One theory I have kicked around that addresses this is the concept of "Meccas". An area get established a major economic center in something, and has all the infrastructure and support and other needed elements in place, so the area then becomes the place (a Mecca) for something. It isn't just videogames, but advertising (Madison avenue), plays (Broadway), the NYC garment district, Wall Street, Chinatowns, Gambling (Las Vegas, Atlantic City) and the movie industry (Hollywood). Things from schools to suppliers come together, and you end up with an excess of studios in a given area. And, looking over this thread, and what I listed, one can see how Meccas can spawn off other Meccas, if they are related.
When an area establishes a Mecca status, then it becomes a lot easier to do things for the community, and fund programs. Up where I am north of NYC, they don't have that, and funding programs, and employment is real challenging.
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