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Why High-technology Firms Choose to Locate in or near Metropolitan Areas

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  • Amnon Frenkel

    (Centre for Urban and Regional Studies, Technion-Israel Institute of Technology, Haifa, Israel 32000, amnonf@tx.technion.ac.il)

Abstract

Various studies have provided evidence of the advantages of the ability of metropolitan areas to attract hi-tech industries, which employ advanced technology and are strongly involved in the process of innovation. This paper presents the results of an empirical study of the location choice of Israeli hi-tech industries within a metropolitan area, carried out in the Northern region of Israel (which encompasses the Haifa metropolitan area and its surrounding localities) and based on field-survey data obtained from hi-tech plants. The study investigates the effect of different factors on location choice and also identifies the direct contribution of each factor to the probability of choosing the metropolitan area as a preferred location. The implications of these findings for industrial policy are also discussed.

Suggested Citation

  • Amnon Frenkel, 2001. "Why High-technology Firms Choose to Locate in or near Metropolitan Areas," Urban Studies, Urban Studies Journal Limited, vol. 38(7), pages 1083-1101, June.
    • Handle: RePEc:sae:urbstu:v:38:y:2001:i:7:p:1083-1101
    DOI: 10.1080/00420980120051666
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    References listed on IDEAS

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    Cited by:

    1. Yingcheng Li & Kai Zhu, 2017. "Spatial dependence and heterogeneity in the location processes of new high-tech firms in Nanjing, China," Papers in Regional Science, Wiley Blackwell, vol. 96(3), pages 519-535, August.
    2. Eickelpasch Alexander & Hirte Georg & Stephan Andreas, 2016. "Firms’ Evaluation of Location Quality: Evidence from East Germany," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 236(2), pages 241-273, March.
    3. Densil A. Williams, 2016. "Can Neural Networks Predict Business Failure? Evidence From Small High Tech Firms In The Uk," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 21(01), pages 1-17, March.
    4. Malinowski Mariusz, 2012. "The interdependence of the regional environment state with the level of enterprise development," Management, Sciendo, vol. 16(2), pages 141-154, December.
    5. José M. Albert Ortiz & Francisco M. Gasca Sánchez & Miguel A. Flores Segovia, 2018. "Patrones de localización espacial de las manufacturas mexicanas: análisis con la técnica de patrones de puntos espaciales\Spatial location patterns of Mexican manufacturing: Analysis using the tech," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 33(2), pages 253-282.
    6. Jiang, Yonglei & Timmermans, Harry J.P. & Yu, Bin, 2018. "Relocation of manufacturing industry from the perspective of transport accessibility – An application of percolation theory," Transport Policy, Elsevier, vol. 63(C), pages 10-29.
    7. Kummitha, Rama Krishna Reddy, 2018. "Entrepreneurial urbanism and technological panacea: Why Smart City planning needs to go beyond corporate visioning?," Technological Forecasting and Social Change, Elsevier, vol. 137(C), pages 330-339.

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