There are a lot factors that need to be taken into consideration where you are choosing an appropriate location for a business, and BIA is no exception.
Competitors: Don’t go and pick somewhere where you competitors are based, because the chances are they are already established and they will just beat you into the ground. Its like if you got a choice, race a cheetah or a snail, you’d be picky the cheetah, not impossible to beat, but required a lot of work, which is what would be needed for anyone who opens up a business next to a rival;
BIA must be made accessible to everyone who wants to use it. I am not just talking about (potential) customers; you also have to note there must be easy access from BIA to their local suppliers. As long as the there are sufficient links to get to and from the airport, and generally any time of day, for example BIA’s current location, anywhere that fits this description and the ones below are okay.
Surrounding population. BIA will generally by targeting the population around the airport for the most potential customers, so if there aren’t any or there are very little, this is a bad start.
Cost of buildings / work. If the building is already built, BIA won’t pay over the odds for it, and the cost of the building are usually affected by the cost of land, if that is too high, then this is not suitable place. The reason any business won’t really want to pay too much is because money doesn’t grow on trees, and start-up capital is always limited.
Labours and skills – The amount that they will pay to get skilled workers in will reflect on how well the business does, and generally, where or not they would want to locate there.
BIA would have definitely had to assess all of these factors to make sure that the location they chose was definitely the best one available to them at the time. They will also have to consider the interest rates and other external influences in their business location which I will discuss later.
(This map and the Carphone Warehouse map are courtesy of Google Maps [maps.google.co.uk])
BIA is in the middle of England, East of London, approximately eight miles from the cit centre. This type of location is excellent for BIA because it makes it easier for their customers to travel to and from their airports, because they are adjacent to a motorway, so anyone can drive to and from there. Being quite close with such a dense population can only be a good thing for BIA because this means that they will have more customers that they can attract from nearby, and as I have said previously, word of mouth is excellent advertising for BIA, because you beat a friend telling a friend how good their experience with BIA was.
This would be an excellent starting point for BIA’s advertising campaigns to get them off the ground. In addition to the motorway links that run to and from the airport, there is also the factor that there is a free Air-Rail link that BIA offer you to get from Destination A to Destination B, in around a minute and a half. BIA has also made there are no other rival airports nearby, that may essentially steal BIA’s customers, which there aren’t, so they are ok with this factor. Also, they have the advantage of offering more convenient flights so customers no longer have to travel far out to Gatwick or Heathrow, they can now use their ‘local’ airport. BIA is also more suited for the location that they have chosen because of the fact that they may be less restricted through external influences and environmental constraints.
Because of the services and facilities that are provided by BIA, the location is a major issue. Airports like there release tons of unwanted pollution into the atmosphere, such as the pollution from the aircrafts. Because f this BIA will need to maintain the environment, otherwise they may destroy it without noticing. They must make sure they do not place themselves somewhere in an area where they may affect local forests or animals dramatically, in a sense that they will not make them extinct from that local area. Everything that BIA produces, for example waste, cannot just be dumped anywhere as there are restrictions covering this. BIA will always research new ways to reduce that amount of pollution that they are creating, but as this in evitable, there is not a lot they can really do.
BIA would not want to affect the day-to-day running of the local resides lives’, so therefore they have measures in place that they protect them, namely by introducing a sound insulation schemes that will protect the local residents. All airports have the same disadvantages where they have problems will the waste and pollution they create and what to do with it.
From what I have researched above, I have learned that the factors of Location have much more than meets they eye, and as a result of this, a lot of time and effort has to be put into the location, and if this was to be chosen incorrectly, the whole business could suffer, mainly financially if nothing else. BIA has responsibilities for economic conditions and environmental constraints, which they must pertain to.