In this section, you have a passage. After the passage, you will find some items based on the passage. First, read the passage and answer the items based on the passage. You are required to select your answers based on the contents of the passage and the opinion of the author only.

Industrial locations are complex in nature. These are influenced by the availability of raw material, labour, capital, power and market, etc. It is rarely possible to find all these factors available in one place. Consequently, manufacturing activity tends to locate at the most appropriate place where all the factors of industrial location are either available or can be arranged at a lower cost. After an industrial activity starts, urbanisation follows. Thus, industrialisation and urbanisation go hand in hand. Sometimes, industries are located in or near the cities. Cities provide markets and also provide services such as banking, insurance, transport, labour, consultants, and financial advice, etc. to the industry. Many industries tend to come together to make use of the advantages offered by the urban centres known as agglomeration economies. Gradually, a large industrial agglomeration takes place. In the pre-Independence period, most manufacturing units were located in places from the point of view of overseas trade such as Mumbai, Kolkata, Chennai, etc. Consequently, there emerged certain pockets of industrially developed urban centres surrounded by a huge agricultural rural hinterland. The key to the decision of the factory location is the least cost. Government policies and specialised labour also influence the location of industry.