nep-cse New Economics Papers
on Economics of Strategic Management
Issue of 2011‒12‒13
24 papers chosen by
Joao Jose de Matos Ferreira
University of the Beira Interior

  1. Contributions towards a Cluster Strategy for the Sea in the Algarve By Monteiro, Pedro; Noronha, Teresa; Neto, Paulo
  2. The cognitive and geographical composition of ego-networks of firms – and how they impact on their innovation performance By Tom Broekel; Ron Boschma
  3. Technological innovation persistence : Literature survey and exploration of the role of organizational innovation By Christian Le Bas; Caroline Mothe; Thuc Uyen Nguyen-Thi
  4. Competencies of firms, external knowledge sourcing and types of innovation in regions of Europe By Franz Tödtling; Markus Grillitsch; Christoph Höglinger
  5. Regional dispersion of cooperation activities as success factor of innovation oriented SME By Stoetzer, Matthias-Wolfgang; Pfeil, Silko; Kaps, Katharina; Sauer, Thomas
  6. Knowledge spillovers and productivity in Italian manufacturing firms By Aldieri, Luigi
  7. The complementary effects of proximity dimensions on knowledge spillovers By Emanuela Marrocu; Raffaele Paci; Stefano Usai
  8. The origins of Made in Spain fashion. The competitive advantage of the textile, apparel and footwear districts since the Golden Age By Jordi Catalan; Ramon Ramon-Munoz
  9. R&D Drivers in Young Innovative Companies By García-Quevedo, José; Pellegrino, Gabriele; Vivarelli, Marco
  10. Innovation, Firm Size, Technology Intensity, and Employment Generation in Uruguay: The Microeconometric Evidence By Diego Aboal; Paula Garda; Bibiana Lanzilotta; Marcelo Perera
  11. Matthew effects and R&D subsidies: knowledge cumulability in high-tech and low-tech industries By Francesco Crespi; Cristiano Antonelli
  12. Innovation, Growth and Quality of Life: a Theoretical Model and an Estimate for the Italian Regions By Giorgio D'Agostino; Margherita Scarlato
  13. Empirical analysis of internal social media and product innovation: Focusing on SNS and social capital By Idota, Hiroki; Minetaki, Kazunori; Bunno, Teruyuki; Tsuji, Masatsugu
  14. Understanding the heterogeneity of cooperation on innovation: Firm-level evidence from Europe By Martin Srholec
  15. Cooperation and innovative performance of firms: Panel data evidence from the Czech Republic, Norway and the United Kingdom By Martin Srholec
  16. Resilience and Potential in Maritime Clusters By Cooke, Philip
  17. Academic patent value and knowledge transfer in the UK. Does patent ownership matter? By Sterzi, Valerio
  18. Cluster Evolution and a Roadmap for Future Research By Ron Boschma; Dirk Fornahl
  19. A typology of cooperation strategies in the telecommunication industry: An exploratory analysis and theoretical foundations By Limbach, Felix; Wulf, Jochen; Zarnekow, Rüdiger; Düser, Michael
  20. Investor Type, Cognitive Governance and Performance in Young Entrepreneurial Ventures: A Conceptual Framework By Christophe Bonnet; Peter Wirtz
  21. Business model innovations and ICT based national financial inclusion programs: An Indian case study By Jain, Rekha
  22. Training plans, manager’s characteristics and innovation in the accommodation industry. By Martínez-Ros, Ester; Orfila-Sintes, Francina
  23. Performance measurement in the public sector: some theoretical and practical reflections By Enrico Bracci; Laura Maran
  24. Cluster-based industrial parks : a practical framework for action By Monga, Celestin

  1. By: Monteiro, Pedro (Agriculture and Fisheries of the Algarve); Noronha, Teresa (University of Algarve); Neto, Paulo (University of Evora)
    Abstract: This article advocates the relevance and crucial need for a strategic vision of the Algarve based on a cluster approach for its economy of the sea. The article reviews the literature on clusters and relevant topics related and relevant to that issue. It starts by summarizing the scope and structure of the article, followed by a theoretical framework, which highlight the key features and benefits associated with the cluster approach taken, the role of knowledge - intensive service activities as key drivers for innovation and entrepreneurship, taken as critical factors for successful cluster strategy advocated, along with the networking and cooperation, innovation systems and the importance of knowledge spillovers for knowledge management within the cluster
    Keywords: Cluster; Innovation; Network; Spillover
    JEL: O13 Q00 R11
    Date: 2011–11–30
  2. By: Tom Broekel; Ron Boschma
    Abstract: Firms’ embeddedness into knowledge networks has received much attention in the literature. However, little is known about the composition of firms’ ego-networks with respect to different types of proximities. Based on survey data of 295 firms in eight European regions, we show that the ego-networks of firms systematically differ in their geographical and cognitive embeddedness. We find that firms’ innovation performance is stimulated if the firm primarily links to technologically related firms as well as technologically similar organizations. Connecting with organizations at different geographical levels yields positive effects as well.
