Iranian Journal of Trade Studies

Iranian Journal of Trade Studies

Identifying Locational Advantages and Industrial Specialization Patterns through the Analysis of Industrial Activities in the Khorasan Region Provinces

Document Type : Research Paper

Authors
1 , Ph.D. Candidate, Faculty Member, Institute for Trade Studies and Research, Tehran, Iran.(Corresponding author)
2 PhD. School of Industrial Engineering, Iran University of Science and Technology, Tehran, Iran.
3 , Ph.D. Candidate, Faculty Member, Institute for Trade Studies and Research, Tehran, Iran.
Abstract
Uneven industrial distribution and spatial concentration remain major challenges for regional development and territorial planning in developing economies. Identifying locational advantages and regional specialization patterns is therefore essential for designing effective place-based industrial policies. This study investigates industrial specialization and spatial concentration patterns in the Khorasan planning region of Iran, comprising Razavi Khorasan, North Khorasan, and South Khorasan provinces.
Methodologically, the research adopts a descriptive-analytical approach and applies three regional analysis indicators, including the Location Quotient (LQ), the Gini coefficient of geographical concentration, and the Gini coefficient of regional specialization. The analysis is conducted at the four-digit ISIC industrial activity level using employment and value-added data derived from the Census of Industrial Establishments with 10 employees and more, published by the Statistical Center of Iran for the period 2002-2019.
The findings indicate that the industrial structure of the region follows an uneven concentration pattern in which only a limited number of industrial activities possess stable locational advantages. The results further reveal that geographical proximity among provinces has not necessarily led to structural convergence. Razavi Khorasan demonstrates a relatively diversified and specialized industrial structure, whereas North and South Khorasan remain largely dependent on resource-based and primary-stage industrial activities with limited industrial diversification. Food industries and non-metallic mineral products constitute the principal common cores of industrial specialization across the region.
The study highlights the importance of place-based industrial policy, regional value-chain upgrading, and selective specialization strategies for achieving more balanced and sustainable regional industrial development.
Keywords
Subjects

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  • Receive Date 03 February 2026
  • Revise Date 19 May 2026
  • Accept Date 20 May 2026