A discrete choice model for firm location decision

Noordini Che Man, Harry Timmerman

Research output: Research - peer-reviewArticle

Abstract

Where to locate? It is one of the most important question in locating a business in a city. In the city center, business or firms are functioning as a dominant attractor of employment and also employment locations which linked the land use and transportation system. The objective of this paper is to describe the location model of firms in Kuala Lumpur area. Two important determinants of location choice model in this study are the accessibility measures and the suitability analysis indicators. The model focuses on the statistical technique for analyzing discrete choice data by using econometric and Geographic Information System software. The findings in this paper show that agriculture, mining, electricity, gas and water, transport and finance firms' type are mostly located outside of Kuala Lumpur's Central Business District area. Meanwhile, manufacturing, construction and wholesale firms' type are located in the Central Business District area. The result of this study will highlight the use of discrete choice models in the analysis of firm location decisions which will be a foundation to facilitate town planners and decision makers to understand the firm location decisions in their region.

LanguageEnglish
Pages273-284
Number of pages12
JournalPlanning Malaysia
Volume4
Issue numberSpecial Issue 4
StatePublished - 2016

Fingerprint

location decision
firm
central business district
analysis
district
transportation system
econometrics
accessibility
finance
electricity
manufacturing
agriculture
land use
software
gas
water
decision
indicator
city centre
city

Keywords

  • Central business district
  • Discrete choice modeling
  • Firm location decision

ASJC Scopus subject areas

  • Geography, Planning and Development
  • Urban Studies

Cite this

Man, N. C., & Timmerman, H. (2016). A discrete choice model for firm location decision. Planning Malaysia, 4(Special Issue 4), 273-284.

A discrete choice model for firm location decision. / Man, Noordini Che; Timmerman, Harry.

In: Planning Malaysia, Vol. 4, No. Special Issue 4, 2016, p. 273-284.

Research output: Research - peer-reviewArticle

Man, NC & Timmerman, H 2016, 'A discrete choice model for firm location decision' Planning Malaysia, vol 4, no. Special Issue 4, pp. 273-284.
Man NC, Timmerman H. A discrete choice model for firm location decision. Planning Malaysia. 2016;4(Special Issue 4):273-284.
Man, Noordini Che ; Timmerman, Harry. / A discrete choice model for firm location decision. In: Planning Malaysia. 2016 ; Vol. 4, No. Special Issue 4. pp. 273-284
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