Explaining the location decision of moving firms using their mobility profile and the accessibility of locations
AbstractThis paper describes the research approach and first empirical results of the estimation of discrete choice models that describe the location decision of moving firms. The model is based on random utility theory and features systematic choice sets to account for the choice context at the highest level of spatial detail (address-level). Firms are analysed categorised to their mobility profile. These mobility profiles are homogenous groups of firms with similar mobility characteristics that are a priori assumed. The models are tested on an extensive revealed preference dataset with firm migration observations in South Holland. To avoid correlations between variables a variety of composed accessibility variables have been constructed that describe the distances to the physical infrastructure or that are an aggregated form of potential accessibility. The location attributes of alternatives have been completed with the business environment type and the rental level. The results are first of all valuable for the development of a simulation model for firm location but the empirical results also yields insight into the spatial behaviour and location preference of firms. Although further research is necessary, the presented addresses some challenges in modelling the spatial behaviours of firms in an urban environment. Therefore the presented approach holds seems valuable for the development of a simulation model for location decisions of moving firms and offers good possibilities for future research.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by European Regional Science Association in its series ERSA conference papers with number ersa04p338.
Date of creation: Aug 2004
Date of revision:
Contact details of provider:
Postal: Welthandelsplatz 1, 1020 Vienna, Austria
Web page: http://www.ersa.org
This paper has been announced in the following NEP Reports:
- NEP-ALL-2005-11-09 (All new papers)
- NEP-DCM-2005-11-09 (Discrete Choice Models)
- NEP-GEO-2005-11-09 (Economic Geography)
- NEP-URE-2005-11-09 (Urban & Real Estate Economics)
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.:
- Krugman, Paul, 1991.
"Increasing Returns and Economic Geography,"
Journal of Political Economy,
University of Chicago Press, vol. 99(3), pages 483-99, June.
- Holl, Adelheid, 2004. "Manufacturing location and impacts of road transport infrastructure: empirical evidence from Spain," Regional Science and Urban Economics, Elsevier, vol. 34(3), pages 341-363, May.
- Leitham, Scott & McQuaid, Ronald W. & D. Nelson, John, 2000. "The influence of transport on industrial location choice: a stated preference experiment," Transportation Research Part A: Policy and Practice, Elsevier, vol. 34(7), pages 515-535, September.
- van Dijk, Jouke & Pellenbarg, Piet H., 1999.
"Firm relocation decisions in The Netherlands: an ordered logit approach,"
ERSA conference papers
ersa99pa418, European Regional Science Association.
- Jouke van Dijk & Piet H. Pellenbarg, 2000. "Firm relocation decisions in The Netherlands: An ordered logit approach," Papers in Regional Science, Springer, vol. 79(2), pages 191-219.
- Rietveld, Piet, 1994. "Spatial economic impacts of transport infrastructure supply," Transportation Research Part A: Policy and Practice, Elsevier, vol. 28(4), pages 329-341, July.
- Leo van Wissen, 2000. "A micro-simulation model of firms: Applications of concepts of the demography of the firm," Papers in Regional Science, Springer, vol. 79(2), pages 111-134.
- Brouwer, Aleid & Mariotti, Ilaria & van Ommeren, Jos, 2002. "The firm relocation decision: a logit model," ERSA conference papers ersa02p205, European Regional Science Association.
- Daniel McFadden, 1977. "Modelling the Choice of Residential Location," Cowles Foundation Discussion Papers 477, Cowles Foundation for Research in Economics, Yale University.
- Shukla, Vibhooti & Waddell, Paul, 1991. "Firm location and land use in discrete urban space : A study of the spatial structure of Dallas-Fort worth," Regional Science and Urban Economics, Elsevier, vol. 21(2), pages 225-253, July.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier).
If references are entirely missing, you can add them using this form.