    Keywords: ego-networks, geographical proximity, innovation performance, knowledge networks, technological relatedness
    JEL: B15 R11 R12
    Date: 2011–08
  3. By: Christian Le Bas (Université de Lyon, Lyon, F-69007, France ; CNRS, GATE Lyon St Etienne,F-69130 Ecully, France); Caroline Mothe (IREGE, University of Savoie, France); Thuc Uyen Nguyen-Thi (CEPS/INSTEAD, 3 av de la Fonte, 4364 Esch-sur-l'Alzette, Luxembourg)
    Abstract: In this paper, we will review the literature on technological innovation persistence and provide a general theoretical framework to analyze the main determinants of this innovative behavior. Moreover, no previous empirical study has taken into account organizational innovation practices as possible determinants of innovation persistence. We will therefore include them, as previous studies have shown the interaction effects between the two types of innovation, and produce empirical results on technical innovation persistence. A multinomial probit model was used to estimate the likelihood of belonging to each of the three longitudinal innovation profiles. Results confirm the differentiated impact of determinants on process and technological innovation persistence, and the effect of R&D intensity, R&D cooperation and competition intensity. As hypothesized, we also found that organizational innovation is a determinant factor for innovation persistence and, more generally speaking, for technological innovation, in particular organizational practices such as knowledge management and external partnerships.
    Keywords: Persistance; Innovation; Technologie; Organisationnelle innovation; R&D
    JEL: O30
    Date: 2011
  4. By: Franz Tödtling; Markus Grillitsch; Christoph Höglinger
    Date: 2011
  5. By: Stoetzer, Matthias-Wolfgang; Pfeil, Silko; Kaps, Katharina; Sauer, Thomas
    Abstract: In this paper, we analyze the relationships between different types of innovation and collaboration, given the varying geographical distance of the latter. The study is based on the data of the research project 'KompNet 2011 - Factors determining the success of regional innovation networks', which examines the innovation activities of small and medium-sized enterprises (SME) in and closely around Jena (Thuringia). The aim of this paper is to explore to what extent spatial reach of collaboration linkages determines innovation orientation and innovative behavior. That means: Innovation performance could be positively related to (a) to a high intensity of local collaboration, (b) the intensity of international collaboration or (c) neither regional nor (inter)national collaborations. In a first step we summarize the relevant literature which comprises aspects of our central subject under investigation. We additionally discuss the necessity of keeping in mind several control variables for theoretical and empirical reasons. In the following we present descriptive analyses relating to the regional reach of collaboration in general, the impact of collaboration on innovation and the links between the regional reach of cooperation and different forms of innovation, i.e. product, process, marketing and organizational innovation. In a final step we discuss the results of several regression models. We observe that there is no significant influence of the geographical variables on the innovative performance of SME. Therefore our findings suggest that innovative firms rely on collaboration partners at a variety of spatial distances. The results also show a significant and positive influence of the intensity of competition on the innovativeness of firms in all models. Furthermore product- and process innovations are created by firms with intensive cooperative activities to scientific institutions, while a wide variety of cooperation partners and a strong focus on quality leadership turns out to be important for the development of marketing- and organizational innovations. --
    Keywords: cooperation,geographical reach,innovation,intensity of competition,marketing innovation,organizational innovation,process innovation,product innovation,quality leadership,regional dispersion,SME,spatial distance
    JEL: D85 L10 O31 R12
    Date: 2011
  6. By: Aldieri, Luigi
    Abstract: In this paper we analyze the relationship between R&D spillovers and productivity. To this aim, we use data from 9th and 10th “Indagine sulle imprese manifatturiere” (IMM) surveys carried out by Capitalia. These two surveys, which cover the period 2001-2006, contain both quantitative and qualitative information on a large sample of Italian firms. The main contribution of this paper is to stress the importance of replacing the traditional high-tech/low-tech industries with a classification more suitable to capture the nature of new technologies. Indeed, the industry data are summarised in a particular taxonomy, according to Pavitt methodology: Supplier dominated, Scale intensive, Specialized suppliers and Science based. This taxonomy accounts for differences in the knowledge intensity and innovative activities within sectors. The estimation method takes into account the endogeneity of regressors and simultaneity issue regarding firms’ decision to invest in R&D. The results provide evidence of higher productivity in R&D intensive industries and this can be interpreted as the signal of the relevance of spillover effects.
