of the goods and the distance travelled."}]},{"id":"5b7951d5-d3bd-4c74-a309-ce850b80c1a0","cardType":"cloze","points":null,"front":"A high-street site costing £45,000 rent compared with £12,000 on an industrial estate has an extra annual cost of $\\text{[...]}$.","back":"A high-street site costing £45,000 rent compared with £12,000 on an industrial estate has an extra annual cost of $\\boxed{33{,}000}$.","mcqOptions":[{"text":"$$33{,}000$","correct":true,"explanation":"Subtracting the industrial-estate rent from the high-street rent gives $45{,}000 - £12{,}000 = £33{,}000$, so the high-street site costs an extra £33,000 annually."},{"text":"$$32{,}000$","correct":false,"explanation":"This is an arithmetic subtraction error: £45,000 minus £12,000 equals £33,000, not £32,000. The difference between the two annual rents is £33,000."},{"text":"$$57{,}000$","correct":false,"explanation":"Adding the two rents produces £57,000, but the question asks for the extra cost, so the rents must be subtracted. The correct difference is £33,000."},{"text":"$$45{,}000$","correct":false,"explanation":"This is the full high-street rent, not the additional cost compared with the industrial estate. Subtracting £12,000 from £45,000 gives an extra annual cost of £33,000."}]},{"id":"34954f51-5f34-453f-a352-2016dff32800","cardType":"cloze","points":null,"front":"The high-street site is worthwhile only if its extra footfall produces more than the extra [ ] each year.","back":"The high-street site is worthwhile only if its extra footfall produces more than the extra profit each year.","mcqOptions":[{"text":"profit","correct":true,"explanation":"The more expensive site is worthwhile only when the additional sales generated by extra footfall create more additional profit than the extra annual cost."},{"text":"revenue","correct":false,"explanation":"Revenue is total sales income before costs, so extra revenue may still produce little or no gain. The relevant comparison is whether extra footfall creates more profit."},{"text":"turnover","correct":false,"explanation":"Turnover measures sales revenue and ignores the costs of making those sales. The high-street site must generate more extra profit than its additional annual cost."},{"text":"market share","correct":false,"explanation":"Market share shows the proportion of market sales, but it does not measure whether the site covers its extra cost. The key measure is additional profit."}]},{"id":"403ae7e4-266d-4b90-8af6-3003e776806a","cardType":"cloze","points":null,"front":"The cheapest site may be a poor choice if low [ ] and poor road access reduce sales.","back":"The cheapest site may be a poor choice if low passing trade and poor road access reduce sales.","mcqOptions":[{"text":"passing trade","correct":true,"explanation":"Passing trade means customers who notice and enter a business while walking or travelling past. Low passing trade can reduce sales even when the site is cheap."},{"text":"market share","correct":false,"explanation":"Market share is the business’s proportion of total market sales, not the number of potential customers passing a location. Low passing trade can directly reduce sales."},{"text":"brand loyalty","correct":false,"explanation":"Brand loyalty concerns customers repeatedly choosing a business, whereas passing trade concerns spontaneous customers noticing the premises. Poor passing trade can make a cheap site unattractive."},{"text":"customer income","correct":false,"explanation":"Customer income may influence purchasing power, but it is not the location factor described. Low passing trade means fewer potential customers see or visit the business."}]}]}],"examCountdown":{"examDate":"2027-05-12","paperLabel":"Paper 1"},"heading":"1.5 Business location","title":"1.5 Business location Flashcards","topbar":{"backHref":"/gcse/business/aqa/flashcards"},"topicSidebar":"$L36"}]}],"topicId":"c467422f-3d5c-57d3-99c9-7cb72ccd02f1","walled":"$L37"}],"$L38","$L39"]