Networks, Governance and Economic Development

Networks, Governance and Economic Development

Bridging Disciplinary Frontiers

Edited by Mari Jose Aranguren Querejeta, Cristina Iturrioz Landart and James R. Wilson

This compact and authoritative book brings together the topical themes of networks and governance to advance understanding of the determinants of local economic development in the context of increasingly global relationships.

Chapter 11: The Governance of Clusters: Progressive Reactions to International Competitive Challenges

Marco Bellandi

Subjects: economics and finance, regional economics, geography, economic geography, urban and regional studies, clusters, regional economics


1 Marco Bellandi 1 A SAD DILEMMA FOR SME CLUSTERS CHALLENGED BY CHINESE NEW INDUSTRIES? The competitive challenge that Chinese industries are taking at the global level raises serious concern in many developed and less developed countries, and bitter disputes within the more affected industrial communities. It is usual to refer Chinese growing competitiveness to the large-scale presence of a set of factors characterizing low roads of industrialization in the less developed countries: the reserve army of cheap labour; the massive exploitation of land and other natural resources; the dynamic advantage represented by internal protected markets; state and local policies promoting FDI. The competitive results are magnified by the strength of the authoritarian regime in the People’s Republic of China, by its strategy of controlled opening to large flows of FDI, and by the increasing capabilities of transnational corporations in building/managing international filières thanks to the use of ICT. Will the Chinese challenge go down in the near future in the face of macro factors? The answer touches upon various items: the adjustment in the exchange rates; the rules of international trade fairness promoted by the WTO; the action by the EU for protocols with the PRC making for easier tourist relations, some projects of industrial cooperation and the protection of copyrights and industrial marks; the action by the EU and the Italian state, and some regional governments, to promote laws concerning the institution of compulsory marks of products’ origin and content. These questions are very important...

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