Country factors	Region factors	Local factors
Government rules, attitudes, political risk, incentives Culture & economy Market location Labor availability, attitudes, productivity, and cost Availability of supplies, communications, energy Exchange rates and currency risks	Attractiveness of region (culture, taxes, climate, etc.) Labor, availability & costs Costs and availability of utilities Environmental regulations of state and town Government incentives Proximity to raw materials & customers Land/construction costs	Site size and cost Air, rail, highway, and waterway systems Zoning restrictions Nearness of services / supplies needed Environmental impact issues

Source: adapted from: Heizer/Render - Principles of Operations Management, 5th Edition, and Operations Management, 7th Edition, New York: Prentice Hall.

Factors Affecting Location Decisions