Abstract
In this paper, a location choice model is developed to analyze the newly created Japanese-owned plants (FDI) in East Asia during the period 1986-1999. Using negative binomial model, we found the following results: in the location advantages, the market size, the wage rate, the industrial agglomeration, the export ratio, and the infrastructure are determinants of location choice for Japanese Electronics Industry in East Asia. Thus, it appears that the industry-level agglomeration plays an important role in location decisions.
