Wednesday 21 December 2016

A mind mapping-based literature review on urban agglomeration

A mind mapping-based literature review on urban agglomeration

Joseph Kim-keung Ho
Independent Trainer
Hong Kong, China

Abstract: The topic of urban agglomeration is a main one in housing studies, a subject that has been taught by the writer. This article makes use of the mind mapping-based literature review (MMBLR) approach to render an image on the knowledge structure of urban agglomeration. The finding of the review exercise is that its knowledge structure comprises five main themes, i.e., (a) Definitions  of urban agglomeration, (b) Mechanisms and theories related to urban agglomeration, (c) Typologies related to urban agglomeration, (d) Issues and concerns related to urban agglomeration, and, finally, (e) Impacts of urban agglomeration. There is also a set of key concepts identified from the urban agglomeration literature review. The article offers some academic and pedagogical values on the topics of urban agglomeration, literature review and the mind mapping-based literature review (MMBLR) approach.
Key words: literature review, mind map, the mind mapping-based literature review (MMBLR) approach, urban agglomeration

Introduction
Urban agglomeration is a main topic in housing studies[1]. It is of academic and pedagogical interest to the writer who has been a lecturer on housing studies for some tertiary education centres in Hong Kong. In this article, the writer presents his literature review findings on urban agglomeration using the mind mapping-based literature review (MMBLR) approach. This approach was proposed by this writer this year and has been employed to review the literature on a number of topics, such as supply chain management, strategic management accounting and customer relationship management (Ho, 2016). The MMBLR approach itself is not particularly novel since mind mapping has been employed in literature review since its inception. The overall aims of this exercise are to:
1.      Render an image of the knowledge structure of urban agglomeration via the application of the MMBLR approach;
2.      Illustrate how the MMBLR approach can be applied in literature review on an academic topic, such as urban agglomeration.
The findings from this literature review exercise offer academic and pedagogical values to those who are interested in the topics of urban agglomeration, literature review and the MMBLR approach. Other than that, this exercise facilitates this writer’s intellectual learning on these three topics. The next section makes a brief introduction on the MMBLR approach. After that, an account of how it is applied to study urban agglomeration is presented.

On mind mapping-based literature review
The mind mapping-based literature review (MMBLR) approach was developed by this writer this year (Ho, 2016). It makes use of mind mapping as a complementary literature review exercise (see the Literature on mind mapping Facebook page and the Literature on literature review Facebook page). The approach is made up of two steps. Step 1 is a thematic analysis on the literature of the topic chosen for study. Step 2 makes use of the findings from step 1 to produce a complementary mind map. The MMBLR approach is a relatively straightforward and brief exercise. The approach is not particularly original since the idea of using mind maps in literature review has been well recognized in the mind mapping literature. The MMBLR approach is also an interpretive exercise in the sense that different reviewers with different research interest and intellectual background inevitably will select different ideas, facts and findings in their thematic analysis (i.e., step 1 of the MMBLR approach). Also, to conduct the approach, the reviewer needs to perform a literature search beforehand. Apparently, what a reviewer gathers from a literature search depends on what library facility, including e-library, is available to the reviewer. The next section presents the findings from the MMBLR approach step 1; afterward, a companion mind map is provided based on the MMBLR approach step 1 findings.

Mind mapping-based literature review on urban agglomeration: step 1 findings
Step 1 of the MMBLR approach is a thematic analysis on the literature of the topic under investigation (Ho, 2016). In our case, this is the urban agglomeration topic. The writer gathers some academic articles from some universities’ e-libraries as well as via the Google Scholar. With the academic articles collected, the writer conducted a literature review on them to assemble a set of ideas, viewpoints, concepts and findings (called points here). The points from the urban agglomeration literature are then grouped into five themes here. The key words in the quotations are bolded in order to highlight the key concepts involved.

