iii sern general assembly parma province – salsomaggiore t. franco mosconi jean monnet professor...
TRANSCRIPT
![Page 1: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/1.jpg)
III SERN General AssemblyParma Province – Salsomaggiore T.
Franco MosconiJean Monnet Professor Of Industial Economics
University of Parma
10 May 2007
![Page 2: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/2.jpg)
Googling the term “Emilian Model” results in many and many items
Not a surprise!The topic was first much studied during
the 1970s and 1980sDuring the 1990s-2000s the model was
“revisited”
Has the time arrived for providing a new definition of the “Emilian Model”?
![Page 3: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/3.jpg)
The question is well outside the scope of this Introduction
BUT reflecting
the sources of industry localisation the new economic landscape (ICT
revolution, globalisation, etc)
We can try to understand:
> if a “new” model in Emilia-Romagna exists and
> the driving forces of “Sectors of excellence”
![Page 4: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/4.jpg)
INDUSTRY LOCALISATION/I
Two works are important:
• The seminal work of Alfred Marshall (1890)and
• Its synthesis by Paul Krugman in his “Geography and Trade” (1990)
![Page 5: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/5.jpg)
INDUSTRY LOCALISATION/II
3 reasons for the high concentration of manufacturingactivities in a given territory:
i. labour poolingii. intermediate inputsiii.technological spillover (Krugman elaborating on A. Marshall’s
“Principles of Economics”)
Also true nowadays for hi-tech industries and for service sectors e.g.:
City of London for finance Madison Av. in New York for advertising
![Page 6: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/6.jpg)
INDUSTRY LOCALISATION/III
In the same vein, Micheal Porter’s Competitive Advantageof Nations
“Nation are most likely to succeed in industries or industry segments where the national <diamond> is the most favorable” .
“Nations succeed not in isolated industries, however, but in clusters of industries connected through vertical and horizontal relationship”.
![Page 7: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/7.jpg)
GEOGRAPHIC INDUSTRY CONCENTRATION/I
Competitors and clusters are often located in a single town within a region.
![Page 8: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/8.jpg)
GEOGRAPHIC INDUSTRY CONCENTRATION/II
![Page 9: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/9.jpg)
Of course, many things are changing the world economic scene, e.g.:
ICT revolution BRICs Eastern Enlargement
But, Marshall, Krugman and Porter, still give the basic ‘ingredients’ for successful industrial localisation
![Page 10: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/10.jpg)
Recent literature has emphasised that:
– R&D,
– Innovation,
– Human Capital
are critical for economic growth.
Especially, for the EU as it moves towards the frontier of technological development
![Page 11: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/11.jpg)
What does this mean from a POLICY point of view?
The EU should strengthen its New Industrial Policy
by
Reemphasising its “Technology” Policy
but
Without weakening its “Competition” and “Commercial” Policies
![Page 12: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/12.jpg)
“THE TRIANGLE”
![Page 13: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/13.jpg)
POLICY
Regional aspects of competitiviness:
EC analysis suggests a positive correlation of PRODUCTIVITY with:
R&D intensity Specialization in high-tech activities N° of students in tertiary education
![Page 14: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/14.jpg)
What does this mean from the point of view of the individual FIRM?
A growing importance of intangible assets in order to face the increasingly competitive international environment
Led to the development of new generation SMEs that have adopted successful product-innovation strategies, such as product differentiation and brand development
![Page 15: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/15.jpg)
Our ‘Regions’ – industrial districts or clusters – will continue to adjust in the future
BUT
More investment in:– R&D– Innovation and – Higher education
is necessary if we want to draw full benefits from this traditional production system based round industrial localization
![Page 16: III SERN General Assembly Parma Province – Salsomaggiore T. Franco Mosconi Jean Monnet Professor Of Industial Economics University of Parma 10 May 2007](https://reader035.vdocuments.us/reader035/viewer/2022070411/56649f3c5503460f94c5adc5/html5/thumbnails/16.jpg)
All in all:
From labour-intensive products to higher-tech, higher value-added, sectors.
Low-skilled jobs are moving (offshoring).
R&D, design, marketing… are crucial and stay at home (headquarter)