A TOPSIS analysis of regional competitiveness at European level

IF 2.9 Q2 BUSINESS Competitiveness Review Pub Date : 2024-09-17 DOI:10.1108/cr-01-2024-0005
Filippo Ferrarini, Silvia Muzzioli, Bernard De Baets
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Abstract

Purpose

The measurement of regional competitiveness is becoming essential for policymakers to address territorial disparities, while considering the issue of correlations among indicators. Therefore, the purpose of this paper is to measure regional competitiveness using the Technique for Order Preference by Similarity to the Ideal Solution (TOPSIS) by considering different distance measures and two levels of analysis to provide a comparative and comprehensive measurement of regional competitiveness in Europe.

Design/methodology/approach

The authors apply TOPSIS based on three different distance measures (the Manhattan, the Euclidean and the Mahalanobis distance measures) to the regions of the EU Regional Competitiveness Index (RCI) 2019, which is taken as the frame of reference.

Findings

The authors replicate the RCI by using TOPSIS with a less preferred choice of distance measure, indicating TOPSIS as a valuable method for policymakers in the analysis of regional competitiveness. The authors argue in favour of the Mahalanobis distance measure as the best of the three, as it considers correlations among macro-economic indicators.

Originality/value

This study aims to make three contributions. Firstly, by replicating the RCI by means of TOPSIS with a less preferred choice of distance measure, the paper provides a benchmark for future research on regional competitiveness. Secondly, by suggesting the use of TOPSIS with the use of the Mahalanobis distance measure, the authors show how to measure regional competitiveness by taking into account correlations among pillars. Thirdly, the authors argue in favour of considering clusters of regions when measuring regional competitiveness.

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欧洲地区竞争力的 TOPSIS 分析
目的 衡量地区竞争力对于决策者解决地区差距问题至关重要,同时还要考虑指标之间的相关性问题。因此,本文旨在使用 "与理想解相似的排序偏好技术"(TOPSIS),通过考虑不同的距离度量和两个分析层次来衡量地区竞争力,从而对欧洲的地区竞争力进行比较和全面的衡量。作者将基于三种不同距离度量(曼哈顿距离度量、欧氏距离度量和马哈拉诺比斯距离度量)的TOPSIS方法应用于2019年欧盟地区竞争力指数(RCI)中的地区,并将其作为参考框架。研究结果作者通过使用TOPSIS方法复制了RCI,但选择的距离度量较少,这表明TOPSIS是决策者分析地区竞争力的一种有价值的方法。作者认为 Mahalanobis 距离测量方法是三种方法中最好的,因为它考虑了宏观经济指标之间的相关性。 原创性/价值 本研究旨在做出三项贡献。首先,本文通过 TOPSIS 方法复制了 RCI,并选择了一个不太受青睐的距离度量方法,从而为今后有关地区竞争力的研究提供了一个基准。其次,通过建议使用 TOPSIS 和 Mahalanobis 距离测量法,作者展示了如何通过考虑支柱之间的相关性来衡量地区竞争力。第三,作者主张在衡量地区竞争力时考虑地区集群。
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来源期刊
CiteScore
6.60
自引率
17.20%
发文量
50
期刊介绍: The following list indicates the key issues in the Competitiveness Review. We invite papers on these and related topics. Special issues of the Review will collect papers on specific topics selected by the editors. Definition/conceptual framework of competitiveness Competitiveness diagnostics and rankings Competitiveness and economic outcomes Specific dimensions of competitiveness Competitiveness and endowments Competitiveness and economic development Location and business strategy International business and the role of MNCs Innovation and innovative capacity Clusters and cluster initiatives Institutions for competitiveness Public policy (e.g., innovation, cluster development, regional development) The Competitiveness Review aims to publish high quality papers directed at scholars, government institutions, businesses and practitioners. It appears in collaboration with key academic and professional groups in the field of competitiveness analysis and policy, including the Microeconomics of Competitiveness (MOC) network and The Competitiveness Institute (TCI) practitioner network for competitiveness, clusters and innovation.
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