    Keywords: Industry taxonomies; R&D; Productivity; Spillovers
    JEL: D62 C23 D24 O3
    Date: 2011–11–25
  7. By: Emanuela Marrocu; Raffaele Paci; Stefano Usai
    Abstract: The purpose of this paper is to analyse the effect of various proximity dimensions on the innovative capacity of 276 regions in Europe within a knowledge production function model, where R&D and human capital are included as the main internal inputs. We combine the standard geographical proximity with the institutional, technological, social and organizational ones to assess whether these externalities are substitutes or complements in channelling knowledge spillovers. Results show that all proximities have a significant complementary role in generating an important flow of knowledge across regions, with the technological closeness playing the most relevant role.
    Keywords: knowledge production; spillovers, proximity; human capital; weight matrix
    JEL: O31 R12 C31 O52 O18
    Date: 2011
  8. By: Jordi Catalan; Ramon Ramon-Munoz (Universitat de Barcelona)
    Abstract: This paper explores the sources of competitive advantage of the Spanish export industrial districts that specialised in textile, apparel and footwear products. It shows that most of the nowadays outstanding Spanish firms in fashion-related international markets emerged from 1980s districts. Using a new database, the paper concludes that by then there were as many neo-Marshallian exporting districts dominated by small firms as hub-firm districts coordinated by medium-large companies. This probably allowed the latter to combine the advantages derived from Marshallian external economies (i.e. non-codified knowledge, subsidiary industries and specialized labour force) with those connected to leading firms organizational capabilities.
    Keywords: fashion, inheritance, industrial district, textiles and apparel, leather and footwear, competitive advantage, leading firms, clusters
    JEL: N84 N64 L25 R12
    Date: 2011
  9. By: García-Quevedo, José (University of Barcelona); Pellegrino, Gabriele (University of Barcelona); Vivarelli, Marco (Università Cattolica del Sacro Cuore)
    Abstract: This paper examines the determinants of young innovative companies' (YICs) R&D activities taking into account the autoregressive nature of innovation. Using a large longitudinal dataset comprising Spanish manufacturing firms over the period 1990-2008, we find that previous R&D experience is a fundamental determinant for mature and young firms, albeit to a smaller extent in the case of the YICs, suggesting that their innovation behaviour is less persistent and more erratic. Moreover, our results suggest that firm and market characteristics play a distinct role in boosting the innovation activity of firms of different age. In particular, while market concentration and the degree of product diversification are found to be important in fostering R&D activities in the sub-sample of mature firms only, YICs' spending on R&D appears to be more sensitive to demand-pull variables, suggesting the presence of credit constraints. These results have been obtained using a recently proposed dynamic type-2 tobit estimator, which accounts for individual effects and efficiently handles the initial conditions problem.
    Keywords: R&D, innovation, Young Innovative Companies (YICs), dynamic type-2 tobit estimator
    JEL: O31
    Date: 2011–11
  10. By: Diego Aboal; Paula Garda; Bibiana Lanzilotta; Marcelo Perera
    Abstract: The aim of this paper is to analyze the relationship between innovation and employment, in terms of both its quantity and quality, in Uruguay. The effect of product and process innovation on employment growth and on employment composition in terms of skills was studied, using data from manufacturing firms' innovation surveys, matched against economic activity surveys. The impact of different innovation strategies was also analyzed, particularly producing technology vs. sourcing technology externally. The results revealed that product innovation is associated with employment growth. There is (weaker) evidence that process innovation displaces labor. Product innovation is not more complementary to skilled than to unskilled labor. Producing technology in-house has the biggest positive impact on employment, followed by the make-and-buy strategy. Similar results are found for small firms and firms belonging to the low- and high-tech sectors. Interviews carried out with innovation agents support the view that in general innovation does not lead to job losses and that it generates greater demand for a more qualified labor force.
