Land: as a factor of production

In certain industries, land directly supports the provision of goods or services. In such cases, land plays an integral role in production.

Examples

Land plays a principal role in the following businesses:

  • real estate
  • agriculture
  • commodity mining

In the businesses above, the provision of value wouldn’t be possible without the involvement of land.

This is not the case in businesses, such as a digital company, where entry into a new market is not dependent upon land acquisition.

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