Abstract
Geoeconomics plays a vital role in encouraging goods and services on newmarketplaces. Selecting a “sweet-spot” for new businesses is one of the biggest challenges fornew entrepreneurs, enterprises, and investors, especially in the restaurant industry. This paperaims to present a novel geospatial methodological approach for new businesses using censusdata to answer an important business question: Where I should start my new Asian cuisinerestaurant? State and zip code tabulation area (ZCTA) level data on race and income,downloaded from the US census website, were applied for the analysis. ArcGIS software wasused as a geospatial analytics tool for hotspot analysis and for producing maps. Based on thestate level standard deviation map, California was found to have the second-highest relativeAsian population as gauged by the standard deviation (Std. Dev.) from the mean (1.5-2.5 Std.Dev.), after Hawaii (>2.5 Std. Dev.), and followed by New Jersey, New York, Nevada, andWashington. The state of California was selected for further investigation. Seventeen of 58counties were found to be Asian community hotspots in California. A majority (48%, 854 of 1763)of the ZCTA were found to be Asian community hotspots in these zip codes in this state, andthis was statistically significant. Only 9% (163 of 1763) of the ZCTA were not statisticallysignificant Asian community hotspots, while 43% of the ZCTA were found to be statisticallysignificant coldspots of Asian communities in California. Among the 17 hotspot counties of Asiancommunities, 14 were also derived as hotspots of mean income. The road layer map revealedthat these ZCTAs are well connected to major roads in the state. New entrepreneurs,enterprises, and investors, those who are willing to open and or invest in new restaurants, butare not sure about the location, could target hotspot ZCTAs in these counties for Asian cuisine.Integrating ArcGIS with census data for producing maps of statistically significant potentialbusiness locations could be used as an important decision-making tool for opening newbusinesses.
Highlights
Geoeconomics is described as a theoretical and an applied science, and a methodical trend in socioeconomic geography, and can be applied in temporal, spatial, and political economic systems encouraging goods and services in new marketplaces (Alayev 1983, Anokhin and Lachininskii 2015)
The analysis revealed that the highest relative percentage (38%) of people identifying as Asian live in Hawaii, followed by 13% in California, 8.6% in Ney Jersey, 7.6% in New York, 7.4% in Nevada, and 7.3% in Washington
The zip code tabulation area (ZCTA) is the smallest census unit and may offer more specific information on the socioeconomics, demographics, and businesses of those who live within the ZCTA boundaries
Summary
Geoeconomics is described as a theoretical and an applied science, and a methodical trend in socioeconomic geography, and can be applied in temporal, spatial, and political economic systems encouraging goods and services in new marketplaces (Alayev 1983, Anokhin and Lachininskii 2015). Since geoeconomics lies on a trifold of scientific domains, including sociology, geography, and economics, each component plays a vital role in promoting new economic activities at local and global levels The geoeconomic space, which is a complex network transborder system, is vital in promoting new business activities (Gay 2012, Søilen 2012, Anokhin and Lachininskii 2015). The economic, legal, political, infrastructure, ecological, technical, cultural, and social factors are vital macroenvironments that help in business decisionmaking processes (Søilen 2012)
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
