Location of foreign manufacturers in China: Agglomeration economies and country of origin effects

Papers in Regional ScienceVolume 82, Issue 3 p. 351-372 Location of foreign manufacturers in China: Agglomeration economies and country of origin effects* Canfei He, Canfei He The University of Memphis, 107 Johnson Hall, Memphis, TN 38152, USA (e-mail: canfeihe@memphis.edu)Search for more papers by this author Canfei He, Canfei He The University of Memphis, 107 Johnson Hall, Memphis, TN 38152, USA (e-mail: canfeihe@memphis.edu)Search for more papers by this author First published: 14 January 2005 https://doi.org/10.1007/s10110-003-0168-9Citations: 96 * Special thanks go to Jessie Poon, Zhaoyong Zhang, Breandán Ó hUallacháin and three anonymous reviewers for their constructive comments and suggestions. Any remaining errors belong to the author. AboutPDF ToolsRequest permissionExport citationAdd to favoritesTrack citation ShareShare Give accessShare full text accessShare full-text accessPlease review our Terms and Conditions of Use and check box below to share full-text version of article.I have read and accept the Wiley Online Library Terms and Conditions of UseShareable LinkUse the link below to share a full-text version of this article with your friends and colleagues. Learn more.Copy URL Share a linkShare onFacebookTwitterLinked InRedditWechat Abstract Abstract. Using data from China, this article finds that agglomeration economies derived from the clustering of manufacturing and foreign investment activities, combined with better access to markets, influence the location of foreign manufacturers. Foreign enterprises are attracted to cities with investment incentives, but they avoid high labour cost locations. The locational patterns also suggest country of origin effects. American, Hong Kong and Taiwanese manufacturers tend to value access to domestic markets, while Japanese investors favour port cities. Further analysis indicates the presence of origin of country effects at the sectoral level. Citing Literature Volume82, Issue3July 2003Pages 351-372 RelatedInformation