Regional Deindustrialization and Re-bundling: Evidence from the Merger of the Former German Hoechst and French Rhône-Poulenc Groups

large part of the work in economic geography and other social sciences has focused on new growth prospects due to the establishment of global production chains and the rise of new clusters of industrial activity. Much less attention has been paid to former growth industries and regions that have recently experienced shrinking processes due to internationalization. This paper will explore the cases of two chemical regions, i.e. southern Hessen, Germany and Rhône-Alpes, France. These two areas have both undergone drastic restructuring since the mid-1990s, due to the merger of the prominent chemical groups Hoechst and Rhône-Poulenc into Aventis. Instead of investigating the development of the core activities at Aventis, we will focus on the operations that were considered less important and consequently split off. In addition to the negative consequences produced by these activities, in our analysis we also emphasize regional opportunities which arise from competence building, reorientation and new firm formation. These processes can be viewed as re-bundling existing and new knowledge bases with other resources to help overcome economic crises and develop a new competitive edge. As such, the paper aims to contribute to a relational understanding of economic globalization and regional restructuring.     

DIRECTIONS FOR DIVERSIFICATION WITH AN APPLICATION TO SASKATCHEWAN*

ABSTRACT. Traditional models of regional diversification do not capture the trade-off between stability and living standards. In this paper, we characterize regions as open activity models subjected to both productivity and price shocks. We then partially rank small diversification policies by the direction in which they point away from the current industrial structure in mean-variance space. Some general patterns emerge. In particular, diversification for regional self-sufficiency and away from regional comparative advantage may be undesirable.     

Ceramics and change: an overview of pottery production techniques in northern South Africa and eastern Zimbabwe during the first and second millennium AD

In southern African Iron Age studies, there are few attempts to systematically apply and include laboratory analyses when studying archaeological ceramic materials. As demonstrated in this paper, such analyses help to understand the technological aspects such as raw materials, manufacturing techniques and vessel function. Combined with vessel shape and decoration as well as ethnographic studies, the results provide new ways to understand local and regional distribution networks of the ceramics craft. Furthermore, laboratory analyses are most useful when studying continuity and changes in the ceramics handicraft over time, which has implications both on cultural and social change as seen in the shift in ceramic production techniques. We use examples from Zimbabwe and South Africa to illustrate these changes and discuss them in a broader social and technological context in Iron Age southern Africa.     

The Micro-foundations of Regional Branching—the Case of Digitization of Publishing

Abstract

Theorizing within evolutionary economic geography on regional branching of industries has so far been depicted as evolving through routine replication among different economic actors that hold various degrees of relatedness. Methodologically, related variety and unrelated variety have been studied quantitatively, treating relatedness between economic agents as pre-defined industrial classifications. This represents a need for a complementary qualitative and in-depth understanding of how knowledge is re-combined in various settings. Based on a qualitative case study in the publishing industry, whose technological platforms and business models are currently facing severe challenges associated with digitization, this paper seeks to improve our understanding of how knowledge is re-combined and re-applied in various ways. The paper explores and discusses how this industry branches out into new activities, and reflects upon the channels through which these processes unfold. How is the old and the new in the economy bridged? How is the relationship between specialization and diversification played out? In this sense, the paper seeks to contribute to improving our understanding of the epistemic micro-foundations for regional branching and economic development.     

The Archaeology of Regions: From Discrete Analytical Toolkit to Ubiquitous Spatial Perspective

In the 1970s and 1980s, regional analysis was an influential part of archaeological research, providing a discrete set of geographical tools inspired by a processual epistemological and interpretive perspective. With the advent of new technologies, new methods, and new paradigms, archaeological research on regional space has undergone significant changes. This article reviews the state of regional archaeology, beginning with a consideration of its history and a discussion of the fundamental issues facing regional investigations before focusing on developments over the last several years. On one hand, the diversification of archaeological theory has created new paradigms for thinking about human relationships with one another and with the physical environment across regional space; in this regard, historical ecology, landscape archaeology, and evolutionary theory have been particularly influential in recent years. This has led to a corresponding diversification of the traditional methods of regional analysis. Most notably, the advent of powerful digital technologies has introduced new tools, especially those from the geographic information sciences, that build on the quantitative methods of past approaches. The investigation of regional data is no longer based on a discrete toolkit of simple mathematical and graphical procedures for representing spatial relationships. Instead, regional archaeology has matured into a diversity of multiscalar spatial and geostatistical techniques that inform many areas of archaeological inquiry.     

