Importance of labour: Without skilled and unskilled labour, no industry can take form. Therefore, availability of labour is an essential factor for the establishment of an industry. Skilled workers are able to do better and more work. So with their help, the best and cheaper products can be manufactured in a factory. Although, in modern age, use of machines in industries is increasing day by day, but manual effort can never lose its importance. Thus, the supply of labour plays an important role in location of an industry.
Importance of power: An easy, proper and cheap supply of power is most important for the establishment of industries. Power is the basic need of all industries. Coal, petroleum, water, gas and nuclear energy are the main sources of power. Heavy industries are located near coal mines. So modern industries are established in places where proper and cheap means of power are available.
