Regional Disparities in Determinants of Industrial Firms Success: The Case of Abbasabad and Shamsabad Industrial Towns in Tehran

Industrical Parks are a good way of promoting  small and medium sized manufacturing firms, as they provide the basic infrustuctures in the locations where such activities are desired. Here, among the factors affecting firm performance, location is regarded as the most influential one. In this respect, the location of industrial towns can be considered as a factor that influences a firm’s performance. This paper attempts to investigate the inter-regional disparities in order to describe the significance of varied factors on firm performences in the two industrial towns of Abbasabad and Shamsabad (in the Tehran Province). Descriptive-survey methodology was used and data were collected by means of well-structured questionnaire survey from the selected number of firm managers.  Afterwards, the factors discoverd affecting success are divided into intra-business and intra-regional factors. The results of this study show that seven factors have been found that mutually affect the success of industrial firm in both areas. This is while the two factors (lack of access to the sales market and lack of accessibility of deployment facilities in the province) which has to play and important role in Shamsabad town, the impact of these factors have not been significant in Abbasabad town. From a policy point of view, this finding means that although major contributing factors to success are shared among both industrial cities, the impact of the region on access to markets and facilities are two distinct and important factors on success. Hence, indicating the need for policymakers to consider these two important issues while deciding on the location of industrial parks.