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Japanese service sector multinationals and the hierarchy of Pacific Rim cities

Japanese service sector multinationals and the hierarchy of Pacific Rim cities The explosive growth of Japanese service sector activities overseas since 1985 has had a significant impact on Pacific Rim cities. However, previous accounts of Japanese direct foreign investment in services have been constrained by official statistics which provide comparative information only at a national level. This paper uses establishment level data to assess changes in the spatial patterns of Japanese service firms among 35 cities as well as changes in the hierarchy of cities in the Pacific during the years 1985 to 1995. The period saw important changes in Japan’s economy such as the emergence of a ‘bubble economy’ up to 1990 and domestic recession after that. The results show the importance of Hong Kong, Singapore and Los Angeles as centres of Japanese service firms. However, the analysis indicates that a shift occurred in Japanese service sector focus over the study period, across the Pacific Rim from North America and Oceania to cities of the Asia‐Pacific region. Along with that shift the concentration of services in just a few cities has remained unchanged, even though some new cities have emerged in importance. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Asia Pacific Viewpoint Wiley

Japanese service sector multinationals and the hierarchy of Pacific Rim cities

Asia Pacific Viewpoint , Volume 39 (2) – Aug 1, 1998

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Publisher
Wiley
Copyright
Copyright © 1998 Wiley Subscription Services, Inc., A Wiley Company
ISSN
1360-7456
eISSN
1467-8373
DOI
10.1111/1467-8373.00061
Publisher site
See Article on Publisher Site

Abstract

The explosive growth of Japanese service sector activities overseas since 1985 has had a significant impact on Pacific Rim cities. However, previous accounts of Japanese direct foreign investment in services have been constrained by official statistics which provide comparative information only at a national level. This paper uses establishment level data to assess changes in the spatial patterns of Japanese service firms among 35 cities as well as changes in the hierarchy of cities in the Pacific during the years 1985 to 1995. The period saw important changes in Japan’s economy such as the emergence of a ‘bubble economy’ up to 1990 and domestic recession after that. The results show the importance of Hong Kong, Singapore and Los Angeles as centres of Japanese service firms. However, the analysis indicates that a shift occurred in Japanese service sector focus over the study period, across the Pacific Rim from North America and Oceania to cities of the Asia‐Pacific region. Along with that shift the concentration of services in just a few cities has remained unchanged, even though some new cities have emerged in importance.

Journal

Asia Pacific ViewpointWiley

Published: Aug 1, 1998

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