The rôle of transport in firms' spatial organization: evidence from the Spanish food processing industry

This paper explores the role of transport in the spatial organization of food processing firms in Spain. A framework is developed through the analysis of the various mechanisms by which transport affects firms, and the identification of key elements and recent trends in spatial firm organization. Empirical evidence from interviews suggests that with modern logistic strategies transport is becoming more important. In a time‐based competitive environment, transport plays an important role in efforts to reduce delivery times, and increase reliability and flexibility in deliveries, as well as customer responsiveness. Not only does transport influence firms' location decisions, but also by adjusting to transport improvements firms are found to reconfigure their spatial organization.