Traffic Congestion - GCSE Business Definition

Traffic congestion is the overcrowding of vehicles on roads, leading to slower speeds, longer travel times, and increased queuing. In GCSE Business, it is important to understand traffic congestion, as it can reduce the efficiency and cost-effectiveness of business operations.

Delays caused by congestion can disrupt the supply chain and increase operating costs for businesses due to wasted fuel and time, reducing productivity levels. Additionally, heavy traffic can influence the location decisions of businesses, as firms may prefer to be situated in areas with better transport links to avoid these negative impacts. Understanding traffic congestion is crucial for analysing how external factors can affect business performance and decision-making processes.