The Internationalisation of Production Activities of Italian Industrial Districts
AbstractThis paper studies the evolution of the Italia industrial districts in the era of globalization. Italian districts are no longer self-contained systems of small firms where firms' competitiveness is the result of physical proximity, connected to foreign markets at the initial and the final stage of the production and distribution activity. Internationalization is analysed in the three classical forms of trade flows, foreign direct investments and foreign subcontracting. The conclusion discusses the consequences of sourcing production abroad for industrial districts. The loss of productive competences and practical knowledge, the reduction of employment and the change in the social climate that characterize the district. As a result of internationalization the final firms make profits in far away territories and the firm’s profitability is no more linked to the workers well being
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Bibliographic InfoPaper provided by Department of Economics, University of Venice "Ca' Foscari" in its series Working Papers with number 2008_13.
Date of creation: 2008
Date of revision:
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Globalization; Industrial districts; Sub-contractiong; Direct Foreign Investments;
Find related papers by JEL classification:
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
- L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
- L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Comparison of Public and Private Enterprise and Nonprofit Institutions; Privatization; Contracting Out
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-05-24 (All new papers)
- NEP-CSE-2008-05-24 (Economics of Strategic Management)
- NEP-KNM-2008-05-24 (Knowledge Management & Knowledge Economy)
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