IDEAS home Printed from https://ideas.repec.org/a/sae/envira/v37y2005i10p1857-1876.html
   My bibliography  Save this article

Analytical Differences in the Economics of Geography: The Case of the Multinational Firm

Author

Listed:
  • Philip McCann

    (Department of Economics, University of Reading, Reading RG6 6AW, England)

  • Ram Mudambi

    (Department of Geography and Strategic Management, Fox School of Business and Management, Temple University, Philadelphia, PA 19122, USA)

Abstract

In this paper we argue that the various discussions of the regional location behaviour of the multinational firm by the different fields of analysis which deal with these issues are all rather at a tangent to each other. Only economic geography and regional economics discuss firm-location behaviour at the subnational regional level, whereas international trade theory and traditional international business analysis focus only on firm locations at the level of a country. Where subnational regional locations have recently been discussed in international business analysis, this has been done primarily by incorporating the Porter ‘clusters' literature. However, by adopting a transactions-costs approach, we show that such a ‘clusters' concept is unable to distinguish between whether a multinational enterprise should or should not locate in a particular region. In addition, we use this approach to point to directions of research fruitful for reconciling these various different traditions of location analysis.

Suggested Citation

  • Philip McCann & Ram Mudambi, 2005. "Analytical Differences in the Economics of Geography: The Case of the Multinational Firm," Environment and Planning A, , vol. 37(10), pages 1857-1876, October.
  • Handle: RePEc:sae:envira:v:37:y:2005:i:10:p:1857-1876
    as

    Download full text from publisher

    File URL: http://epn.sagepub.com/content/37/10/1857.abstract
    Download Restriction: no

    Other versions of this item:

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:envira:v:37:y:2005:i:10:p:1857-1876. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.