Abstract
Abstract Spatial analysis of industrial locations is an important tool for cluster-based economic development that helps identify hot spots for attracting new businesses in a particular region. The forest product industry in North Carolina (NC) is the top employer among all manufacturing sectors, with a substantial contribution to the state economy. Using geographic information system tools, we examined the current spatial distribution of the primary and secondary forest product manufacturers (FPM) and available forest resources to identify major hot spots in NC. Additionally, by estimating count data models, this study evaluated factors influencing the location of FPMs across counties in NC. Our results suggested that primary FPMs exhibit a higher spatial dependency relative to secondary FPMs. Similarly, regression results suggested that the counties near cities with high population, hot spots of raw materials, and better county economy are more likely to host both primary and secondary FPMs in the counties of NC. The findings of this study shed light on how the clustering of forest product manufacturing firms may influence competition between FPMs, sustainable supply of raw materials, and supply-chain networks in forest-dependent rural regions.
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