The spatial organization of multinational firms
AbstractUsing six years of firm-level data covering 224 regions of the enlarged European Union, we evaluate the importance to a firm of locating its activities (production, headquarters, R&D, logistics and sales) close together. We find that, after controlling for regional characteristics, being closely located to a previous investment positively affects firm location choice. However, the impact of distance is dependent on the type of investment (production or service). The impact dies out faster for service activities. Finally, we show that a surprisingly positive effect comes from locating a new production plant close to an existing production investment, but in another country.
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Bibliographic InfoArticle provided by Canadian Economics Association in its journal Canadian Journal of Economics.
Volume (Year): 45 (2012)
Issue (Month): 2 (May)
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Postal: Canadian Economics Association Prof. Steven Ambler, Secretary-Treasurer c/o Olivier Lebert, CEA/CJE/CPP Office C.P. 35006, 1221 Fleury Est Montréal, Québec, Canada H2C 3K4
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Other versions of this item:
- Fabrice Defever, 2010. "The Spatial Organization of Multinational Firms," CEP Discussion Papers dp1029, Centre for Economic Performance, LSE.
- Fabrice Defever, 2010. "The Spatial Organization of Multinational Firms," CESifo Working Paper Series 3304, CESifo Group Munich.
- Fabrice Defever, . "The Spatial Organization of Multinational Firms," Discussion Papers 10/29, University of Nottingham, GEP.
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
- R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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CEPR Discussion Papers
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- Fabrice Defever & Benedikt Heid & Mario Larch, 2011.
CEP Discussion Papers
dp1100, Centre for Economic Performance, LSE.
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- Franz-Josef Bade & Eckhardt Bode & Eleonora Cutrini, 2012. "Spatial fragmentation of industries by functions," Working Papers 39-2012, Macerata University, Department of Studies on Economic Development (DiSSE), revised Feb 2012.
- Nick Pantaleo & Finn Poschmann & Scott Wilkie, 2013. "Improving the Tax Treatment of Intellectual Property Income in Canada," C.D. Howe Institute Commentary, C.D. Howe Institute, issue 379, April.
- Riccardo Crescenzi & Carlo Pietrobelli & Roberta Rabellotti, 2012.
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