Silke Zöllner

This paper examines how the growth and decline of agglomerations and peripheries in metropolitan regions can be understood in the context of Advanced Producer Service (APS) firm decisions, regional conditions and institutional policies. Focusing on Germany, it responds to divergent quantitative findings for Munich and Dresden and to outcome-oriented studies documenting spatial patterns, leaving underlying mechanisms under-specified. This study adopts an embedded qualitative case study design, analysing Munich and Dresden as contrasting metropolitan subunits within a shared national framework. Drawing on documentation, archival records and expert interviews with economic development and regional governance actors, it uses explanation building and template analysis to link empirical material to an analytical framework integrating firm, location and public authority perspectives. The results identify four recurrent configurations in the firm–location–policy nexus: reinforcing agglomeration, emerging limits to agglomeration, balancing peripheral growth and reinforced peripheral decline. These configurations show how the same metropolitan region can simultaneously exhibit core growth, constraints on further concentration, selective peripheral upgrading and cumulative peripheral disadvantage. Conceptually, this paper develops a mechanism-based account of APS-driven metropolitan development and proposes refined propositions that help reinterpret outcome-based studies on Munich and Dresden. More broadly, the configurations offer an analytical lens for analysing APS location dynamics and metropolitan governance challenges in other polycentric and federal contexts.

This paper challenges the traditional perspective of a territorial core–periphery pattern as an organizing principle of space by introducing a relational perspective through an empirical approach. We study spatial processes of knowledge creation among advanced producer services in Germany between 2009 and 2019. We use a unique longitudinal dataset to analyse if German regions have become more integrated into the intra-firm location networks nationally and globally, and how this translates into the processes of centralization and peripheralization. The current conceptualization of core–periphery in Germany is too static and does not reflect the economic development of the regions. We find that there is no trend of urban areas becoming more integrated and peripheral areas less integrated into these networks. Instead, our research finds a discrepancy between the federal territorial classification and the functional orientation of German regions. Regions classified as peripheral have not generally decreased in connectivity to other regions. In contrast, some have increased their connectivity and have become more central in relational terms. Overall, we identified peripheralization and centralization as a relational process with dynamic, overlapping and trans-scalar networks.

Multi-location knowledge-intensive firms span their value chains and thus their locations across space. Increased globalization alters the spatial configuration of such networks of knowledge creation. Longitudinal social network analysis allows detecting temporal changes in the arrangement of nodes and edges in the network and resulting changes in the overall structure. We use this approach to study for Germany the spatio-temporal dynamics of knowledge-intensive services firms – advanced producer services (APS) – in the years between 2009 and 2019. Multi-location APS firms are considered as vanguard of spatial structural change and thus lending to study their location choice behavior. A common approach is to analyze a one-mode intercity network where cities are the nodes. We take a different approach and include the firms’ perspectives. We work directly with the original data structure of a two-mode network including cities and firms as two node sets and we apply stochastic actor-oriented models for network dynamics. Results show that the spatio-temporal dynamics are characterized by both agglomeration and network economies. On a local scale, APS firms continue their location expansion over time and concentrate in agglomerations where many other APS firms and a greater availability of workforce are present. Simultaneously, they also choose new locations in agglomerations further apart from their present locations. On a supra-local scale, the network grows denser over time. Agglomerations that are attractive for APS firms in 2009 become even more attractive in 2019. Our analysis contributes to an understanding of how interactions amongst cities and firms on a local scale give rise to the empirically observed network patterns on a supra-local scale.