Mapping the journey: Tracing the complete relocation trajectories of high-tech firms in the Pearl River Delta, China

In the era of the knowledge economy, the relocation processes of high-tech firms are crucial for understanding the driving forces behind the spatial flow and reorganization of innovation resources. However, existing literature primarily focused on one-time relocation events of large manufacturing enterprises, failing to uncover the evolving mechanisms and patterns during the firm’s growth. This study aims to fill this gap by proposing an analytical framework for tracking the complete relocation trajectories of high-tech firms from three key perspectives: urbanization economies, agglomeration economies, and place-based policy factors. Taking the case of China’s rapidly prosperous Pearl River Delta (PRD) region, we construct the database on high-tech firm relocations to identify relocation characteristics, mechanisms and spatial patterns. The findings indicate that (1) 45 % of high-tech firms in PRD experienced relocation, with 22 % undergoing multiple relocation processes; the average duration of relocation increases with the number of relocations, and the relocation rate follows a logarithmic relationship with firm age. (2) The relocation distribution gradually spread outward from both sides of the Pearl River, forming a “core-periphery” pattern, with hot spots concentrated in Shenzhen, Dongguan, Guangzhou, Foshan, Zhongshan, and Zhuhai. (3) From the perspective of spatial association, the analysis reveals that firm relocation patterns include migrations within urbanization areas, between industrial agglomerations, and across regions outside special economic zones. Also, it reveals that high-tech firms have the relocation path of expanding toward the urban periphery, correctively returning to industrial agglomerations and progressive upgrading in policy spaces during firm’s life cycle.