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An analysis of firm relocation patterns in metropolitan Denver, 1974–76

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Abstract

This paper examines geographic patterns of firm relocation in the Denver metropolitan area and factors responsible for the decision to move. A sample of 106 manufacturing, commercial, and service enterprises that relocated between 1974 and 1976 are analyzed. Major relationships between selected business operational characteristics, distance moved, and reasons for relocation are discussed. A comparative analysis of firms is undertaken to examine significant differences in relocation and new site selection factors by origin-destination, type of industry, and type of operation. Firm growth is identified as the primary stimulus for relocations and as an important force limiting spatial searches for alternative locations. Market centrality, site economics, and agglomeration economies are shown to be major constraints governing the selection of new sites. Several major issues associated with governmental policy influences upon firm relocations are considered briefly within the context of the empirical results.

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Schmidt, C.G. An analysis of firm relocation patterns in metropolitan Denver, 1974–76. Ann Reg Sci 13, 78–91 (1979). https://doi.org/10.1007/BF01284081

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