Abstract

ABSTRACT The rise of globally fragmented production since the 1980s encouraged economic regions to specialise in narrow slices of the value chain, making the benefits from local agglomeration no longer certain. Nonetheless, locally integrated production districts continue to thrive. Locally integrated industrial districts have proven sustainable in times of both increasing and decreasing fragmentation of production. Drawing upon insights from three schools – the Markusian logic of multiple district models, strategic coupling and the production of semi-public goods – this article uses a two-staged case-study design to explore the conditions under which locally integrated production districts continue to thrive in the global economy.

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