Final answer:
It is true that the convenience of service factory locations and operational schedules assumes great importance for customers physically present during a transaction. Strategic siting influences accessibility, efficiency, and profitability for service providers, as seen in Weber's Location Model.
Step-by-step explanation:
The statement is true: the convenience of service factory locations and operational schedules is crucial when customers need to be physically present for the transaction. This importance stems from the need for accessible service, especially in cases where customers must initiate or terminate the service delivery in person. Such physical presence could be due to various reasons, like the requirement for real-time interaction or the need to receive hands-on services.
Examining the physical aspects of a product, such as an unbreakable bottle or a nonstick surface, the strategic location of a business, like a gas station at a busy intersection, can lead to enhanced sales due to higher visibility and customer access. Similarly, factories or suppliers seek locations that reduce transportation costs and improve efficiency—for instance, choosing sites near less congested freeways or with access to rail or water transport.
Weber's Location Model underscores this by showing that manufacturers often choose factory locations based on transport costs, among other factors. A location that minimizes these costs can lead to decreased expenses and increased profits. Hence, the convenience and strategic siting of service factories are integral to their success.