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Embedding multinational firms in regional business systems: neoliberal and social†democratic models in Spain

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  • María C. Gonzalez Menendez
  • David Luque Balbona
  • Gabriel Pruneda
  • Phil Almond

Abstract

The paper analyses how regional actors have mobilised to attract and retain foreign direct investment in two Spanish regions with different political approaches to the management of economic issues, including industrial relations. These regions are Madrid, the main pole of attraction of foreign direct investment in Spain, and Asturias, with a large tradition of heavy industry and a greater dependence on a small number of large employers. It finds the regions have adapted to international competition in substantially different manners and considers the alternative reasons why this might be the case, highlighting the role of organised labour both in the inward investment regimes themselves, and in shaping the nature of the different compromises they involve.

Suggested Citation

  • María C. Gonzalez Menendez & David Luque Balbona & Gabriel Pruneda & Phil Almond, 2018. "Embedding multinational firms in regional business systems: neoliberal and social†democratic models in Spain," Industrial Relations Journal, Wiley Blackwell, vol. 49(1), pages 50-68, January.
    • Handle: RePEc:bla:indrel:v:49:y:2018:i:1:p:50-68
    DOI: 10.1111/irj.12202
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    References listed on IDEAS

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    1. Phil Almond & Maria C. Gonzalez & Jonathan Lavelle & Gregor Murray, 2017. "The local in the global: regions, employment systems and multinationals," Industrial Relations Journal, Wiley Blackwell, vol. 48(2), pages 115-132, March.
    2. Neil M. Coe & Peter Dicken & Martin Hess, 2008. "Global production networks: realizing the potential," Journal of Economic Geography, Oxford University Press, vol. 8(3), pages 271-295, May.
    3. Coe, Neil M. & Yeung, Henry Wai-chung, 2015. "Global Production Networks: Theorizing Economic Development in an Interconnected World," OUP Catalogue, Oxford University Press, number 9780198703914, Decembrie.
    4. Sinéad Monaghan & Patrick Gunnigle & Jonathan Lavelle, 2014. "“Courting the multinational”: Subnational institutional capacity and foreign market insidership," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 45(2), pages 131-150, February.
    5. Crispian Fuller & Robert J Bennett & Mark Ramsden, 2003. "Organised for Inward Investment? Development Agencies, Local Government, and Firms in the Inward Investment Process," Environment and Planning A, , vol. 35(11), pages 2025-2051, November.
    6. Sjoerd Beugelsdijk & Ram Mudambi, 2013. "MNEs as border-crossing multi-location enterprises: The role of discontinuities in geographic space," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 44(5), pages 413-426, June.
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    Cited by:

    1. Vildan Tasli‐Karabulut & Arjan Keizer, 2020. "Multinational corporations as institutional entrepreneurs: the dynamic interplay between automobile firms and the Turkish vocational education and training system," Industrial Relations Journal, Wiley Blackwell, vol. 51(3), pages 153-168, May.

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