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This paper aims to further advance the study of horizontal mergers by critically reviewing the theory on spatial models that may be used for the analysis of horizontal market concentration. We examine the incentives conveyed by locations for undertaking merger and merger-related strategies, as well as the impact of merger on strategic location choices. Thereby this paper highlights the two-way relationship between market concentration behavior and firm location. JEL classification: D43, L41, R32doi:10.1016/j.rie.2011.06.002 fatcat:w4urw53mgff6hpy4e76mhpzh7u