Abstract
Weberian location theory is confined to a single firm framework, and pays very little attention to the interdependence among firms. To fill up this gap, this article incorporates oligopolistic competition into a simple Weberian model to investigate industrial location patterns when firms are shortsighted, enter sequentially, and locate once-and-for-all. It is shown that the location of a new entrant is closer to (farther away from) the market site compared with the existing firms if the industry is characterized by diseconomies (economies) of scale.
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Hong, H., Mai, CC. Sequential entry and plant location in oligopolistic competition. J Real Estate Finan Econ 3, 43–53 (1990). https://doi.org/10.1007/BF00153705
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DOI: https://doi.org/10.1007/BF00153705