Theme 1: Definitions of urban agglomeration
Point 1.1.              “…the existence of urban areas is explained in terms of increasing returns to scale at the city level, which is referred to as urban agglomeration economies comprising localization economies and urbanization economies” (Tabuchi, 1998);
Point 1.2.              During the 19th Century, in Belgium and neighbouring countries, people and houses were said to be ‘‘agglomerated” …. if they clung to one another and were so closely knitted together as to make up urban texture or what was then called the city’s extensions” (Zitouni, 2012);
Point 1.3.              “The term ‘‘agglomeration economies’’ is used to denote the mechanisms that drive employees and firms to co-locate geographically” (Jofre-Monseny, Marín-Lópex and Viladecans-Marsal, 2011);
Theme 2: Mechanisms and theories related to urban agglomeration
Point 2.1.              “….‘Spatial differentiation is a universal characteristic of capitalist urbanization although its degree and form depend on the specific conditions of different societies’…” (Phelps and Ozawa, 2003);
Point 2.2.              Agglomerating in a city, firms can exchange information by face-to-face communications and reduce various kinds of transaction costs between firms. In addition, consumers can enjoy easy access to a variety of differentiated products. These are typical positive externalities inducing urban concentration of firms and consumers” (Tabuchi, 1998);
Point 2.3.              Central cities have retained their position at the forefront of the structural transformation of advanced economies from industrial to post-industrial economies. However, an increasingly complex pattern of specialization within and between urban areas has emerged with high value-added office functions being retained in city centres and with suburban centres acquiring back-office functions …. There are also some signs of instability in this hierarchical division of labour with selective decentralization of high-order service functions” (Phelps and Ozawa, 2003);
Point 2.4.              “Consumers use space for housing at a location and commute to the city center in a monocentric city setting. Land market equilibrium yields land rent, land use, and population density as functions of distance from the city center” (Tabuchi, 1998);
Point 2.5.              “In pre-industrial societies, where factors are relatively unspecialized, economic functions and organizations tend to be uniform, simple and scattered . . . the small urban nuclei which often develop . . . are essentially service centres of an agrarian way of life . . . the bulk of so-called primary and secondary activities remain undifferentiated in space and are tied to the ‘self-sufficient’ hinterland” (Phelps and Ozawa, 2003);
Point 2.6.              “Major accounts of the growth of urban systems and urban industrial agglomeration have drawn attention to the intimate relation of the principles of specialization and division of labour to the expansion of capitalism ….. The evolving division of labour in capitalism results in an increasing ‘roundaboutness’ …. or ‘abstractness’ …. of the economy at every spatial scale” (Phelps and Ozawa, 2003);
Point 2.7.              The fundamental idea underlying urban economics is that the economic performance of different urban poles and their regions is influenced by the number, size and functional composition of the cities as well as by their urban hierarchy” (Agnoletti et al., 2015);
Point 2.8.              Young individuals prefer to work in cities with a thriving business environment and are willing to incur the associated congestion costs, while retirees primarily care about consumption opportunities and tend to settle in places, where these are abundant” (Grafeneder-Weissteiner and Prettner, 2013);
Point 2.9.              “..local protectionism among China’s various regions obstructs China’s industrial agglomeration while Marshallian externalities facilitate the process of spatial concentration of manufacturing industries” (Lu and Tao, 2007);
Point 2.10.         “…agglomeration economies also operate on the demand side. …  cities offer a great number of people a large assortment of consumption goods and services. ….the advantages associated with variety …. as being so large that the question is changed from “Why live in the city?” to “Why not live in the city?” (Ottaviano and Thisse, 2004);
Point 2.11.         “…agglomerations of similar firms reduce consumer search costs …. As spatial concentration fosters the discovery and evaluation of a variety of offerings across different firms. Reduced search costs for consumers increases the probability that consumers will visit the agglomeration for their purchase relative to isolated locations, leading to higher demand for co-located firms” (McCann and Folta, 2009);
Point 2.12.         “…four basic locational patterns that can be created by processes of economic growth: localisation, whereby new industry arises at a series of points away from old industrial areas; clustering, such that one start-up area surges ahead of others; dispersal-growth peripheries, in which peripheries of new industries arise away from core areas; and shifting centres, where new centres of industry rise up to challenge the old” (Coe, 2001);
Point 2.13.         “…the efficient size of urban poles varies according to the different contexts, being affected by the functions, dimensions, reciprocal distances and levels of interaction with other cities. This sort of consideration is common to the theory of city networks(Agnoletti et al., 2015);
Point 2.14.         “…the founding mechanism posits that geographic concentration can also persist if industry clusters attract more investments than other places …. Given the promise of exclusive economic gains from collocation, investors are more likely to found their businesses within industry clusters.  Moreover, entrepreneurs in industry clusters are embedded in local social networks and are therefore more likely to observe and explore investment opportunities” (Wang, Madhok and Li, 2014);
