When many urban areas are faced with transport and housing problems, some regulatory bodies suggest companies relocate to rural settings. While there are certain advantages from this tenancy, I would argue that they are eclipsed by its demerits.
Granted, relocating businesses to the countryside is advantageous to some extent. One main benefit is overcoming accommodation headaches . When companies move out of the inner city, a large number of employees tends to move along to be near their workplace. This can ease the population density, thereby addressing accommodation shortage, unhygienic living conditions, and the real estate bubble. In addition, reduced population would result in decreased traffic volume. Thus, traffic related issues, such as traffic jams, and the lack of parking space can be alleviated.
Despite the above-mentioned arguments, I believe there are some clear disadvantages. One reason for this belief is that relocation can be financially exhausting for businesses. This is because if they move, they have to spend a large amount of money to hire new employees, buy new facilities, and rent new places. As such, it affects their financial condition and can result in bankruptcy. Another drawback is inconvenience for employees. This is because when those who do not move to be near the companies, they will have to travel great distances to get there, leading to increased cost of daily commute.
In conclusion, while there are indeed merits posed by moving business to satellite towns, its demerits, including the risk of bankruptcy and greater inconveniences are more significant.