City of Greater Geelong

Location quotient by industry

In 2020/21, Public Administration and Safety was a major specialisation in the City of Greater Geelong in terms of Employment (Total).

The location quotient is a simple way of seeing which are the main industries in an area, relative to the wider region. LQ shows the percentage of the local economy characteristic (eg. employment, value add) in a particular industry divided by the percentage of the wider area (region, state, nation) that this industry makes up.

  • Where LQ=1, that industry is exactly as prevalent as in the wider region.
  • A LQ greater than 1.2 indicates a significant specialisation of the industry in the local area – possibly a key economic strength. Higher numbers mean greater specialisations. Anything over 2 is a major specialisation.
  • A LQ between 0.8 and 1.2 means the industry is broadly similar in importance in the local area compared to the comparison region and could be seen as representative.
  • An LQ under 0.8 indicates an industry which is more important in the region than the local area, and may represent an economic weakness or opportunity for growth.

LQs should be analysed in combination with the proportional economic share that industry represents. For example, an industry with an LQ of 2 reveals a specialisation but if that industry only represents 3% of the local economy, it may not be significant. Compare with the figures on the Employment by industry (Total), Employment by industry (FTE), Value added pages for this context. National Economics (NIEIR) - Modelled series

Data source

National Economics (NIEIR) - Modelled series

Current benchmark:
Comparison year:
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Location quotient
City of Greater Geelong - Employment (Total)2020/212015/16Change
Industry (Click rows to view sub-categories)%. Victoria%Location Quotient Victoria%. Victoria%Location Quotien Victoria2020/21 - 2015/16
Agriculture, Forestry and Fishing1.42.20.601.82.60.70-0.14
Electricity, Gas, Water and Waste Services1.
Wholesale Trade2.03.60.562.23.60.61-0.08
Retail Trade11.59.81.1613.510.61.28-0.09
Accommodation and Food Services6.
Transport, Postal and Warehousing3.25.10.623.45.00.68-0.09
Information Media and Telecommunications0.81.90.411.02.10.46-0.12
Financial and Insurance Services2.64.20.632.64.00.63-0.01
Rental, Hiring and Real Estate Services1.21.50.781.31.60.80-0.02
Professional, Scientific and Technical Services5.39.50.555.18.30.61-0.10
Administrative and Support Services2.43.20.753.03.60.83-0.09
Public Administration and Safety8.05.71.405.25.30.99+0.42
Education and Training11.18.81.2611.08.91.23+0.02
Health Care and Social Assistance18.513.71.3517.612.71.38-0.02
Arts and Recreation Services1.42.00.671.72.00.83-0.20
Other Services4.
Total Industries1001001.00100100+1.000

Source: National Institute of Economic and Industry Research (NIEIR) ©2021. Compiled and presented in by .id (informed decisions). NIEIR-ID data are adjusted each year, using updated employment estimates. Each release may change previous years’ figures. Learn more

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Dominant groups

A location quotient of greater than 1.2 is generally considered a level of industry specialisation, while a LQ of 0.8 or less indicates an industry which doesn’t have a major presence in the area.

An analysis of employment (total) in the City of Greater Geelong in 2020/21 shows the three industries with the highest location quotient relative to Victoria were:

  • Public Administration and Safety (1.4 )
  • Health Care and Social Assistance (1.4 )
  • Education and Training (1.3 )

The three industries with the lowest location quotient relative to Victoria were:

  • Wholesale Trade (0.6 )
  • Professional, Scientific and Technical Services (0.6 )
  • Information Media and Telecommunications (0.4 )

Emerging groups

Changes in location quotients over time reveal emerging or declining industry specialisations.

The largest changes in the employment (total) LQ between 2015/16 and 2020/21 in the City of Greater Geelong were for these industries:

  • Public Administration and Safety (+0.4)
  • Arts and Recreation Services (-0.2)
  • Other Services (+0.1)
  • Agriculture, Forestry and Fishing (-0.1)

City of Greater Geelong

economic profile