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The firm relocation decision: an empirical investigation

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Author Info
Brouwer, A.E. (Vrije Universiteit Amsterdam, Faculteit der Economische Wetenschappen en Econometrie (Free University Amsterdam, Faculty of Economics Sciences, Business Administration and Economitrics)
Mariotti, I.
Ommeren, J.N. van

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Abstract

In the current paper, the determinants of firm relocation behaviour in twenty-one countries during the period 1997-1999 are analyzed. We demonstrate that internal growth factors measured by increases, but also decreases, in the workforce induce firm relocation. Firms that serve larger markets relocate more often. lt is also demonstrated that relocations are often a result of acquisitions, mergers and take-overs, which are a consequence of external growth.

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Publisher Info
Paper provided by VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics in its series Serie Research Memoranda with number 0023.

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Date of creation: 2003
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Handle: RePEc:dgr:vuarem:2003-23

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Web page: http://www.feweb.vu.nl

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Related research
Keywords: Firm relocation; Mergers;

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Find related papers by JEL classification:
R30 - Urban, Rural, and Regional Economics - - Production Analysis and Firm Location - - - General

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  1. McArthur, David & Thorsen, Inge & Ubøe, Jan, 2008. "An agent-based computational approach to explaining persistent spatial unemployment disparities," Discussion Papers 2008/17, Department of Finance and Management Science, Norwegian School of Economics and Business Administration. [Downloadable!]
  2. Miguel C. Manjon-Antolin & Josep Maria Arauzo-Carod, 2006. "Locations and Relocations: Modelling, Determinants, and Interrelations," ERSA conference papers ersa06p33, European Regional Science Association. [Downloadable!]
  3. Manuel Artís & Raúl Ramos & Jordi Suriñach, 2007. "Job Losses, Outsourcing and Relocation: Empirical Evidence Using Microdata," IZA Discussion Papers 2978, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  4. Corina Huisman & Leo JG Van Wissen, 2005. "A model of internal firm relocation in the Netherlands," ERSA conference papers ersa05p789, European Regional Science Association. [Downloadable!]
  5. Aleid E. Brouwer, 2003. "An empirical study on the relationship between the spatial environment and the survival of old firms in the Netherlands," ERSA conference papers ersa03p108, European Regional Science Association. [Downloadable!]
  6. Leo JG Van Wissen & Veronique Schutjens, 2005. "Geographical scale and the role of firm migration in spatial economic dynamics," ERSA conference papers ersa05p745, European Regional Science Association. [Downloadable!]
  7. Erik Stam, 2006. "Why Butterflies Don’t Leave. Locational behaviour of entrepreneurial firms," Papers on Entrepreneurship, Growth and Public Policy 2006-20, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group. [Downloadable!]
  8. Ilaria Mariotti & Giacinto Micucci & Pasqualino Montanaro, 2004. "Internationalisation strategies of Italian district SMEs: an analysis on firm-level data," ERSA conference papers ersa04p436, European Regional Science Association. [Downloadable!]
  9. Hanna Maoh & Pavlos Kanaroglou, 2007. "Business establishment mobility behavior in urban areas: a microanalytical model for the City of Hamilton in Ontario, Canada," Journal of Geographical Systems, Springer, vol. 9(3), pages 229-252, September. [Downloadable!] (restricted)
  10. Aleid E. Brouwer, 2004. "The inert firm; why old firms show a stickiness to their location," ERSA conference papers ersa04p165, European Regional Science Association. [Downloadable!]
  11. Joris Knoben, 2006. "A Relational Account of the Causes of Spatial Firm Mobility," ERSA conference papers ersa06p1, European Regional Science Association. [Downloadable!]
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