Enterprise and Classical Factors of its Location on the Market

The literature provides many definitions of the word “enterprise”. To put it simply, it is a legally, organizationally and economically independent unit engaged in an economic activity. A frequently defined goal of an enterprise is to generate profits by satisfying consumer needs. One of the key factors which determine an appropriate implementation of such enterprise's mission is its convenient location in the business area. This paper will focus on classical theories of the enterprise location being an important factor of entrepreneur's decisions when choosing the right place for their business. The leading classical theories were described in Spatial Management by A.Weber, A. Lösch, A. Predohl and others. They concentrate on traditional factors of a location as transport and labor cost and availability of or proximity to raw materials. The authors made an attempt to find practical application of factors specified in the paper by analyzing locations of Polish construction enterprises.