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1.         Give five effects of liberalization of the oil industry in Kenya.                                            

2.         (a) Define the term “industrial inertia.”                                                                              

            (b) State three factors that make industrialists prefer to locate their plants near already

                  established industries.                                                                                                      

            (c) Explain three benefits that would result from rural electrification in Kenya                 

3.         (a) Define the term industrial inertia                                                                                     

            (b) State three negative effects of industrialization                                                              

4.         (a) Differentiate between a factory and industry                                                                   

            (b) Name any three types of tertiary industry


1.  –  Created variation in prices of petroleum products                                                           

  • Led to mushrooming of many petroleum products dealers
  • Encouraged importation of refined petroleum products
  • Caused frequent price adjustments by oil dealers
  • Created widespread  / availability of petroleum products

2.         a) Industrial inertia  is the tendency of an industry to maintain its location and activities

           after   factors of its initial location have ceased                                                                        

b)       – Presence of an already established transport system

– Availability of skilled labour

– Utilization of out-puts of other plants as raw material

  c)     – it would  encourage setting  up of  industries in the  areas thus stimulation

            decentralization  of induction                                                                                                      

– it  would  reduce the cutting  down  of trees and  electricity  would be available  for

domestic    use.

– It would attract/improve social amenities in rural area reducing the need for people to

 move    to urban areas

– Most people would invest in the rural area which would led to higher standards of living

– It would encourage development of horticultural farming  to  have ideal  storage f

  perishable    products

3.         a) -it is the  inability of an industry to move from an area  through original  location factors            

                 here  changed/exhausted/are  no longer existing                                                  

b) –  it has resulted  in pollution leading to environmental deterioration                                

        – it has led to rural-urban migration depriving the  source  area able bodies  people

        – it  has led to un even economic development

        – other economic activities e.g. agriculture  production have  been  underrated in  favour of

           industrial  activities

        – due  to technological   advancement  some people have been  rendered jobless

4.         a) An industry is an enterprise or a commercial profit making undertaking while a factory    

                refers to the structures or buildings which may house an industry                                  

4. b)      – Transport                                                                                                                         

– Communication

– Banking

– Insurance

            – Trade

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