Kalinga nagar industrial area is Amodern Steel hub in India, a lots of Steel manufacturing company like, Jindal steel,Tata steel,Mesco,etc are establish there factory there.
The main reasons of the establishing many steel plants at one place are . Jajpur district and districts like keonjhar are rich in Iron ore which is the major raw material for steel production.
They also getting high skilled human resources from there.So it is easy for supply the Iron ore to all company for suppliers and so cost of carriege inward is decrease for the company.
So the above example is the example of Economies of agglomeration
where all similar types firms operate there business in a specific area for attract more suppliers and customers. and to reduce the cost
The main reasons of the establishing many steel plants at one place are . Jajpur district and districts like keonjhar are rich in Iron ore which is the major raw material for steel production.
They also getting high skilled human resources from there.So it is easy for supply the Iron ore to all company for suppliers and so cost of carriege inward is decrease for the company.
So the above example is the example of Economies of agglomeration
where all similar types firms operate there business in a specific area for attract more suppliers and customers. and to reduce the cost
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