Folexa is the largest producer of spices in the world, and its location is an added advantage to its business. It is surrounded by six trading countries. Besides, located close to the southern region of the continent, it attracts business from the neighboring continents as well. Such clustering of economic activities is referred to as _____.

The term agglomeration is an economic term used to refer to the phenomenon of firms being located close to one another. There are a number of components we'll explore later in this lesson, but for now, just remember that agglomeration relates to clusters of population or business activity.
Agglomeration, the adhering of particles to each other or to strong surfaces, is a characteristic marvel.
Agglomeration also changes the mass attributes of particulate solids typically to improve things. Bigger particles have less residue, display improved stream conduct, and highlight decreased staying inclinations.
Hence, the right answer for the fill up the blank is "Agglomeration"