Salaries and Geographic Location

I am contemplating a change of employment. This change will take me from a project lead position implementing at a large electronics firm to a technical marketing position for the competition of the product I currently implement.

My dilemma is negotiating salary. I believe I understand my value to the new position if I were to remain in the geographic location I currently work. The new position requires a relocation to a geographic location with a substantially higher cost of living.

Should the cost of living difference be a factor in salary negotiations? If it is, how do I reconcile my value in the new geographic location?