UDC 332.15:334.722; JEL P25, R32, R58
Yaskal, I. V. (2017). Pidkhody do vymiryuvannya prostorovoyi lokalizatsiyi pidpryyemnyts'koyi diyal'nosti [Approaches to measuring the spatial localization of business]. Rehional'na ekonomika - Regional Economy, 83(1), 120-128. [in Ukrainian].
Sources: 25

Authors

Resume

The article is devoted to the evaluation of business activities localization. Ukrainian scientific literature contains some aspects of considered issues. The most used indicator that allows evaluating the concentration of business activity is the localization coefficient. Author interpretation of the term «localization of business activities» has been suggested, it means process of concentration of business activity in certain points (or areas) of space, which are characterized by a high level of involvement in national and international networks of production, exchange and consumption. Increased attention to the study of the localization has been generated by the need of responding to the changes caused by the global economy. A review of the literature has been carried out about the methodological approaches to measuring the spatial localization of business activities. The potential use of these techniques in Ukrainian realities has been assessed. The strengths and weaknesses of each method have been considered. It has been shown that the next approach had an aim to neutralize the shortcomings of previous developments, as well as to take into account the existing features of the placement of business activity in space. As a result, many different methodological approaches to the evaluation of localization of economic activity are currently available, including modifications. The variety of approaches to measure the spatial location of business activities should be explained by the complexity of the investigated phenomenon, especially at current stage when scientists permanently discover previously unknown factors of the concentration in a particular place. The necessity of implementing them in a systematic monitoring process of spatial localization has been underlined. This will create the basis for regulation of these processes. Measurement of localization at the regional level allows, firstly, identifying the causes of uneven economic development, and accordingly developing of adequate instruments of these phenomena regulation (or mitigation of adverse effects). Secondly, through assessment, regulation and forecasting of business localization local authorities can influence the structure of the regional economy.

Keywords:

localization of business, localization coefficient, Gini coefficient, EG-index, D-index, distance-based methods, regulation of business localization

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