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Firm relocation: state of the art and research prospects

  • Pellenbarg, P.H.
  • Wissen, L.J.G. van
  • Dijk, J. van

    (Groningen University)

This paper deals with firm relocation. Firm relocation is a particular form of locational adjustment of the firm and one of the possible ways to adjust to changes in markets, preferences of consumers, environmental regulations, technological progress etc. In section 2 we will treat the neo-classical, the behavioural, and the institutional approaches respectively. Next, a historical review of firm relocation research is presented, in section 3. It starts with the "classical studies" of the first post-war period, followed by a description of what can be called the golden era of firm relocation studies according to the large number of studies: the nineteen sixties and seventies. This section ends with an overview of firm relocation studies of the last decades of the previous century. In section 4 we present an example an empirical study that addresses relevant firm relocation for the present era by means of a statistical model estimated on data for individual firms of the Netherlands. We conclude the chapter with a discussion of why and how the firm relocation research frontier can be pushed forward and give suggestions for further research also in relation with policy.

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Paper provided by University of Groningen, Research Institute SOM (Systems, Organisations and Management) in its series Research Report with number 02D31.

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Date of creation: 2002
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Handle: RePEc:dgr:rugsom:02d31
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  1. J.Peter Neary, 2001. "Of Hype and Hyperbolas: Introducing the New Economic Geography," Journal of Economic Literature, American Economic Association, vol. 39(2), pages 536-561, June.
  2. Nakosteen, Robert A & Zimmer, Michael A, 1987. "Determinants of Regional Migration by Manufacturing Firms," Economic Inquiry, Western Economic Association International, vol. 25(2), pages 351-62, April.
  3. Lourens Broersma & Jouke van Dijk, 2002. "Regional labour market dynamics in the Netherlands," Papers in Regional Science, Springer, vol. 81(3), pages 343-364.
  4. Scott, Allen J, 2000. "Economic Geography: The Great Half-Century," Cambridge Journal of Economics, Oxford University Press, vol. 24(4), pages 483-504, July.
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