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Manufacturing Site Location Preferences of Small Agribusiness Firms

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  • Kim Jensen
  • Greg Pompelli

Abstract

This study examined the perceived importance of site location characteristics identified in a 1999 survey of 198 small Tennessee agribusinesses. Responding firms ranked proximity to buyers/customers, labor, and raw materials above other factors. However, the relative importance of all factors varied by industry subsector. For example, compared to food processing firms, textile milling and lumber/wood products firms perceived community incentives as less important. Projected firm growth and current location also affected the perceived importance of site location factors. The diversity of perceived factor importance across agribusiness subsectors supports the idea that incentives and promotion of site location factors to attract small agribusiness may need to be tailored to meet specific firms’ needs.

Suggested Citation

  • Kim Jensen & Greg Pompelli, 2002. "Manufacturing Site Location Preferences of Small Agribusiness Firms," Journal of Small Business Management, Taylor & Francis Journals, vol. 40(3), pages 204-218, July.
    • Handle: RePEc:taf:ujbmxx:v:40:y:2002:i:3:p:204-218
    DOI: 10.1111/1540-627X.00051
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