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Understanding the Changing Geography of Labour-Intensive Industries from a GPN Perspective: Case Study of the Hungarian Leather and Footwear Sector

Author

Listed:
  • Molnár, Ernő
  • Lengyel, István Máté

Abstract

Labour-intensive industries have declined in the East Central European economy after the beginning of the millennium. Given this deterioration, significant employers are vanishing from rural areas, leaving behind serious employment problems in regions which are less capable of resilient restructuring. This article examines this shrinkage from a geographical aspect in the context of the Hungarian leather and footwear industry. This study focuses on the interpretation and explanation of the spatial differentiation that accompanies this shrinking process. The aim of this paper is to reveal the influencing factors that stand in the background of spatially uneven development. The analysis – embedded in the theoretical framework of global production networks – is based on the corporate database of the Hungarian Central Statistical Office and invokes the experience of interviews carried out with representatives of industrial actors as well. In addition to an understanding of spatial processes, the intention of the authors was to investigate the issues to be addressed in certain locations and under what conditions the long-standing industrial culture related to the sector can be preserved.

Suggested Citation

  • Molnár, Ernő & Lengyel, István Máté, 2016. "Understanding the Changing Geography of Labour-Intensive Industries from a GPN Perspective: Case Study of the Hungarian Leather and Footwear Sector," MPRA Paper 73944, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:73944
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    References listed on IDEAS

    as
    1. Eleonora Cutrini, 2010. "Moving Eastwards While Remaining Embedded: The Case of the Marche Footwear District, Italy," European Planning Studies, Taylor & Francis Journals, vol. 19(6), pages 991-1019, June.
    2. Scott, Allen J., 2006. "The Changing Global Geography of Low-Technology, Labor-Intensive Industry: Clothing, Footwear, and Furniture," World Development, Elsevier, vol. 34(9), pages 1517-1536, September.
    3. Eike W Schamp, 2005. "Decline of the District, Renewal of Firms: An Evolutionary Approach to Footwear Production in the Pirmasens Area, Germany," Environment and Planning A, , vol. 37(4), pages 617-634, April.
    4. John Humphrey & Hubert Schmitz, 2002. "How does insertion in global value chains affect upgrading in industrial clusters?," Regional Studies, Taylor & Francis Journals, vol. 36(9), pages 1017-1027.
    5. Paolo regstdtanello & Giuseppe Tattara, 2011. "Industrial Clusters and the Governance of the Global Value Chain: The Romania-Veneto Network in Footwear and Clothing," Regional Studies, Taylor & Francis Journals, vol. 45(2), pages 187-203.
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    More about this item

    Keywords

    global production networks; labour-intensive industries; leather and footwear industry;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R19 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Other

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