Abstract
Abstract This paper tries to answer the question why urban industrial landuse in Taiwan is in such a chaos: designated urban industrial zones are clearly underused, while nonindustrial districts are invaded by all sorts of manufacturing and related operations. It reports on an empirical survey conducted on factory owners in nine cities and towns. Results show that, because of the small size of a typical establishment, minimizing space-related costs is a predominant consideration in the locational decisions. The answer-mixed urban landuse—is supported by Taiwan's traditional way of living as well as the lack of effective regulation, and enhances its international competitiveness. Suggestions on zoning improvement are also touched upon.
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