Shekhem is a city that has hosted mass events in the past and a city with historic significance in general. The challenge that Rehavam meets from the Northern tribes reawakens old tribal conflicts that expressed themselves in David and Shaul's reigns. Rehavam takes the advice of the younger less mature advisors who grew up with him in the luxury of Shlomo's palace.   Yerovam begins to fail as a leader when he sets up an alternative religion to the worship of God in the Mikdash in Jerusalem by setting up shrines in Beit El and Dan - two cities with a long history of religious significance. There he places golden calves reminiscent of Aharon's golden calf in the desert. Additionally, as per his democratic nature that fueled his rebellion against Shlomo, he appoints Kohanim from all of the people and establishes a new date for Sukkot. 

Courtesy of the Virtual Beit Midrash, Yeshivat Har Etzion