Social capital and core competencies, enablers developing electronic design technological capabilities in Guadalajara, Mexico

Abstract

The electronics industry in Guadalajara, Mexico, experienced significant growth dur­ing the 1990s. However, the development of electronic design technological capabilities in the Guadalajara Metropolitan Area (GMA) is reduced compared to the growth of the electronics sector. Furthermore, in local small and medium-sized businesses (SMBS) performing electronic design activi­ties the number of employees working in this type of work is low, compared to the size of the local electronics sector. This paper tries to understand how social capital and core competencies contrib­ute to developing electronic design capabilities in SMBS in this region. A multiple case study of seven local businesses that execute or provide electronic design services in the GMA was conducted. The findings include the role social capital plays in attracting talent, acquiring knowledge and creating a network of customers, along with its longevity; they also include the importance of identifying core capabilities that generate sustained technological advantage and the role played by Regional Innovation Systems (RIS).