    Keywords: Science & Technology :: New Technologies, Labor :: Workforce & Employment, Labor :: Labor Policy, job losses, innovation, unemployment, innovation strategies, firm size, employment quantity and quality, innovation surveys, job positions, vacancies
    JEL: D2 J23 L1 O31 O33
    Date: 2011–10
  11. By: Francesco Crespi; Cristiano Antonelli
    Abstract: The paper explores the causes and effects of persistence in the discretionary allocation of public subsidies to R&D activities performed by private firms in high-tech and low-tech industries. It applies the distinction between virtuous Matthew-effects and vicious Matthew-effects. The former qualifies the persistence in the discretionary allocation of public subsidies in terms of sheer reputation based upon previous awards. The latter is identified by the role of the accumulation of competence stemming from past grants in current R&D activities. Virtuous Matthew effects are found in high-tech industries where knowledge cumulability is higher. In traditional industries, vicious Matthew effects prevail for the lower levels of knowledge cumulability. Here reputation-Matthew-effects can lead to substitution of private funds with public ones. The empirical analysis is based on Transition Probability Matrices, probit regressions and Propensity Score Matching on around 700 Italian firms in the years 1998-2003.
    Keywords: Innovation; R&D subsidies; Matthew effects; past dependence; path dependence
    JEL: H25 H32 L52
    Date: 2011–10
  12. By: Giorgio D'Agostino; Margherita Scarlato
    Abstract: This paper carries out an explanatory investigation into the relationship between socio-institutional conditions, quality of life indicators and economic growth in the Italian regions. Previous studies stress the importance of institutional quality, social capital and social conditions in determining disparities between richer and poorer regions. Building on this literature, we consider a three-sector model of semi-endogenous growth with negative externalities depending on structural and institutional factors that affect the innovative capacity of regional systems (the "social externalities hypothesis"). Simulations based on the scaled stationary system confirm that endogenous socio-economic conditions are crucial for the successful translation of innovation into economic growth. It is suggested that generating a development strategy designed to improve social conditions and well-being in the poorer regions may yield dividends in terms of the effectiveness of public policy and economic development
    Keywords: Development, Growth, Regional Disparities, Well-Being
    JEL: O10 O41 O30 R11 R58
    Date: 2011–09
  13. By: Idota, Hiroki; Minetaki, Kazunori; Bunno, Teruyuki; Tsuji, Masatsugu
    Abstract: Recently social media such as Blog and SNS has been introducing by many firms for means of sharing information inside the firm, in particular to promote product and process innovation. This paper attempts to examine the relationship between social media and product innovation, and research questions are summarized as follows: (i) whether social capital influences the use of social media; (ii) whether social media promotes product innovation; and (iii) whether the effect of social media on product innovation is different in the manufacturing and service industry. The analysis clarifies that social capital in the firm is indispensable for the effective use of social media. Managerial attitudes toward innovation and social media are requirements for firms to promote product innovation. Managers thus should make an effort to raise social capital and nurture reciprocal culture for SNS use inside the firm. The paper finds that social media for product innovation is more important in the service industry than manufacturing. Social media makes it easy to obtain customers' information and share it among related sections, because social media enables to expand channels to make contact directly with the customer in the service industry. --
    Keywords: Social Media , Product Innovation,Social Capital,Ordered Probit Regression
    JEL: O32 M15
    Date: 2011
  14. By: Martin Srholec (Centre for Technology, Innovation and Culture, University of Oslo)
    Abstract: Innovation is new combination of productive means that are internal or external to a firm. Arrangements to cooperate on innovation facilitate access to these external sources of knowledge. Using large micro datasets from the Third and Fourth Community Innovation Surveys in sixteen European countries, including nine new EU members, we examine the heterogeneity of relationships between various characteristics of firms, given by size, ownership or capabilities, and their propensity to cooperate on innovation with domestic as compared to foreign partners, with different types of organizations and how these patterns differ across countries. Econometric estimates of univariate, multivariate and multinomial probit (or logit) models indicate differences between domestic and foreign cooperation, but not between the various types of partners. Strong differences have been found along the level of economic development. Size of the country and openness to globalization proved relevant for explaining cooperation of firms on innovation abroad. Nevertheless, the results reveal that the context matters for interpretation of the cooperation variables themselves, because some of these arrangements may signal limited internal capabilities of firms, rather than virtuous systemic interactions, which complicates comparative studies of this data.
    Keywords: Innovation; cooperation; globalization; Community Innovation Survey; Europe.
