Final answer:
Labor availability and cost is an important factor to consider when determining the location of a factory.
Step-by-step explanation:
Labor availability and cost is a location factor at the business level. When firms decide where to locate a new factory, they consider various factors such as the costs of labor and financial capital, proximity to suppliers and customers, transportation and communication infrastructure, taxes, and the competency of the local government. While the cost of environmental regulations is also a consideration, it typically represents a small percentage of overall costs.