IDEAS home Printed from https://ideas.repec.org/a/cog/urbpla/v10y2025a10008.html

Informal and Community‐Based Agglomeration: Development and Change in the Garment Industry of Buenos Aires

Author

Listed:
  • Maria Daels

    (Urban Planning and Design, Monash University, Australia)

  • Carl Grodach

    (Urban Planning and Design, Monash University, Australia)

Abstract

This article explores the interplay between formal and informal economic activities in the garment industry of Buenos Aires. Focusing on the emergent cluster in Villa Celina, it examines how immigrant‐led social and economic networks intersect with policy shifts and economic pressures to shape production geographies. The case underscores the importance of informal and community‐based practices in enabling clustering in low‐tech, high‐touch manufacturing. The findings enrich agglomeration theory by showing how industrial clusters in contexts of informality and limited state support rely not only on conventional drivers but especially on informal governance and adaptive place‐based community networks. These embedded and often invisible dynamics sustain production and enable spatial concentration under constraint. Informal economies generate their own trust‐based external economies, including shared resources and logistical systems, both of which support ongoing activity and attract formal firms seeking to tap into these networks. The study concludes with implications for rethinking zoning and regulatory frameworks to better accommodate inclusive and diverse forms of urban manufacturing.

Suggested Citation

  • Maria Daels & Carl Grodach, 2025. "Informal and Community‐Based Agglomeration: Development and Change in the Garment Industry of Buenos Aires," Urban Planning, Cogitatio Press, vol. 10.
  • Handle: RePEc:cog:urbpla:v10:y:2025:a:10008
    DOI: 10.17645/up.10008
    as

    Download full text from publisher

    File URL: https://www.cogitatiopress.com/urbanplanning/article/view/10008
    Download Restriction: no