    Date: 2011–12
  15. By: Martin Srholec (Centre for Technology, Innovation and Culture, University of Oslo)
    Abstract: Using panel micro data obtained from merging several waves of Community Innovation Survey in the Czech Republic, Norway and the United Kingdom, we estimate dynamic random effects tobit models, in which the innovation output given by sales of innovative products is the function of the cooperative behaviour of firms and their other observed characteristics, while accounting for unobserved heterogeneity. The results indicate that the capacity of firms to build on external domestic linkages is what matters most for the innovation output. And that foreign external linkages lead to superior innovation performance only in combination with the domestic ones. Also the results suggest that the positive effect of domestic cooperation is driven by linkages to education, research and scientific institutions, even though these types of partners tend to be used by firms noticeably less frequently for cooperation on innovation than their suppliers and customers.
    Keywords: Innovation; cooperation; performance; micro data; Community Innovation Survey
    Date: 2011–11
  16. By: Cooke, Philip (University of Wales)
    Abstract: Theoretical analysis of the relevance of the concept of path dependence for regional analysis has made progress. This has occurred on the spatial process (or regional paradigm)dimension of spatial evolution Progress has also occurred after further reflections on the roles of ‘conventions’ in understanding the ‘soft institutional’ dimension of regional regime formation and change. This adds considerably to the more common ‘institutions and organisations’ aspects of governance structures for innovation regarding the typical analytical content of regional regime and innovation system analysis. In this paper the concepts of ‘relatedness’ and ‘transversality’ capture the processes of knowledge recombination for innovation classically introduced by Schumpeter. Two live cases are presented whereby regional relatedness of industry regarding ‘green’ competences, on the one hand, and engineering and materials processing, on the other, have resulted in new clusters or cluster trajectories. The exemplar cases come from either end of Europe, Sweden, in the first instance, Italy in the second. Both clearly support the new ‘transversal’ theory of cluster emergence
    Keywords: Region; Maritime Clusters; Relatedness; Transversality
    JEL: A14 O33 R11 R58
    Date: 2011–11–30
  17. By: Sterzi, Valerio
    Abstract: This paper deals with an issue which is particularly relevant in the literature on IPR and university-industry knowledge transfer: is the ownership structure of academic inventions relevant for patent quality and the efficiency of the knowledge transfer process? This question is also particularly signi…cant in Europe where some countries have followed the Bayh-Dole Act example to increase the involvement level of universities in IP management. The paper uses a novel dataset of academic inventors in the UK, which includes university patents (i.e. patents owned by universities) and corporate patents (i.e. patents signed by academic scientists but owned by private companies) in the period 1990-2001. The UK is an interesting case to study due to the tradition of university involvement in IP management as it was one of the fi…rst countries to implement the university ownership model. The main results may be summarised as follows. (1) Controlling for observable patent and scientist characteristics, corporate patents received more citations than university patents in the …first three years after fi…ling, but (2) this difference is less signi…cant when considering a longer time window. However, (3) there is no knowledge fertilisation across public (university) and private institutions: university patents mainly cite other university patents and the same reasoning applies to corporate patents. Moreover (4) knowledge flows from university patents are even more geographically localised than those from corporate patents. Finally, (5) among scientists characteristics, professor's scientifi…c quality and his patenting experience seem to be correlated with patent value. From a policy prospective, the results in points (1), (2) and (3) cast some doubts on the role of university ownership as an instrument to foster and facilitate knowledge transfer between academia and industry and raise serious questions about the effect of policies towards increasing the role of technology transfer offices in managing academic patents.
    Keywords: Academic patent; Patent value; Citations
    JEL: O34 O33 L33
    Date: 2011–11
  18. By: Ron Boschma; Dirk Fornahl
    Abstract: There is increasing recognition that the existence of clusters can only be understood when studying their dynamics over time (Audretsch and Feldman 1996; Pouder and St. John 1996; Swann et al. 1998; Maggioni 2002; Brenner 2004; Iammarino and McCann 2006; Menzel and Fornahl 2010; Ter Wal and Boschma 2011). In fact, clusters may be best understood as products of a path-dependent process (Martin and Sunley 2006). In that context, scholars have described the main features of cluster development over time, and have explored the driving forces behind their evolution. In their seminal contribution, Menzel and Fornahl (2010) proposed a cluster life cycle model in which firms enter and exit the cluster, capabilities of cluster firms develop and interact (and might converge), and inter-organizational linkages within and beyond the cluster are established and dissolved along the cluster life cycle.
