Municipalities and regions in locational competition – Relevant factors for success and political implications

Improving the business conditions of municipalities and regions, competitiveness concerning the location of new businesses and attraction of highly qualified labor are considered classical topics within regional economics and industrial location theory. Locational competition has intensified over re...

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Main Authors: Thomas Döring, Eithne Knappitsch, Birgit Aigner
Format: Article
Language:English
Published: University of Ljubljana Press (Založba Univerze v Ljubljani) 2010-10-01
Series:Central European Public Administration Review
Subjects:
Online Access:https://journals.uni-lj.si/CEPAR/article/view/20309
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author Thomas Döring
Eithne Knappitsch
Birgit Aigner
author_facet Thomas Döring
Eithne Knappitsch
Birgit Aigner
author_sort Thomas Döring
collection DOAJ
description Improving the business conditions of municipalities and regions, competitiveness concerning the location of new businesses and attraction of highly qualified labor are considered classical topics within regional economics and industrial location theory. Locational competition has intensified over recent years in the wake of the process of globalization, the general development towards a knowledge-based economy, and the dynamic of the international and the national division of labor. This analysis will be carried out in three steps. Firstly, traditional (e.g. industrial location theory) and newer economic approaches (e.g. new economic growth theory, innovative milieu approach etc.) will be outlined by means of discussing their insights and implications regarding the process of industrial location. This discussion shows that modern economies are increasingly developing into service and knowledge societies, in which factors formerly viewed as relevant within locational competition are becoming less important. Secondly, the paper analyzes the empirical evidence for these theoretical findings. According to existing empirical work, the evidence suggests that present studies mainly support the theoretically derived thesis of a shift in the classical ranking of locational factors. Finally, the paper seeks to explore conclusions concerning the design of local and regional economic policy at multiple governance levels.
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spelling doaj-art-c7c67a40389a45f9b1f85c036a8b0c812025-01-22T10:56:06ZengUniversity of Ljubljana Press (Založba Univerze v Ljubljani)Central European Public Administration Review2591-22402591-22592010-10-018310.17573/cepar.v8i3.154Municipalities and regions in locational competition – Relevant factors for success and political implicationsThomas DöringEithne KnappitschBirgit AignerImproving the business conditions of municipalities and regions, competitiveness concerning the location of new businesses and attraction of highly qualified labor are considered classical topics within regional economics and industrial location theory. Locational competition has intensified over recent years in the wake of the process of globalization, the general development towards a knowledge-based economy, and the dynamic of the international and the national division of labor. This analysis will be carried out in three steps. Firstly, traditional (e.g. industrial location theory) and newer economic approaches (e.g. new economic growth theory, innovative milieu approach etc.) will be outlined by means of discussing their insights and implications regarding the process of industrial location. This discussion shows that modern economies are increasingly developing into service and knowledge societies, in which factors formerly viewed as relevant within locational competition are becoming less important. Secondly, the paper analyzes the empirical evidence for these theoretical findings. According to existing empirical work, the evidence suggests that present studies mainly support the theoretically derived thesis of a shift in the classical ranking of locational factors. Finally, the paper seeks to explore conclusions concerning the design of local and regional economic policy at multiple governance levels.https://journals.uni-lj.si/CEPAR/article/view/20309local economic developmentregional economic developmentlocational competitionhard location factors
spellingShingle Thomas Döring
Eithne Knappitsch
Birgit Aigner
Municipalities and regions in locational competition – Relevant factors for success and political implications
Central European Public Administration Review
local economic development
regional economic development
locational competition
hard location factors
title Municipalities and regions in locational competition – Relevant factors for success and political implications
title_full Municipalities and regions in locational competition – Relevant factors for success and political implications
title_fullStr Municipalities and regions in locational competition – Relevant factors for success and political implications
title_full_unstemmed Municipalities and regions in locational competition – Relevant factors for success and political implications
title_short Municipalities and regions in locational competition – Relevant factors for success and political implications
title_sort municipalities and regions in locational competition relevant factors for success and political implications
topic local economic development
regional economic development
locational competition
hard location factors
url https://journals.uni-lj.si/CEPAR/article/view/20309
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AT eithneknappitsch municipalitiesandregionsinlocationalcompetitionrelevantfactorsforsuccessandpoliticalimplications
AT birgitaigner municipalitiesandregionsinlocationalcompetitionrelevantfactorsforsuccessandpoliticalimplications