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Understanding Firms' Relocation and Expansion Decisions Using Self-Reported Factor Importance Rating

Listed author(s):
  • Hu, Wuyang

    (U KY)

  • Cox, Linda J.

    (U HI)

  • Wright, Joan

    (U NV, Reno)

  • Harris, Thomas R.

    (U NV, Reno)

Using individual business surveys, this study examines the most important factors for firms' decisions to relocate or expand in the past as well as their intention to relocate or expand in the future. Results indicate that factors related to firms' internal characteristics, features of location sites, and the general economic environment may affect firms' past and future decisions. These factors are found to be generally consistent in their impact upon the past and future decisions with several noticeable differences. The hypothesis of footloose firms is supported by this study.

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File URL: http://journal.srsa.org/ojs/index.php/RRS/article/view/169/124
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Article provided by Southern Regional Science Association in its journal Review of Regional Studies.

Volume (Year): 38 (2008)
Issue (Month): 1 ()
Pages: 67-88

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Handle: RePEc:rre:publsh:v:38:y:2008:i:1:p:67-88
Contact details of provider: Web page: http://www.srsa.org

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  1. repec:dgr:rugsom:02d31 is not listed on IDEAS
  2. Davis Reum, Alison & Harris, Thomas R., 2006. "Exploring Firm Location Beyond Simple Growth Models: A Double Hurdle Application," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 36(1).
  3. Darin Wohlgemuth & Maureen Kilkenny, 1998. "Firm Relocation Threats and Copy Cat Costs," International Regional Science Review, , vol. 21(2), pages 139-162, August.
  4. Jouke van Dijk & Piet H. Pellenbarg, 2000. "Firm relocation decisions in The Netherlands: An ordered logit approach," Papers in Regional Science, Springer;Regional Science Association International, vol. 79(2), pages 191-219.
  5. Joris Knoben & Leon Oerlemans, 2005. "The effects of firm relocation on firm performance - A literature review," ERSA conference papers ersa05p324, European Regional Science Association.
  6. Roger W. Schmenner, 1980. "Choosing New Industrial Capacity: On-Site EXpansion, Branching, and Relocation," The Quarterly Journal of Economics, Oxford University Press, vol. 95(1), pages 103-119.
  7. Paulo Guimaraes & Octávio Figueiredo & Douglas Woodward, 2004. "Industrial Location Modeling: Extending the Random Utility Framework," Journal of Regional Science, Wiley Blackwell, vol. 44(1), pages 1-20.
  8. Aleid E. Brouwer & Ilaria Mariotti & Jos N. van Ommeren, 2004. "The firm relocation decision: An empirical investigation," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 38(2), pages 335-347, 06.
  9. Gilles Grolleau & Tarik Lakhal & Naoufel Mzoughi, 2004. "Does Ethical Activism Lead to Firm Relocation?," Kyklos, Wiley Blackwell, vol. 57(3), pages 387-402, 08.
  10. Pellenbarg, P.H. & Wissen, L.J.G. van & Dijk, J. van, 2002. "Firm relocation: state of the art and research prospects," Research Report 02D31, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
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