Abstract

ABSTRACT This paper uses the concept of the manufacturing process cycle as a heuristic device for the analysis of the evolutionary development of manufacturing activities and their establishment in export enclaves in less developed nations. The manufacturing process cycle focuses on labor, technology and organizational factors and their interaction with product and factor market conditions as major influences on the evolution of manufacturing industries. The establishment of manufacturing industries in export enclaves is considered in this evolutionary framework by providing a conceptual model that includes both labor differentiation and organizational capability variables in a production function specification. Spatial differentiation is also considered, to determine the timing of locational shifts and its relation to the most important characteristics of manufacturing activities in export enclaves.

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