Regional technological change and path dependency in the Danish food processing industry

Evolutionary theories of technological change arguably exert the greatest impact on our understanding of technological change. According to evolutionary economic theory the process of technological change is driven by the continual creation of technological variety through innovation and innovative firm entry and the destruction of variety through the processes of imitation (diffusion), selection and plant exit. This joint process of variety creation and destruction translates micro-economic diversity into technological progress. A third principle of evolutionary economic theory is the principle of heredity, the communication of information and knowledge over time. The dependence of technology on past and existing knowledge tends to move firms, regions and countries along relatively well-defined technological trajectories. In this paper technology is measured as a pair of capital and labour input coefficients. Empirical analysis of the Danish food processing industry reveals that technology varies markedly across regions and that differences in regional technological performance persist over time. Multivariate analysis of variance confirms that spatial variation in techniques of production is significant. This study underpins the evolutionary theory of technological change confirming that in the Danish food processing industry, regions move along relatively well-defined technological trajectories.     

Sectoral diversification as insurance against economic instability

This paper examines the extent to which sectoral diversification can act as an insurance mechanism against fluctuations in regional gross value‐added growth rates. Portfolio theory is applied to the growth‐instability properties of German districts. Furthermore, a comprehensive diversification measure is defined. Stochastic Frontier Analysis is deployed in order to estimate whether diversification allows regions to achieve more efficient growth‐instability combinations. The results confirm that diversification does generate such effects. Spatial interactions do also play a role: The effects are less pronounced for regions whose economic performance is mainly driven by the surrounding regions.     

长江三角洲技术扩散规律及其对策初探

技术扩散已经成为决定区域高新技术产业乃至区域经济可持续发展的重要因素,从时间尺度上看,区域技术扩散速度呈现"S"型分布。本文论述了我国经济技术较为发达的长江三角洲地区的技术扩散历程、态势、不同等级的技术扩散中心,在此基础上,提出了提高认识、建立区域技术扩散体系,发挥企业主体作用等促进技术扩散的对策建议。     

The Competitive Position of the Basque Aeroespatial Cluster in Global Value Chains: A Historical Analysis

In this paper, based on the case study of the aerospace cluster of the Basque Country (Spain), we aimed at analysing how local industries develop a new specialization, that is, how a cluster emerges, and how it evolves over time. For that purpose, apart from considering local factors (both forces that are internal to the cluster and to the territory), we explicitly consider the role of institutional and technological changes, and how they affect industry structure and governance patterns of global value chains (GVCs). We observe that global-scale regulations (deregulation and competition policy) and technological change, together with local factors such as the existence of anchor firms, local policies, related variety and social capital at regional and cluster levels played a significant role in the emergence of the cluster and how it became inserted in the GVCs. Later on, the development of suppliers' capabilities also had a relevant role in the evolution of the governance patterns of GVCs.     

Developing Capabilities: An Analysis of Biotechnology in two Regions in Australia and Sweden

This article analyses whether regions develop capabilities in terms of scientific, technological and business activities within specific biotechnology areas. We take a broad definition of biotechnology, and identify four industry areas: (1) core biotechnology; (2) drugs; (3) medical technologies; (4) agriculture. Capabilities and specialization-diversification are analysed for the regions of Gothenburg in western Sweden, and Brisbane in Queensland, Australia, for the period 1997–2001. These regions are relatively ordinary, and not well-studied, biotech mega-centres. The results suggest there are positive feedback mechanisms that occur in co-located activities developing regional capabilities. Regional success within biotechnology, then, is related to the existence of all or most of the different value adding activities within a sector, as well as being reasonably diversified within related sectors. This is true for all measured industry areas, although regional capability development within core biotechnology shows signs of a relatively more disruptive pattern.     

Emergence of a region. Exploring the role of spatial planning in the emergence of high-tech region ELAt using assemblage and actor-network theory

ABSTRACT

Regions or regional development have not only gained importance in spatial planning, but also got fuzzy meanings. Originally regions refer to a specific geographical demarcated area, often with an inductive historic or cultural meaning. In the meantime, in our networked world, the concept also refers to transport regions based on models of daily urban systems, or functional regions based on distinctive urban or social functions. Within the post-industrial era, the concept also gained importance as economic regions. In this paper, we will explore how regional concepts emerge out of specific economic interest concerning technological innovation. We will focus on a cross-border municipal case, for example, the triangle Eindhoven–Leuven–Aachen. With the help of the assemblage and actor-network theory, we will show how the identity of regions is translated by evolving actor-networks, and how these actor-networks are influenced and adapted by those alternating regional identities themselves. From these insights, we will come up with some ideas and propositions how regional planning could play an important role within these co-evolving processes.     