Point 2.15.         “…the rationale behind a territorial organization of human activities (number and size of cities, mutual relationships, and so on) changes over time together with the levels of technological development, the ways of transport, the dominant productive systems and the size of competition markets” (Agnoletti et al., 2015);
Point 2.16.         At a high level of abstraction spatial imbalances have two possible explanations. First of all, uneven economic development can be seen as the result of the uneven distribution of natural resources. This is sometimes called ‘first nature’ …. The aim of spatial economics is precisely to understand what are the economic forces that, after controlling for first nature, account for ‘second nature’, which emerges as the outcome of human beings’ actions to improve upon the first one” (Ottaviano and Thisse, 2004);
Point 2.17.         Ever since Marshall, it has been recognized that the geographical concentration of firms and workers within clusters may be explained by mutually reinforcing external effects” (Ottaviano and Thisse, 2004);
Point 2.18.         Excess concentration in large cities brings negative externalities due to congestion, such as longer commuting costs and scarce land for housing and offices. These space constraints work as a dispersion force” (Tabuchi, 1998);
Point 2.19.         For geographers and economists, urban agglomeration remains an enduring feature of the industrial landscape and a perennial source of theoretical and empirical interest. Curiously, despite this long-standing interest, there has been a remarkable tendency to explain agglomeration with reference to Alfred Marshall’s trinity of external economies and industrial district model” (Phelps and Ozawa, 2003);
Point 2.20.         “Recent geographical explorations of the division of labour have reinvigorated discussion of the role of external economies and agglomeration in the specialization and differentiation of cities and regions from one another” (Phelps and Ozawa, 2003);
Point 2.21.         Spatial concentrations of related firms may ….be explained by the presence of endogenous localization or specialization economies. Marshall ….  enumerates four sources of agglomeration externalities for geographic concentrations of related firms: (1) greater access to specialized inputs; (2) greater access to specialized labour; (3) knowledge/ technology spillovers; and (4) access to greater demand” (McCann and Folta, 2009);
Point 2.22.         Spatial concentrations of unrelated firms may benefit from urbanization economies. These externalities flow from the geographic concentration of aggregate economic activity, such as cities. Firms benefit from urbanization (or diversification) externalities because industrial diversity fosters fertilization of ideas across industries” (McCann and Folta, 2009);
Point 2.23.         Specialization and division of labour are important organizing principles which mediate between technical advance and spatial form” (Phelps and Ozawa, 2003);
Point 2.24.         “The classification of agglomeration mechanisms which is most often used in the (empirical) literature is due to Marshall…., who described three mechanisms: labor market pooling, input sharing and knowledge spillovers. A densely-populated local labor market (labor market pooling) facilitates the flows of workers across firms in the presence of firm-specific shocks …. and enhances employer–employee matches ….. The concentration of firms in a geographical area also enables firms to share input suppliers (input sharing) and facilitates the transmission of knowledge (knowledge spillovers)” (Jofre-Monseny, Marín-Lópex and Viladecans-Marsal, 2011);
Point 2.25.         “The great bulk of population...must work and must consume most of what they earn where they earn it. With them consumption and production is practically a simultaneous process and must be carried on for the most part in the same place” (Ottaviano and Thisse, 2004);
Point 2.26.         The survival mechanism maintains that firms collocating with one another obtain economic gains by sharing common resources such as natural advantage …, skilled labor, specialized suppliers, and knowledge spillovers” (Wang, Madhok and Li, 2014);
Point 2.27.         There are two basic ideas that underpin Krugman’s analysis of regional agglomerations: first, the idea that regional specialisation evolves for essentially accidental reasons; and second, the idea that, once established, these regions are sustained by external economies of scale” (May, Mason and Pinch, 2001);
Point 2.28.         “In the 1950s, another distinction emerged in a partial reconciliation of the concept of external economies with mainstream neoclassical economics: namely, a distinction between pecuniary external economies as the quantifiable byproduct of market interactions on the one hand and the intangible non-quantifiable technological externalities produced from non-market interactions on the other …. Here, pecuniary externalities roughly equate to urbanization economies and technological externalities to Marshallian or localization economies” (Phelps and Ozawa, 2003);
Theme 3: Typologies related to urban agglomeration
Point 3.1.              “…in the 1930s and up to the 1960s (perhaps reflecting the increasing scale of urbanization by that time), a distinction was being drawn in the geographic literature between such industry-specific localization economies and urbanization economies that are a product of industrial diversity” (Phelps and Ozawa, 2003);
