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Putting Innovation in Place: Policy Strategies for Industrial Services, Regional Clusters, and Manufacturing SMEs in Japan and the United States

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  • Philip Shapira

Abstract

This paper examines the evolving situation of mature manufacturing small and midsize enterprises (SMEs) in Japan and the United States and considers some of the key challenges they now face in an era of globalization and rapid technological change. The rationale and justification for policy intervention to support mature SMEs is considered. A review is offered of illustrative policy initiatives in three areas: framework policies, industrial services, and regional industrial cluster policies. The convergence of manufacturing and regional policies is noted. The relative strengths and weaknesses of Japanese and US strategies are assessed. The paper concludes with a comparison of Japanese and US approaches to retaining manufacturing SMEs, interpreted through the various and at times interactive ways through which each country's innovation system develops and evolves technology and business support policies.

Suggested Citation

  • Philip Shapira, 2008. "Putting Innovation in Place: Policy Strategies for Industrial Services, Regional Clusters, and Manufacturing SMEs in Japan and the United States," Prometheus, Taylor & Francis Journals, vol. 26(1), pages 69-87.
  • Handle: RePEc:taf:promet:v:26:y:2008:i:1:p:69-87 DOI: 10.1080/08109020701846041
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    References listed on IDEAS

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    1. Tisdell, Clement A. & Alauddin, Mohammad, 2002. "Market-Oriented Reforms in Bangladesh and their Impact on Poverty?," Economic Theory, Applications and Issues Working Papers 90521, University of Queensland, School of Economics.
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    Cited by:

    1. World Bank, 2011. "Turkey - Improving Conditions for SME Growth Finance and Innovation," World Bank Other Operational Studies 12211, The World Bank.
    2. Lenihan, Helena, 2011. "Enterprise policy evaluation: Is there a 'new' way of doing it?," Evaluation and Program Planning, Elsevier, pages 323-332.

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