Firm Relocation and Accessibility of Locations: Empirical Results from the Netherlands

• Published in: Transportation research record 2005, Vol.1902 (1), p.35-43
• Main Authors: De Bok, Michiel, Sanders, Frank
• Format: Article
• Language: English
• ISSN: 0361-1981; 2169-4052
• DOI: 10.1177/0361198105190200105

This paper describes the empirical results of the estimation of discrete choice models for the location decision of moving firms in a spatial disaggregated environment. Systematic choice sets are applied to account for the choice context of each relocated firm. Each location alternative is described by a set of spatial attributes, including accessibility variables and the migration distance between the origin of the moving firm and the alternative. The firms analyzed are categorized by their mobility profile. These mobility profiles are homogeneous groups of firms with similar mobility characteristics. The models are estimated on an extensive revealed-preference data set with firm migration observations between 1988 and 1997 in the province of South Holland in the Netherlands. The results indicate that it is essential for modeling the spatial behavior of relocating firms to account for the original location. The accessibility of locations appears to be of modest importance in the location preference of firms; measures describing the distance to transport infrastructure appear to have the most significant influence. Finally, distinctive taste preferences are observed in firms with different mobility profiles and of different sizes.