Services includes: Intro to Services Central Place Theory Urban...
Transcript of Services includes: Intro to Services Central Place Theory Urban...
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Servicesincludes:
Intro to ServicesCentral Place Theory
Urban Hierarchies
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Introduction
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Services
• any activity that fulfills human wants/needs• Services are located in settlements
– therefore our study of services is closely linked with our study of urban patterns
– location of services is important for profitability – affluent regions tend to offer more services – local diversity is evident in the services provided
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Services• Three types of services
– Consumer services (44% of all US jobs)– Business services (24%)– Public services (17%)
• In the United States, all job growth is occurring in the tertiary sector
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Percentage of GDP from Services, 2005
Figure 12-1
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Employment Change in the United States
by Sector
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Location of Contemporary Services• Services in urban settlements
– Differences between urban and rural settlements• Large size• High density• Social heterogeneity (cultural diversity)
– Urbanization• Increasing number of people in cities
– Most huge cities = LDCs (8 out of top ten largest urban areas)» Megacity = metro area > 10 million
• Increasing % of people in cities– MDCs more highly urbanized, higher % live in cities– The world is 50% urbanized – US = 50% urban in 1920, now 81%
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Percentage of Population Living in Urban Settlements
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Economic Base of MDC Cities• Basic industries
– Export mainly to consumers outside settlement– Unique collection = economic base
• Brings money into community• Stimulates growth of nonbasic but not vice versa• Calculated by % employed in different industries
– If higher than average for country = basic– MDC settlements are often classified by basic industry
• Nonbasic industries– Serve customers within settlement
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Economic Bases of U.S. Cities(somewhat outdated)
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Business Services Clustering in LDCs• What is attracting services to move to LDCs?• Offshore financial services
– Two functions:• Taxes• Privacy
– Cayman Islands• Back offices
– Offshoring of business/consumer services– LDCs are attractive because of:
• Low wages• Ability to speak English
– India, Malaysia, Philippines
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Central Place Theory
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Central Place Theory• Predicts how and where central places in a
urban hierarchy (hamlets, villages, towns, and cities) are functionally and spatiallydistributed
• Assumes that– Surface is flat with no physical barriers– Population and purchasing power are evenly distributed– Region has uniform transportation network – From any given place, a good or service could be sold in
all directions out to a certain distance
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Central place theory– First proposed by Walter Christaller (1930s)– Characteristics
• A central place has a market area (or hinterland)– nodal/functional region = hinterland
• Nesting– Hinterlands in MDCs = series of hexagons of various sizes– Hamlet (crossroads), village (small cluster), town (larger cluster)
and city (multi-clustered)
– Size of each market area determined by:• Range
– Maximum distance consumer is willing to travel to use a service» Often expressed in time rather than spatial terms
• Threshold– Minimum # of consumers needed to support a service
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Market areas or hinterland representative shapes
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Central Place Theory
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Market Areas, Range, and Threshold for Kroger Supermarkets
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Why Are Consumer Services Distributed in a Regular Pattern?
– Optimal location within a market• Gravity model
– Optimal location directly related to # of people and inversely related to distance people must travel
• Best location in a linear settlement = median– Optimal Location for a Pizza-Delivery Service
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Figure 12-20
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Location ModelsWeber’s ModelManufacturing plants will locate where
costs of transportation, labor are the least
and agglomeration is beneficial
Theory: Least Cost Theory
Hotelling’s ModelLocation of an industry cannot be understood without reference to other industries of the same kind
Theory: LocationalInterdependence
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Hotelling's model: (locational interdependence/spatial competition)
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Location ModelsWeber’s ModelManufacturing plants will locate where
costs of transportation, labor are the least
and agglomeration is beneficial
Theory: Least Cost Theory
Hotelling’s ModelLocation of an industry cannot be understood without reference to other industries of the same kind
Theory: LocationalInterdependence
Losch’s ModelBusinesses choose locations where they can maximize profit
Closely related to Christaller’s Central Place Theory.
Theory: Zone of Profitability
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Lösch's model: (zone of profitability/market zones)
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Urban Hierarchies
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World Cities– Services in world cities
• the entire world represents the hinterland for these cities• Business: clustering of services is a product of the Ind. Rev.
– shows dominance of core economies– headquarters of major corps., shipping hubs, finance, etc.
• Consumer: retail services with extensive market areas– leisure services of national importance due to large thresholds,
large ranges, and the presence of wealthy patrons.» Hollywood makes L.A. a “major” world city
• Public: world cities are often the center of national or international political power/policy making
– Classification has changed from “dominant, major and secondary” to “alpha, beta and gamma”
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World Cities
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Other classifications of urban settlements• Command and Control Centers
– Regional or sub-regional• Denver dominates the Mountain West
• Specialized Producer-Service Centers– Detroit = autos, San Jose = semiconductors
• Dependent Centers (rely on decisions made in World Cities)– Resort, Retirement and Residential = clustered in the South/West– Manufacturing = Old Rust Belt– Military = clustered in the South/West– Mining = mineral rich areas (California, West Virginia)
• Talent magnets– Richard Florida = distribution of talent follows cultural diversity– “cool” cities get brain gain, “uncool” place suffer from brain drain
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Hierarchy (nesting) of services within Central Place Theory
• hamlet – very short range, very small threshold– daily necessities
• gas, bread, milk, cigarettes• convenience store, gas station, etc.
• village – short range, small threshold– weekly needs
• hardware store, post office, dry cleaner, elementary school, diner• town – medium range and threshold
– occasional use• medical services (doctor, dentist, clinic), movie theater, restaurant,
high schools (buses), etc.• city – long range and threshold
– special occasions• sporting events, concerts, specialists, surgery, high end retail
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Geography of Talent
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Rank-Size Rule vs. Primate City • Rank-size rule: population of the settlement is
roughly inversely proportional to its rank compared to largest city. For example:
• largest city = 12 million• 2nd largest = 6 million (biggest test!!!!)• 3rd largest = 4 million• 4th largest = 3 million
– “regular” hierarchy implies higher a more evenly dist. wealth can support services outside of dominant city = MDCs
• Primate city: leading city is disproportionately (>> 2x) larger than other cities– “irregular” = low wealth, so services cluster in 1 place = LDCs
– exception = Europe (has many primate cities despite wealth)• PLEASE: when applying these rules be reasonable, look at
overall pattern before making a judgement!
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The End.
Up next: Urban Patterns