    File URL: https://libkey.io/10.17645/up.10008?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Declan Martin & Carl Grodach, 2023. "RESILIENCE AND ADAPTATION IN GENTRIFYING URBAN INDUSTRIAL DISTRICTS: The Experience of Cultural Manufacturers in San Francisco and Melbourne," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 47(4), pages 625-644, July.
    2. Josef Kohlbacher, 2020. "Frustrating Beginnings: How Social Ties Compensate Housing Integration Barriers for Afghan Refugees in Vienna," Urban Planning, Cogitatio Press, vol. 5(3), pages 127-137.
    3. Kiyoyasu Tanaka & Yoshihiro Hashiguchi, 2020. "Agglomeration economies in the formal and informal sectors: a Bayesian spatial approach‡," Journal of Economic Geography, Oxford University Press, vol. 20(1), pages 37-66.
    4. Carl Grodach & Liz Taylor & Declan Martin & Joe Hurley, 2023. "Regulating Sustainable Production," Urban Planning, Cogitatio Press, vol. 8(4), pages 186-197.
    5. Diodato, Dario & Neffke, Frank & O’Clery, Neave, 2018. "Why do industries coagglomerate? How Marshallian externalities differ by industry and have evolved over time," Journal of Urban Economics, Elsevier, vol. 106(C), pages 1-26.
    6. Josef Kohlbacher, 2020. "Frustrating Beginnings: How Social Ties Compensate Housing Integration Barriers for Afghan Refugees in Vienna," Urban Planning, Cogitatio Press, vol. 5(3), pages 127-137.
    7. Alessia Matano & Moisés Obaco & Vicente Royuela, 2020. "What drives the spatial wage premium in formal and informal labor markets? The case of Ecuador," Journal of Regional Science, Wiley Blackwell, vol. 60(4), pages 823-847, September.
    8. Carl Grodach & Liz Taylor & Declan Martin & Joe Hurley, 2023. "Regulating Sustainable Production," Urban Planning, Cogitatio Press, vol. 8(4), pages 186-197.
    9. Bruno Meeus & Luce Beeckmans & Bas van Heur & Karel Arnaut, 2020. "Broadening the Urban Planning Repertoire with an ‘Arrival Infrastructures’ Perspective," Urban Planning, Cogitatio Press, vol. 5(3), pages 11-22.
    10. Natasha Iskander, 2007. "Informal Work and Protest: Undocumented Immigrant Activism in France, 1996–2000," British Journal of Industrial Relations, London School of Economics, vol. 45(2), pages 309-334, June.
    11. Evert-Jan Visser, 2009. "The Complementary Dynamic Effects of Clusters and Networks," Industry and Innovation, Taylor & Francis Journals, vol. 16(2), pages 167-195.
    12. Harris, John, 2014. "The Messy Reality of Agglomeration Economies in Urban Informality: Evidence from Nairobi’s Handicraft Industry," World Development, Elsevier, vol. 61(C), pages 102-113.
    13. Bruno Meeus & Luce Beeckmans & Bas van Heur & Karel Arnaut, 2020. "Broadening the Urban Planning Repertoire with an ‘Arrival Infrastructures’ Perspective," Urban Planning, Cogitatio Press, vol. 5(3), pages 11-22.
    14. Michael Storper, 1997. "The City: Centre of Economic Reflexivity," The Service Industries Journal, Taylor & Francis Journals, vol. 17(1), pages 1-27, January.
    15. Rosenthal, Stuart S. & Strange, William C., 2004. "Evidence on the nature and sources of agglomeration economies," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 49, pages 2119-2171, Elsevier.
    16. Ann Dale & Chris Ling & Lenore Newman, 2010. "Community Vitality: The Role of Community-Level Resilience Adaptation and Innovation in Sustainable Development," Sustainability, MDPI, vol. 2(1), pages 1-17, January.
    17. Rosaria Burchielli & Annie Delaney & Jane Tate & Kylie Coventry, 2009. "The FairWear Campaign: An Ethical Network in the Australian Garment Industry," Journal of Business Ethics, Springer, vol. 90(4), pages 575-588, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Daniel Straulino & Juan C. Saldarriaga & Jairo A. G'omez & Juan C. Duque & Neave O'Clery, 2021. "Uncovering commercial activity in informal cities," Papers 2104.04545, arXiv.org.
    2. Maria Bernedo Del Carpio & Carlianne Patrick, 2021. "Agglomeration and informality: Evidence from Peruvian establishments," Journal of Regional Science, Wiley Blackwell, vol. 61(2), pages 442-471, March.
    3. Behr, Andreas & Schiwy, Christoph & Hong, Lucy, 2022. "Impact of Agglomeration Economies on Regional Performance in Germany," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 52(01), May.
    4. Yang Li & Frank Neffke, 2022. "Relatedness in regional development: in search of the right specification," Papers in Evolutionary Economic Geography (PEEG) 2208, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Apr 2022.
    5. Ana Isabel Moreno-Monroy & Gustavo Adolfo García Cruz, 2016. "Intra-Metropolitan Agglomeration of Formal and Informal Manufacturing Activity: Evidence from Cali, Colombia," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 107(4), pages 389-406, September.
    6. Henderson, J. Vernon & Thisse, Jacques-François, 2024. "Urban and spatial economics after 50 years," Journal of Urban Economics, Elsevier, vol. 144(C).
    7. R. Church & J. C. Duque & D. E. Restrepo, 2020. "The p-Innovation ecosystems model," Papers 2008.05885, arXiv.org.
    8. Obaco, Moisés & Pontarollo, Nicola & Mendieta Muñoz, Rodrigo & Díaz-Sánchez, Juan Pablo, 2022. "On the association between housing deprivation and urban size: Evidence from South Asia," World Development, Elsevier, vol. 157(C).
    9. Quintero, Luis E. & Roberts, Mark, 2023. "Cities and productivity: Evidence from 16 Latin American and Caribbean countries," Journal of Urban Economics, Elsevier, vol. 136(C).
    10. Amezcua, Alejandro & Ratinho, Tiago & Plummer, Lawrence A. & Jayamohan, Parvathi, 2020. "Organizational sponsorship and the economics of place: How regional urbanization and localization shape incubator outcomes," Journal of Business Venturing, Elsevier, vol. 35(4).
    11. Diana Silva & Carlos Azzoni, 2022. "Worker and firm heterogeneity, agglomeration, and wages in Brazil," Papers in Regional Science, Wiley Blackwell, vol. 101(1), pages 107-133, February.
    12. Chang, Zheng & Zheng, Longfei, 2022. "High-speed rail and the spatial pattern of new firm births: Evidence from China," Transportation Research Part A: Policy and Practice, Elsevier, vol. 155(C), pages 373-386.
    13. Carola Vasileiadi & Thomas Swerts, 2024. "Keeping Faith: Faith-Based Organizations as Urban Migration Infrastructures for Illegalized Migrants in Rotterdam," Urban Planning, Cogitatio Press, vol. 9.
    14. Gustavo A. García, 2019. "Agglomeration economies in the presence of an informal sector: the Colombian case," Revue d'économie régionale et urbaine, Armand Colin, vol. 0(2), pages 355-388.
    15. Li, Yang & Neffke, Frank M.H., 2024. "Evaluating the principle of relatedness: Estimation, drivers and implications for policy," Research Policy, Elsevier, vol. 53(3).
    16. Andrés Fernández-Miguel & Fernando E. García-Muiña & Davide Settembre-Blundo & Serena Chiara Tarantino & Maria Pia Riccardi, 2024. "Exploring Systemic Sustainability in Manufacturing: Geoanthropology’s Strategic Lens Shaping Industry 6.0," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 25(3), pages 579-600, September.
    17. Alessia Matano & Moisés Obaco & Vicente Royuela, 2020. "What drives the spatial wage premium in formal and informal labor markets? The case of Ecuador," Journal of Regional Science, Wiley Blackwell, vol. 60(4), pages 823-847, September.
    18. Alessia Matano & Moisés Obaco & Vicente Royuela, 2018. "“What drives the spatial wage premium for formal and informal workers? The case of Ecuador”," AQR Working Papers 201806, University of Barcelona, Regional Quantitative Analysis Group, revised Jun 2018.
    19. Eloiza Almeida & Veneziano Araújo & Solange Gonçalves, 2025. "The urban wage premium in a labor market with informality," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 74(2), pages 1-28, June.
    20. McShane, Sheenagh & Li, Ang & Block, Karen & Bentley, Rebecca, 2025. "Housing and wellbeing: Long-term precarious housing trajectories following humanitarian migration and resettlement," Social Science & Medicine, Elsevier, vol. 372(C).

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cog:urbpla:v10:y:2025:a:10008. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: António Vieira or IT Department (email available below). General contact details of provider: https://www.cogitatiopress.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.