Transportation/Communication Considerations in the Location of Headquarters for Multi-Establishment Manufacturing Firms / Warren G. Lavey.

By:

Lavey, Warren G

Contributor(s):

National Bureau of Economic Research

Material type: Text

TextSeries: Working Paper Series (National Bureau of Economic Research) ; no. w0052.Publication details: Cambridge, Mass. National Bureau of Economic Research 1974.Description: 1 online resource: illustrations (black and white)Online resources:

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Abstract: Usually transportation/communication (t/c) considerations appear as only two in a long list of factors which determine headquarters location patterns. The research reported here singles out t/c considerations as the logical basis for headquarters location decisions. We ask: to what degree do transportation/communication consideration explain the patterns of headquarters location? The case of manufacturing firms with five or more establishments and no manufacturing activity at the headquarters location was examined. The t/c considerations were studied in terms of the advantages of close proximity between the headquarters of a firm and the manufacturing establishments of that firm and the advantages of close proximity between the headquarters of one firm and the headquarters of other firms. The findings of this research show that the logic of headquarters location patterns is heavily dependent on t/c considerations.

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Working Paper	Biblioteca Digital	Colección NBER	nber w0052 (Browse shelf(Opens below))	Not For Loan

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Previous	nber w0049 Years and Intensity of Schooling Investing /	nber w0050 Measuring the Effect of an Anti-Discrimination Program /	nber w0051 Age, Experience and Wage Growth /	nber w0052 Transportation/Communication Considerations in the Location of Headquarters for Multi-Establishment Manufacturing Firms /	nber w0053 Progress in Human Capital Analysis of the Distribution of Earnings /	nber w0054 Bilateral Trade as a Development Instrument Under Global Trade Restrictions /	nber w0055 Social Costs of Monopoly and Regulation /	Next

August 1974.

Usually transportation/communication (t/c) considerations appear as only two in a long list of factors which determine headquarters location patterns. The research reported here singles out t/c considerations as the logical basis for headquarters location decisions. We ask: to what degree do transportation/communication consideration explain the patterns of headquarters location? The case of manufacturing firms with five or more establishments and no manufacturing activity at the headquarters location was examined. The t/c considerations were studied in terms of the advantages of close proximity between the headquarters of a firm and the manufacturing establishments of that firm and the advantages of close proximity between the headquarters of one firm and the headquarters of other firms. The findings of this research show that the logic of headquarters location patterns is heavily dependent on t/c considerations.