Does the location of company headquarters affect regional trade flows? Evidence from Spanish regions

Francisco Morillas-Jurado, Paz Rico-Belda and Bernardí Cabrer-Borrás
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Francisco Morillas-Jurado: Universitat de València
Paz Rico-Belda: Universitat de València
Bernardí Cabrer-Borrás: Universitat de València

INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, 2026, vol. 64, issue 64, 67-89

Abstract: This paper examines trade flows between Spanish regions to assess whether the location of company headquarters affects regional trade flows. To achieve this, various gravity models are used to assess whether economic and geographical factors influence the intensity of trade flows. This study utilises European regional data, provided by the EUREGIO database, focusing specifically on Spanish regions. The results show that factors such as inertia, territorial contiguity, economic attraction between regions, and the location of company headquarters play a significant role in determining the intensity of GVA trade flows between Spanish regions.

Keywords: Trade flows; Input-Output table; gross value added; gravity model; spatial autocorrelation and distance (search for similar items in EconPapers)
JEL-codes: C67 O10 R50 (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:ris:invreg:022193

DOI: 10.38191/iirr-jorr.26.001

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