Final answer:
The labels in Hoyt's Sector Model correspond to different residential and industrial zones based on socioeconomic status and proximity to city centers, with additional insights on the Hotelling Model and place product packaging in marketing geography.
Step-by-step explanation:
The question asks about the labels corresponding to designated areas in Kotler's model. However, the provided text references Hoyt's Sector Model and Central Place Theory, as well as economic models and marketing geography. This could suggest potential confusion since Kotler's model typically refers to marketing concepts.
Nevertheless, the Hoyt's Sector Model labels designate the following: 1 = working-class housing, 2 = suburban housing, 3 = exurbs, 4 = upper middle-class housing, and 5 = industry and lower-class housing. These are based on urban structure theories that explain how cities are organized socioeconomically.
In urban geography, Hoyt's Sector Model is used to describe the residential distribution based on social class along with transportation routes. It demonstrates that higher-income groups tend to live further out from the city center, and industrial areas are located closer to infrastructure such as railway lines and highways. Various factors contribute to this urban layout, such as historical development, socio-economic factors, and geographical aspects like wind patterns or proximity to waterfronts.
Comparatively, the Hotelling Model is applied in economic geography and is used to understand the distribution of businesses in a competitive marketplace. Its central concept is that similar businesses will cluster together in a process termed 'agglomeration'. This model can be seen in real-world scenarios such as the clustering of fast-food restaurants or gas stations in close proximity to one another on a street or the strategic placement of hotels along a beachfront.
When it comes to marketing, place product packaging is a concept utilized by franchises to create a recognizable and consistent image, encouraging consumer loyalty by offering predictability in service, products, and price. This strategy has shaped the commercial landscape, influencing customer behavior and contributing to what is known as 'placelessness', where the uniqueness of place is diminished due to the uniformity of commercial establishments.