    Keywords: Downward causation, Economic landscape, emergence, Evolution, Supervenience
    JEL: B15 R11 R12
    Date: 2011–08
  19. By: Limbach, Felix; Wulf, Jochen; Zarnekow, Rüdiger; Düser, Michael
    Abstract: The value chain of the telecommunication industry is subject to a continuing disintegration which is caused by outsourced network operation, the provisioning of wholesale interfaces to competing service providers and the cooperative provisioning of broadband access. Thus, many companies regard cooperation as an element of cooperate strategy. In this paper we propose a cooperation topology for the telecommunication industry and identify drivers of cooperation based on the assessment of case studies. The results indicate that drivers of cooperation differ with respect to the cooperation direction and that the combination of complementary resources is the dominating driver of cooperation. --
    Keywords: Cooperation,telecommunication,typology of cooperation strategies,transaction costs
    JEL: B40 A10 D80 O33
    Date: 2011
  20. By: Christophe Bonnet (GDF - Gestion, Droit et Finance - Grenoble Ecole de Management); Peter Wirtz (Finance Magellan - Équipe de Recherche en Finance - Université Jean Moulin - Lyon III - Centre de recherche Magellan de l'IAE)
    Abstract: This article contributes to a better understanding of the process of entrepreneurial finance from a behavioral perspective. We specifically examine the cognitive features and interaction of three key-actors in entrepreneurial finance: entrepreneurs, business angels and venture capitalists and derive implications for performance (value creation and growth) when a young venture raises external equity capital. Concepts of cognitive cost and value enhance theoretical insight into why BA and VC intervention is typically sequential. We also predict in what specific situations one should expect simultaneous coinvestment by BAs and VCs and how investors can use cognitive levers to influence the speed of growth.
    Keywords: Business Angel, Venture Capitalist, Cognitive Governance, Venture Growth
    Date: 2011
  21. By: Jain, Rekha
    Abstract: --
    Keywords: Mobile Banking,Low Income Segment,National ICT Framework,Financial Inclusion,Business Model Innovation,Value Creation and Appropriation,Sart-ups
    JEL: O3 G28 G18
    Date: 2011
  22. By: Martínez-Ros, Ester; Orfila-Sintes, Francina
    Abstract: This paper explores the effect of training plans and managerial characteristics on innovation activity in the hospitality sector. This sector is featured by being labor-intensive so the examination of employment and managers skills deserves attention in order to determine the level of quality and competitive advantage in the provision of services. The data in the paper comes from a questionnaire administered to hotel managers in a representative sample of hotels in the Balearic Islands, a leading tourist destination. Results suggest that training plans positively affect innovation-related decisions and the extent of their implementation; however, managers should have more than experience to manage the innovation change, specifically skills and capabilities.
    Keywords: Innovación; Hoteles; Formación;
    Date: 2012
  23. By: Enrico Bracci; Laura Maran
    Abstract: Performance measurement innovation in the public sector has been gaining a great deal of interest among academics, practitioners and policy makers since the implementation of the New Public Management reforms. The aim of this paper is to contribute to the current debate on the topic through the study of the conditions and factors that may hinder or foster the introduction of performance measurement systems, such as the Balanced Scorecard (BSC). The results derive from two longitudinal studies conducted in two Italian public administrations, which introduced the BSC device. The empirical evidences are discussed through the Ferreira and Otley’s (2009) framework, as extended by Broadbent and Laughlin (2009). The paper tries to contribute to both the extant literature on the BSC device and the usefulness of the extended conceptual framework in an empirical context.
    Keywords: performance measurement; public sector; balanced scorecard
    JEL: M2
    Date: 2011–12–01
  24. By: Monga, Celestin
    Abstract: They are being hailed as the new Holy Grail of economic development. The success of special economic zones (SEZ) in general and specialized ones in particular (industrial and technology parks) in countries as diverse as Australia, Denmark, Sweden, Germany, Switzerland, Ireland, Japan, the United Kingdom, the United States, and more recently, China; Korea; Taiwan, China; or Mauritius, has led several African leaders to launch new similar initiatives. This paper establishes a common point of reference for those who believe in the virtues of SEZs, explains why the many existing ones have not delivered the expected outcomes, and summarizes the key issues on the agenda. It then suggests cluster-based industrial parks as the most effective tool for developing competitive industries and generating employment, and provides some practical guidance to development practitioners and policymakers on the road ahead.
    Keywords: Environmental Economics&Policies,Economic Theory&Research,Emerging Markets,Debt Markets,Labor Policies
    Date: 2011–12–01

This nep-cse issue is ©2011 by Joao Jose de Matos Ferreira. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.