APHUG

KEY ISSUE 1: Where Are Services Distributed?

  • Definition of a Settlement
    A settlement is defined as a permanent collection of buildings where individuals reside, work, and obtain various services.

  • Geographical Coverage
    Settlements occupy a very small percentage of Earth's surface—well under 1 percent—but are home to nearly all humans. Few people live in isolation.

Introduction to Services and Settlements

  • Essential Concept
    The proximity to the market is the most critical locational factor for a service. This principle holds significance in geographic terms.

Learning Outcome 12.1.1: Three Types of Services
  1. Tertiary Sector (Service Sector):
       - Most people in developed countries work in the service sector, which includes shops, offices, restaurants, universities, and hospitals.
       - A service is characterized as any activity fulfilling a human want or need and generating revenue for the provider.

   - The service sector generates over two-thirds of GDP in most developed nations while less than half in developing countries.

   - Service distribution is inversely related to the percentage of primary workers, signifying a greater density of service workers in developed countries like the U.S. than in India or China.

  1. Types of Services:
       - Consumer Services:
         - Aim to provide services to individual consumers who can afford them. Approximately 50% of jobs in the U.S. fall into this category.
         - Divided into four main types: Retail, Health, Education, and Leisure.
       - Business Services:
         - Purpose is to support business operations. Comprises about 25% of jobs in the U.S.
         - Key types include professional services, transportation services, and financial services.
       - Public Services:
         - Focus on providing security and protection for both citizens and businesses, accounting for about 10% of U.S. jobs.
         - Among public-sector employees (excluding educators), 16% work for the federal government, 25% for state governments, and 60% for local governments.

KEY ISSUE 2: Where Are Consumer Services Distributed?

Central Place Theory

  • Overview:
      Central place theory informs the selection of profitable locations for consumer services by illustrating how market areas are structured.
      - Developers:
        - Proposed by Walter Christaller in the 1930s, further developed by August Lösch and Brian Berry.
      - Central Place:
        - A central place is a hub for the exchange of goods and services, characterized by its central location to maximize accessibility.

Key Concepts: Market Area, Range, and Threshold
  • Market Area:
      - It’s the space around a service from which customers are attracted. Visualized as a nodal region, often represented as a hexagon or circle on geographical maps. Hexagons nest without gaps and facilitate service competition effectively.
      - Range:
        - Defined as the maximum distance consumers are willing to travel to access a service. Ex:
          - Convenience stores: short range
          - Stadiums: extensive range.
      - Threshold:
        - Refers to the minimum number of customers required to maintain a service's profitability based on the characteristics of the service. Different services attract varying demographics, influencing their threshold.

Changes in Employment Patterns
  • U.S. employment is increasingly concentrated in the service sector, particularly consumer services, with a decline in primary and secondary activities.

  • Growth Areas:
      - Health care, education, entertainment, and hospitality have shown the most significant job growth.

Hierarchy of Consumer Services
  • Market Areas Size Variation:
       - Large settlements offer more consumer services than smaller ones due to higher essential thresholds.
       - Services are nested across varying settlement sizes, providing a pyramid shape of market areas.

Rank-Size Distribution
  • Settlements in developed countries often follow a predictable rank-size rule, meaning the population of the nth largest settlement is 1/n of the largest settlement.

  • In contrast, the primate city rule applies when the largest city significantly outstrips its second-largest counterpart, affecting access to services.

Periodic Markets

  • Development:
      - Established as a collection of vendors providing goods and services on specific days, facilitating access in rural and low-income urban areas.
      - Variability:
        - Operating frequency often reflects cultural practices. For instance, Islamic countries have weekly markets while rural China may operate on a 10-day cycle.

Sustainability Concerns with New Service Types
  • Emerging Models:
      - Companies like Airbnb and Uber challenge traditional service categorizations.
      - Classification Debate:
        - These companies' employees raise questions on whether they fit into leisure and hospitality or transportation services.

  • These new models have substantial implications for local economies and existing service qualifications.

Visual Data

  • Figures and Maps:
      - Several figures illustrated concepts like GDP from services, hexagon market areas, employment shifts, and the positioning of periodic markets in the U.S. and rural settings.