The CAGE - pistance Framework
The cultural, administrative, geographic and economic (CAGE) distance framework helps managers identify and assess the impact of
distance on various industries. The upper portion of the table lists the key attributes underlying the four dimensions of distance.
The lower portion shows how they affect different products and industries.
Cultural Distance Administrative Distance Geographic Distance Economic Distance
Attributes JETCeaanae res ere nd Physical remoteness Pein)
creating en aoe
PRAIRIE Different ethnicities; lack Absence of shared Peg
ees monetary or political Pea eS
Pee association Lack of sea or river access. J and quality of:
ate
Peace ay Cc Bree eee
area
Deen ery Conc Rca mie
ean aE
ae Tena
Differences in climates
Industries ieee Government involvement is] Products have a low Dature of demand varies
or products UeMeneene U7) high in industries that are: | value-to-weight or bulk Rr rere
affected + producers of staple goods J ratio (cement)
Peete Products affect cultural (electricity) eeu AL)
Cte ny Beets oes eeece
Ponte cer renee) ees important (mobile phones)
ge employers (farming) | (glass, fruity
Core e roe Pee eas
arent: Pee Se ee) ee eee eres
arya transportation) connectivity are important J (garments)
eres Sea (financial services)
CO ico Cartas) Sng
er + vital to national security Local supervision and eC cras
eee) Seats (insurance)
Cente Pema are high (many services)
oes ae resources (oil, mining) Companies need to be
associations (wines) Pecans eee
emer omet) ee us)