Point 3.2.              A network city evolves when two or more previously independent cities, potentially complementary in function, strive to cooperate and achieve significant scope economies aided by fast and reliable corridors of transport and communication infrastructure” (Batten, 1995);
Point 3.3.              Creative network cities place a higher priority on knowledge-based activities like research, education and creative arts. The cooperative mechanisms may resemble those of inter-firm networks in the sense that each urban player stands to benefit from the synergies of interactive growth via reciprocity, knowledge exchange and unexpected creativity” (Batten, 1995);
Point 3.4.              Social scientists have long noticed that firms engaged in the same business tend to be persistently collocated with one another in a small number of places, a phenomenon labelled as ‘economies of agglomeration’ by Alfred Marshall ….More recently, the term ‘industry cluster’ was coined to refer to places where firms and related institutions in an industry are collocated…” (Wang, Madhok and Li, 2014);
Point 3.5.              …. the now standard classification of agglomeration economies: (a) localization economies, which are external to firms but internal to an industry and (b) urbanization economies, which are external to industries and depend on the overall scale and scope of the economic activity in one location” (Ottaviano and Thisse, 2004);
Point 3.6.              “…there are many instances where demand and supply-side agglomerations appear to overlap geographically” (McCann and Folta, 2009);
Point 3.7.              Since the early 1990s, several interesting studies have emerged suggesting that there are many types of successful local agglomeration that co-exist and overlap in complex ways in the contemporary world economy” (Coe, 2001);
Point 3.8.              “When discussing the polycentricity of global city-regions, it becomes clear that economists and geographers are in agreement on at least one thing. Although relevant in part, traditional (Marshallian) theories of agglomeration are insufficient to explain the increasingly spatially diffuse forms of service-centred agglomeration” (Phelps and Ozawa, 2003);
Point 3.9.              “…agglomerations of related firms that draw benefits from the supply-related externalities of increased access to specialized labour, specialized inputs, and knowledge spillovers are fundamentally different from those that draw benefits from heightened demand realized through reduction in consumer search costs” (McCann and Folta, 2009);
Theme 4: Issues and concerns related to urban agglomeration
Point 4.1.              “..there are significant weaknesses inherent in the use of the concept of external economies to account for agglomeration. A degree of agglomeration can, for example, be produced from internal economies in the absence of external effects” (Phelps and Ozawa, 2003);
Point 4.2.              The agglomeration of economic activities is a phenomenon as old as cities themselves …  and as such it is tempting to envision a set of common processes underlying this enduring phenomenon. Indeed, in differing ways and for differing reasons, economists and geographers have at times lost sight of some important contrasts in the form and functioning of agglomerations apparent over time” (Phelps and Ozawa, 2003);
Point 4.3.              “Many papers have tested and quantified the importance of these economies [agglomeration economies] Some analyze their influence on the geographical concentration of economic activities, whereas others test their effect on wages. Despite the accumulation of a substantial body of literature, further empirical work is needed to understand more precisely the mechanisms through which agglomeration economies work” (Jofre-Monseny, Marín-Lópex and Viladecans-Marsal, 2011);
Theme 5:  Impacts of urban agglomeration
Point 5.1.              “….the benefits of agglomeration economies arising in large urban settlements tend to be manifested in firms’ technical efficiency, which is higher than that of firms located in medium sized and small towns” (Mtra, and Sato, 2007);
Point 5.2.              A growing empirical literature has established that the spatial concentration of manufacturing activity enhances productivity and growth” (Rosenthal and Strange, 2001);
Point 5.3.              “..if a region had a high concentration in a particular industry, then a sudden exogenous shock would lead to higher unemployment than in a more diversified region with many industries” (Mtra, and Sato, 2007);
Point 5.4.              … in recent years urban development has often been accompanied by higher costs of sprawl and spoil of territorial resources. Increasing returns of scale, agglomeration and urbanization economies can, in fact, generate high land consumption and waste of territorial resources. In addition, urbanized land has grown independently from economic and population growth” (Agnoletti et al., 2015);
Point 5.5.              “…agglomeration can be thought of as the territorial counterpart of economic growth” (Crawley and Hill, 2011);
Point 5.6.              “…agglomeration economies lead to higher growth because with the movement of the economy from dispersion to agglomeration, innovation follows at a much faster pace” (Mtra, and Sato, 2007);
Point 5.7.              “…large cities have agglomeration economies that raise the productivity and wages of most, if not all, workers. High urban wages may also reflect disamenities such as pollution and congestion” (Adamson, Clark and Patridge, 2004):
Point 5.8.              “…manufacturing agglomeration has increased in Wales at a time when manufacturing employment is decreasing” (Crawley and Hill, 2011);
Point 5.9.              China has witnessed rapid urban growth over the past two decades, which has resulted in vast ecological and environmental issues, both in urban and peri-urban areas” (Tan et al., 2014);


