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Inward investment and endogenous development. The convergence of the strategies of large firms and territories?

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  • ANTONIO VAZQUEZ-BARQUERO

Abstract

Inward investment is often understood as an inadequate instrument for self-sustained growth and as being responsible for the insufficient development of peripheral areas. Globalization and increasing competition within the markets, however, changed the firms' and regions' adjustment environment, and led to the convergence of spatial strategies of the large innovative firms and the development strategies of regional and local governments. This process contributes toward the integration of the external firms within local productive systems and, therefore, large innovative firms can play a relevant role in endogenous development processes. Although the convergence of strategies is not a phenomenon that can be generalized for all types of firms and territories, a new line of action opens up that permits improved productive restructuring and economic development, even in less favoured and peripheral regions.

Suggested Citation

  • Antonio Vazquez-Barquero, 1999. "Inward investment and endogenous development. The convergence of the strategies of large firms and territories?," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 11(1), pages 79-93, January.
    • Handle: RePEc:taf:entreg:v:11:y:1999:i:1:p:79-93
    DOI: 10.1080/089856299283308
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    References listed on IDEAS

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    1. Jean-Claude Perrin, 1990. "Organisation industrielle : la composante territoriale," Revue d'Économie Industrielle, Programme National Persée, vol. 51(1), pages 276-303.
    2. Boisier, Sergio, 1997. "El vuelo de una cometa: una metáfora para una teoría del desarrollo territorial," Series Históricas 7344, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
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    Cited by:

    1. Basco, Rodrigo & Stough, Roger & Suwala, Lech, 2021. "Family Business and Regional Development," EconStor Books, ZBW - Leibniz Information Centre for Economics, number 232284, July.
    2. Anna Giunta, 2002. "Large Firms and Southern Italy: The Relevance of Salvatore Cafiero’s Position," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 2, June.
    3. Vazquez-Barquero, Antonio, 2000. "Globalization, Productive Dynamic And Urban Development," ERSA conference papers ersa00p408, European Regional Science Association.
    4. Carlos M. F-Jardón, 2011. "Deployment of Core Competencies to obtain success in SMEs," Working Papers 1106, Universidade de Vigo, Departamento de Economía Aplicada.

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