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Facility Location : Factors Considered For Facility Location

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Factors considered for Facility Location: Business Climate: Business Enviroment is especially great in Gujarat. With 'Make in India' activity by P.M Narendra Modi and Gujarat government's distinct fascination being developed of car ventures in Gujarat, it has been giving great assembling condition and advantages to the organizations putting resources into Gujarat. Total costs: Ford is looking to triple the exports of car in upcoming years.Sanand being close to Kandla Port and Mundra port 300 km will help them in reducing the cost of import as well. Availability of Labour: Although there was shortage of Skilled labour as compared to Chennai plant.The number of immgrants coming from northern parts of india are increasing and filling up …show more content…

The cost of the land is important, as well as local building costs and living conditions. Future changes may make it desirable or necessary to expand the plant facilities. The land should be ideally flat, well drained and have load-bearing characteristics.Sanand being an auto hub Ford does not face ant major issues while acquiring the land. Environmental Regulations: The company has to abide by certain environment rules and regulation of that state or country so that it doesn’t harm the ecology. The paint office at Sanand will utilize Ford's imaginative three-wet paint process that enables three layers of paint to be connected and dried all the while. The vitality productive process altogether diminishes wastage, vitality utilization and aides in bringing down paint shop carbon-dioxide outflows by up to 25 percent. Host Community: Success of an industry mainly depend on the attitude of the local people that whether the people there are educated or not, and or willing to do work or not, and the most important of them all is whether the society has any extremist factor or not. The general populace of the state is in favour of industrialization. This play a huge role in setting up the factory. As people in Gujarat are very optimistic towards the industrialization it contributed a lot to its success. Availabilty of resources: Fuel (Coal, Oil, etc) and Power (Electricity) are the main

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