Around the world, companies are relocating to rural areas. I believe that the advantages of this decision do not outweigh the disadvantages because, although running a business in non-urban areas is cost-effective, these regions still suffer from infrastructure deficiencies.
The main advantage of operating in remote regions is that it is inexpensive. Rural real estate prices are significantly lower than in urban areas, making it easier to purchase or lease a property. Additionally, salaries and wages are reduced due to the lower cost of living. Lower taxes are also a factor that makes the cost of running businesses not as high as in the cities. For instance, Tesla built a Gigafactory in Sparks, Nevada, because land was cheaper and the state offered tax breaks. However, I believe that poor transport and digital infrastructure may negatively impact how enterprises operate in the countryside.
One clear drawback of changing the location of a corporation to provincial areas is poor infrastructure. These places often have roads that are usually unpaved and narrow, which can lead to difficulties transporting goods. Another major issue is a weak internet connection, which can make businesses unable to do e-commerce and online marketing, have meetings, or manage their customer service efficiently. For instance, many dairy factories operating in rural Kenya had their products spoiled before trucks reached their destinations. I think that any company cannot function without a reliable infrastructure; this is why I believe that the disadvantages far outweigh the advantages.
In conclusion, although choosing to set up businesses on the outskirts of the cities is less expensive, I believe that the lack of a robust infrastructure will lead to more significant financial losses.