Each of them has a set of associated points (i.e., idea, viewpoints, concepts and findings). Together they provide an organized way to comprehend the knowledge structure of the urban agglomeration topic. The bolded key words in the quotation reveal, based on the writer’s intellectual judgement, the key concepts examined in the urban agglomeration literature. The referencing indicated on the points identified informs the readers where to find the academic articles to learn more about the details on these points. The process of conducting the thematic analysis is an exploratory as well as synthetic learning endeavour on the topic’s literature. Once the structure of the themes, sub-themes[2] and their associated points are finalized, the reviewer is in a position to move forward to step 2 of the MMBLR approach. The MMBLR approach step 2 finding, i.e., a companion mind map on urban agglomeration, is presented in the next section.

Mind mapping-based literature review on urban agglomeration: step 2 (mind mapping) output
By adopting the findings from the MMBLR approach step 1 on urban agglomeration, the writer constructs a companion mind map shown as Figure 1.




Referring to the mind map on urban agglomeration, the topic label is shown right at the centre of the map as a large blob. Five main branches are attached to it, corresponding to the five themes identified in the thematic analysis. The links and ending nodes with key phrases represent the points from the thematic analysis. The key phrases have also been bolded in the quotations provided in the thematic analysis. As a whole, the mind map renders an image of the knowledge structure on urban agglomeration based on the thematic analysis findings. Constructing the mind map is part of the learning process on literature review. The mind mapping process is speedy and entertaining. The resultant mind map also serves as a useful presentation and teaching material. This mind mapping experience confirms the writer’s previous experience using on the MMBLR approach (Ho, 2016). Readers are also referred to the Literature on literature review Facebook page and the Literature on mind mapping Facebook page for additional information on these two topics.

Concluding remarks
The MMBLR approach to study urban agglomeration provided here is mainly for its practice illustration as its procedures have been refined via a number of its employment on an array of topics (Ho, 2016). No major additional MMBLR steps nor notions have been introduced in this article. In this respect, the exercise reported here primarily offers some pedagogical value as well as some systematic and stimulated learning on urban agglomeration. Nevertheless, the thematic findings and the image of the knowledge structure on urban agglomeration in the form of a mind map should also be of academic value to those who research on this topic.


