In the framework of a simple regional multiplier model, the operation of a new enterprise creates additional regional income due to its regional exporting activity, which may be considered as the first round of impact. In a second round, the additional expenditures of the firm in the local economy will create more income (Skuras et al. (2005) Eur. Urb. & Reg. Studs 12, 4). See Keet in J. Adésínà et al. (2006) and A. Hirsch (2005), both on African topics, and Bathelt (2007) Geog. Compass 1, 6 on a knowledge-based multiplier model of clusters.
Subjects: Earth Sciences and Geography.