A location strategy is a plan to select the optimal location for a company by identifying needs and objectives and searching for locations that match these needs. It should align with the company's overall corporate strategy. When analyzing costs, the chosen location significantly impacts productivity and risk. An operations manager considers many criteria, like labor costs, transportation, taxes, and demographics, to determine where to locate plants nationally or globally. Formulating a location strategy involves assessing facilities, feasibility analyses, logistics, labor markets, community suitability, trade zones, political risk, regulations, incentives, and environmental policies for potential locations. Globalization and technology have been major drivers of changes in location strategies over the past 30 years.