AP Human GeographyChapter 12 – Services and Settlements Mrs. BellisariKey Issue#2 – Where are Consumer services distributed?

Central Place TheoryBasic Questions on Central Place Theory

Why are almost all medical specialists found in large cities?Why are almost all professional sports teams located in large cities? Why can there be three Dunkin Donuts within a 3 mile radius or 3 TD Banks within three miles of Commack High School?

The Central Place Theory was developed by Walter Christaller in 1933.

Key Terminology

Central Place – market center where goods/services are exchanged with surrounding customers (Cities/towns usually serve this function)

Market area/Hinterland (nodal region) -Area serviced Range - maximum distance people willing to travel for

something (Groceries v. medical care) (TIME! Not distance)

Threshold - minimum number of people (customers)

needed to sustain a business (viable) o Developers of shopping malls, department

stores, and large supermarkets typically count only higher-income people.

o Reasons why a threshold could drop A drop in population Change in culture Introduction of substitutes

Breaking Point - line where customers will choose to go to another business for a service/good

Low order goods – necessities – cheap products that are purchased frequently (low range and low threshold)

High order goods - luxuries – not essential and are purchased infrequently (high range and high threshold)

o An example of a low order good would be Walmart. Walmart sells groceries that people need and purchase often.

o An example of a high order good would be BMW car dealership. Cars are a luxury and are not purchased often.

o Small settlements, such as hamlets, would have few low order goods. Larger settlements, such as a city, would have more low order goods and high order goods.

Central Place TheoryCentral Place Theory attempts to explain the pattern of settlements & Urban Hierarchy =

HamletVillageTownCity

Mega cityWorld city

- Cities are economic hubs because diverse services & goods are not available in smaller settlements

- Central Places compete with each other for services & goods - Thus, larger the city, greater the distance between it & its rivals

COLOR TIME!!!!

Central Place Theory

Why do we not ever see a perfect central place hierarchy?- Physical geography is important! Topography and hydrography interfere.- Consumer behavior is determined by more than economic considerations.- The automobile has made long-distance travel popular (cheap and easy).- People make multiple-purpose shopping trips, often bypassing the smallest places. - The Internet has made it unnecessary to have customers nearby.