Clustering Boosts Profits for Businesses, Reshaping Urban Landscapes
The study looked at how businesses in the same industry or different industries cluster together and how it affects their profits and where they choose to locate. They found that businesses in the same industry tend to make more money when they are close to other similar businesses. On the other hand, being near businesses in different industries can also be profitable, especially for smaller, more innovative companies. Overall, most businesses benefit from being near other businesses, whether they are in the same industry or not.