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Path creation, global production networks and regional development: a comparative international analysis of the offshore wind sector

Author

Listed:
  • Danny MacKinnon
  • Stuart Dawley
  • Markus Steen
  • Max-Peter Menzel
  • Asbjørn Karlsen
  • Pascal Sommer
  • Gard Hopsdal Hansen
  • Håkon Endresen Normann

Abstract

The question of how regions and nations develop new sources of industrial growth is of recurring interest in economic geography and planning studies. From an evolutionary economic geography (EEG) perspective, new growth paths emerge out of existing economic activities and their associated assets and conditions. In response to the micro-economic and endogenous focus of much EEG research, this paper utilises a broader evolutionary perspective on path creation which stresses the dynamic interplay between four sets of factors: regional assets; key economic and organisational actors; mechanisms of path creation; and multi-scalar institutional environments and policy initiatives. Reflecting the importance of extra-regional networks and institutions, this framework is also informed by the Global Production Networks (GPN) approach, which highlights the process of strategic coupling between firms and regions and its political and institutional mediation by state institutions at different spatial scales. We deploy this framework to investigate regional path creation in the context of renewable energy technologies, focusing specifically on the offshore wind industry. We adopt a comparative cross-national approach, examining the evolution of offshore wind in Germany, the UK and Norway. Of the three cases, Germany has developed the most deep-rooted and holistic path to date, characterised by leading roles in both deployment and manufacturing. By contrast, path creation in the UK and Norway has evolved in more partial and selective ways. The UK's growth path is developing in a relatively shallow manner, based largely upon deployment and 'outside in' investment, whilst Norway?s path is emerging in an exogenous, ?inside-out? fashion around a fairly confined set of actors and deployment and supply functions. In conclusion, the paper emphasises the important role of national states in orchestrating the strategic coupling of regional and national assets to particular mechanisms of path creation.

Suggested Citation

  • Danny MacKinnon & Stuart Dawley & Markus Steen & Max-Peter Menzel & Asbjørn Karlsen & Pascal Sommer & Gard Hopsdal Hansen & Håkon Endresen Normann, 2018. "Path creation, global production networks and regional development: a comparative international analysis of the offshore wind sector," Papers in Evolutionary Economic Geography (PEEG) 1810, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Feb 2018.
    • Handle: RePEc:egu:wpaper:1810
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    More about this item

    Keywords

    Evolutionary economic geography; path creation; national states; global production networks; offshore wind; international comparative analysis;
    All these keywords.

    JEL classification:

    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • L5 - Industrial Organization - - Regulation and Industrial Policy
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • R5 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis

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