According to Alfred Weber
Industry locates itself in that area where transportation cost incurred by the industry is minimal.
Classification of Industries based on raw material
- Weight Losing
- impure
- Iron ore
- Copper ore
- Bauxite
- Non-Weight Losing
- pure
- cotton
- jute
Where they incur the minimum transportation cost?
| Weight Losing Raw Material Industry | Non-Weight Losing Raw Material Industry |
|---|---|
| minimum cost at the site of raw material | incurs same transportation cost both at raw material based or market based location ⬇️ can be established anywhere among the two |