Alfred Weber 1868-1958 August Biondi D Period. Alfred Weber Early Life -Born in Erfurt, Germany (Prussian Saxony) -Raised in Charlottenburg, Germany -Second.

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Presentation transcript:

Alfred Weber August Biondi D Period

Alfred Weber Early Life -Born in Erfurt, Germany (Prussian Saxony) -Raised in Charlottenburg, Germany -Second of seven children Influences -His father was a politician (city magistrate). Prominent scholars and public figures were constantly influencing him. Education -Attended University of Berlin -Obtained his doctorate in Was a professor at the University of Heidelberg for the majority of his career -He was an economist, then became a sociologist

Least Cost Theory (1909) Describes how/where to find the optimal location for a manufacturing firm. Its purpose it to place a firm in a location where the final cost of transportation, labor, and materials are minimized. A firm is located where costs are the least. A firm is placed in relation to raw materials and the market. “Theory of Industrial Location”

Least Cost Theory Three Catergories of Cost : Transportation - best site is where the cost to transport raw materials and finished product is the lowest Labor - high labor costs reduce profit. Locations that offer cheap, non-union labor make up for transportation costs Agglomeration - when a group of industries collaborate for mutual benefits (services, facilities). Can lower costs - Deglomeration- occurs when companies/services leave because of over concentration of industries

Least- Cost Theory Weight- Losing Case Weight of final product is less than the weight of the raw materials For this case it is best if the firm is located near the source Weight- Gaining Case Weight of the final product is heavier than the raw materials For this case it is best if the firm is located near the market

Least Cost Theory Weight- Gaining Case Weight-Losing Case

ACTIVITY: Determine where the firm goes based on the cost scenario by placing the firm in the optimal location. Raw Material Weight Losing CaseWeight Gaining Case Market Firms:

For Further Information CHAPTER 11 - Pages Discusses: Industry Distribution - Industrial Regions Situation Factors - Proximity to markets, inputs, and when to use different transportation types Importance of Site Factors - Labor Land and Location Factors - Rural, environmental, capital

Bibliography "Alfred Weber's Theory of Industrial Location." Alfred Weber's Theory of Industrial Location. Pinterest. Web. 15 Sept "Alfred Weber." Wikipedia. Wikimedia Foundation, 17 May Web. 15 Sept "CSISS Classics - Alfred Weber: Theory of the Location of Industries, 1909." CSISS Classics - Alfred Weber: Theory of the Location of Industries, Web. 14 Sept Gale, Thomas. "Weber, Alfred." Encyclopedia.com. HighBeam Research, 01 Jan Web. 15 Sept Rubenstein, James M. The Cultural Landscape: An Introduction to Human Geography. Upper Saddle River, NJ: Pearson/Prentice Hall, Print. Images: