We introduce a refined version of observation for CCS which allows the
observer to see the distributed nature of processes. Using several ex
amples, we argue that a semantic theory based on such observations is
not only intuitive but may also be of use when formalising the relatio
nship between implementations and specifications. Technically, we show
that the resulting theory of location equivalence is very similar to
that of bisimulation equivalence, e.g. it can be characterised by a si
mple modal logic. A comparison with distributed bisimulations is also
given.