Bibliography
1.      Adamson, D.W., D.E. Clark and M.D. Patridge. 2004. “Do urban agglomeration effects and household amenities have a skills bias?” Journal of Regional Science 44(2): 201-223.
2.      Agnoletti, C., C. Bocci, S. Iommi, P. Lattarulo and D. Marinari. 2015. “First- and Second-Tier Cities in Regional Agglomeration Models” European Planning Studies 23(6), Routledge: 1146-1168.
3.      Batten, D.F. 1995. “Network Cities: Creative Urban Agglomerations for the 21st Century” Urban Studies 32(2): 313-327.
4.      Coe, N.M. 2001. “A Hybrid Agglomeration? The Development of a Satellite-Marshallian Industrial District in Vancouver’s Film Industry” Urban Studies 38(10): 1753-1775.
5.      Crawley, A.J. and S. Hill. 2011. “Is industrial agglomeration increasing? New evidence from a small open economy” Journal of Economic Studies 38(6), Emerald: 725-740.
6.      Grafeneder-Weissteiner, T. and K. Prettner. 2013. “Agglomeration and demographic change” Journal of Urban Economics 74, Elsevier: 1-11.
7.      Ho, J.K.K. 2016. Mind mapping for literature review – a ebook, Joseph KK Ho publication folder October 7 (url address: http://josephkkho.blogspot.hk/2016/10/mind-mapping-for-literature-review-ebook.html).
8.      Jofre-Monseny, J., R. Marín-Lópex and E. Viladecans-Marsal. 2011. “The mechanisms of agglomeration: Evidence from the effect of inter-industry relations on the location of new firms” Journal of Urban Economics 70, Elsevier: 61-74.
9.      Literature on literature review Facebook page, maintained by Joseph, K.K. Ho (url address: https://www.facebook.com/literature.literaturereview/).
10. Literature on mind mapping Facebook page, maintained by Joseph, K.K. Ho (url address: https://www.facebook.com/literature.mind.mapping/).
11. Lu, J. and Z. Tao. 2007. “Trends and Determinants of China’s Industrial Agglomeration” Munich Personal RePEc Archive Paper 6597 November (url: http://mpra.ub.uni-muenchen.de/6597/).
12. May, W., C. Mason and S. Pinch. 2001. “Explaining industrial agglomeration: the case of the British high-fidelity industry” Geoforum 32, Pergamon: 363-376.
13. McCann, B.T. and T.B. Folta. 2009. “Demand- and Supply-Side Agglomerations: Distinguishing between Fundamentally Different Manifestations of Geographic Concentration” Journal of Management Studies 46(3) May: 362-392.
14. Mtra, A. and H. Sato. 2007. “Agglomeration economies in Japan: Technical efficiency, growth and unemployment” RURDS 19(3) November, Blackwell Publishing Asia Pty Ltd.: 197-209.
15. Ottaviano, G. and J. Thisse. 2004. “Chapter 58: Agglomeration and economic geography” Handbook of Regional and Urban Economies Volume 4, Elsevier: 2563-2608.
16. Phelps, N.A. and T. Ozawa. 2003. “Contrasts in agglomeration: proto-industrial, industrial and post-industrial forms compared” Progress in Human Geography 27(5), Sage: 583-604.
17. Rosenthal, S.S. and W.C. Strange. 2001. “The Determinants of Agglomeration” Journal of Urban Economics 50: 191-229.
18. Tabuchi, T. 1998. “Urban Agglomeration and Dispersion: A Synthesis of Alonso and Krugman” Journal of Urban Economics 44: 333-351.
19. Tan, R., Y. Liu, Y. Liu, Q. He, L. Ming and S. Tang. 2014. “Urban growth and its determinants across the Wuhan urban agglomeration, central China” Habitat International 44, Elsevier: 268-281.
20. Wang, L., A. Madhok and S.X. Li. 2014. “Agglomeration and clustering over the industry life cycle: toward a dynamic model of geographic concentration” Strategic Management Journal 35, Wiley: 995-1012.
21. Zitouni, B. 2012. “Brussels: Tracing the agglomeration” City, Culture and Society 3, Elsevier: 95-104.


[1] The topic is definitely a core one in Urban Economics and Economic Geography.
[2] There is no sub-theme generated in this analysis on urban agglomeration.

1 comment:

  1. Pdf version at: https://www.academia.edu/30569238/A_mind_mapping-based_literature_review_on_urban_agglomeration

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