-Where raw material is heavy to reduce transport cost when transporting them over long distance.
-If the raw material is bulky it is located near source of raw material to reduce transport cost.
-If the raw material is perishable it is located near the source to reduce wastage/spoilage.
-It may be located near the source to ensure that there is constant supply of raw material.
-When the raw material is fragile hence can easily break when transported over long distance.
-When it is a government policy to locate firm near sources of raw materials.
gideon1 answered the question on November 2, 2017 at 05:31
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