Pattern of Urban Economic Activities (DP IB Geography)
Revision Note
Physical Factors Affecting Urban Economic Activities
Urban activities can be categorised into three main groups:
Retail: shops and markets
Commercial: finance, technology and business
Industrial: manufacturing and production
Industrial areas require large areas of flat land, which are not at risk from hazards
Retail and commercial areas require smaller areas of land. which are not at risk from hazards
Urban activities are affected by:
Physical factors
Land values
Proximity to the CBD
Planning
Physical factors affecting urban economic activities
The topography of an area, including the height of the land, areas of water, etc. impacts whether an area is suitable for economic activities
Hazards such as flooding and landslides can lead to the damage or destruction of:
Infrastructure
Industrial/business buildings
The existence of hazards impacts which areas are suited to economic activities
Climate is also a consideration
Heavy rainfall can lead to flooding and landslides which would make an area unsuitable for economic activities
Land Values & Urban Economic Activities
Peak land value
Any land that has 'purpose' will be valuable and cost more to buy or rent
Usually, retail shops can make money and seek prime positions
Therefore, land uses of similar activities will come together, creating 'peaks' and 'troughs' of land values across the urban landscape
There are two points to consider:
The value of the land:
Varies across the urban areas
Usually decreases from the centre, outwards
Higher land prices are also found along main roads, urban hubs and around ring roads
The location of the land:
Is important to value
The closer to key functions, the higher the value
Accessibility and desirability increase land value
Bid-rent theory
Also known as 'distance decay theory', the price and demand for land change as the distance from the CBD increases
Different land uses will compete for desirable plots to maximise their profits
Accessibility increases the potential for more customers
There is a trade-off between accessibility and the cost of the land
The closer to the CBD, the more desirable land is to retail and the higher the price charged/paid
Industry cannot compete with high prices so it tends to be located further away from CBD
Residential use
The highest density of residential is nearest the CBD with flats/apartments, where rents/costs are highest
The density of residential decreases but the amount of residential increases with distance from the CBD as the price of land decreases
Proximity to the Central Business District & Economic Activities
The Central Business District (CBD) tends to be the oldest part of a city
Most CBDs are located at the centre of the urban area
Where cities are located on the coast, the CBD is more likely to be close to the port
Features of the CBD include:
Banks, retail and commercial offices
Multi-storey development (vertical growth rather than horizontal growth due to lack of space)
Land of high value
Pedestrianised for high footfall
Public transport hub
Traffic restrictions on private vehicles
Low residential population
Main public buildings
Proximity to the CBD
Proximity is a measure of how close a location is to the CBD
Areas close to the CBD are:
More accessible, which is key for customers and workers
Often prestigious, which is important for business and finance
Proximity to the CBD affects the type, intensity and diversity of economic activities in a location
Relationship Between Proximity to the CBD and Economic Activities
Factors | Influence on economic activities |
---|---|
Land value | Land closer to the CBD is more expensive and there is less available. This leads to high-density developments and more profitable activities |
Accessibility | Land closer to the CBD is usually more accessible. Transport links and infrastructure usually centre on the CBD, which makes the movement of goods and people easier |
Agglomeration | Economic activities are concentrated around the CBD which creates [popover id="~NtEjCbPQlZSazHf" label="economies of scale] and enables business networks. These increase productivity |
Competition | Competition for land in the CBD increases cost. It also increases pollution and congestion, which further increases cost |
Planning
The urban morphology in cities is where growth is planned and demonstrates several key characteristics, including:
Structured and organised layout
Clearly defined zones for residential, commercial and industrial use
Efficient transport infrastructure
Open, public spaces
Where cities have grown up spontaneously, the urban morphology is less structured, and the cities often have:
Mixed land use
Informal or squatter settlements
Irregular street patterns
Chaotic transport infrastructure
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