重申全球化时代的空间观:后现代地理学的理论与实践

"空间"是人文地理学研究的核心概念。全球化时代,空间概念的内涵与外延都发生了重要变化。本文通过重述后现代主义哲学、当代城市与区域空间重构的社会实践、当代人文地理学前沿理论三者之间相互印证的理念与事实,重申全球化时代的空间观为空间与社会辨证统一的后现代空间观,并阐述了其对当代人文地理学研究的重要意义。     

Regional skill relatedness: towards a new measure of regional related diversification

ABSTRACT

This paper proposes a novel index of regional skill-relatedness and calculates this measure for all Norwegian labour-market regions. Studies of regional related diversification rely on measures of related variety, which build on the industry classification hierarchy. However, the growing literature identifying similarities in knowledge and competences across industries demonstrates that these classifications fail to identify a great deal of actual skill relatedness, and that measures based on empirical measures of industry relatedness are required. The skill relatedness measure builds on labour mobility flows across industries to develop a relatedness matrix for Norwegian industries. It further uses social network analysis to identify the number of other regional industries to which each industry in a particular region is related. Comparing this measure to the related variety index, the analysis shows that the two measures are highly correlated, but that the regional skill relatedness index is able to identify more of the relatedness across industries. In particular, the related variety index tends to underestimate the level of relatedness in many of Norway’s most technologically sophisticated manufacturing regions, whereas these rank highly in the regional skill relatedness index. Consequently, the regional skill relatedness index represents a promising new tool for identifying relatedness in regional systems.     

The Italian Neolithic: A Synthesis of Research

This paper reviews the distinctive economic and social development of Neolithic Italy and its islands, from ca. 6000 B.C. until the emergence of the Copper Age ca. 3500 B.C. Through a synthesis of traditional interpretations and more recent discussions relating to early farming economies, social and technological developments, settlement, and landscape, the complex regional patterns are described. The development of archaeological studies in Italy, the biases in regional and chronological data collection, the regional patterns of cultures and landscapes, and the emergence of distinctive funerary, artistic and economic activities reveal a wealth of varied and intriguing archaeological information from a wide variety of sources that link parallel developments in the Mediterranean and Europe.     

Sectoral Versus Territorial Regional Planning and Development in Norway

New regional policies in Norway and many other countries try to empower their regions through creating a balance between central governing with emphasis on redistribution of activities and resources, and local mobilization with emphasis on self reliance, innovation and learning by doing. In Norway municipalities and counties have for a long period had this double function, but we now see that the vertical policy of implementing national welfare policy has grown and become dominant. As a consequence, the horizontal policy of social mobilization has been neglected, and has to some extent been taken over by inter-municipal and interregional organizations. Normally, these organizations are in practice organized as regional development agencies. They seem to be vulnerable political institutions that seek legitimacy from--and need acceptance and support from--both territorial and sectoral governments. The regional planning process is regarded as an important tool in their political institution building process. In this paper I want to explain how regional planning and institution building in Norway in practice have moved towards a two-parallel system.     

REGIONAL VARIATIONS IN TECHNOLOGICAL CHANGE AND IN POTENTIAL GAINS FROM CONSOLIDATION AMONG U.S. COMMERCIAL BANKS

ABSTRACT. This paper investigates the regional variations in the impact of technological change and in gains from consolidation among U.S. commercial banks. We estimate a multiproduct translog cost function with the appropriate regional dummy variables. Technological change, ray scale economies and scale biases in technological change are estimated for each region. Furthermore, pairwise expansion path economies between all the regions are calculated to evaluate the potential gains from interregional consolidation. In general Southwest banks had the worst and Southeast the best technological change. There is substantial disparity across regions. It also appears that technological change increased the efficient size in the Midwest and Southwest regions and reduced it in the West, Northeast and Southeast. Banks in all regions show ray economies of scale, affirming the need for larger banks if output mix remains constant. Finally, the results support takeover of regional banks by the Money Center banks but not vice-versa, and favor consolidation among regional banks. The biggest potential gains accrue from mergers of Southeast banks with either Midwest or Southwest banks and the least gains are derived from mergers between Midwest and Southwest banks.     

The Perpetuation of Regime Security in Gulf Cooperation Council States: A Multi‐Lens Approach

Gulf Cooperation Council (GCC) states have been engaging in diversification efforts, yet the types of efforts suggest that the primary interest is regime security. Regional foreign policy is complex; hence we propose a multi‐lens approach to analyze overlapping and complementary political, economic, and social forces. The international political economy of hydrocarbons demonstrates the similarities among GCC states, regional dynamics illustrate interstate relations and similar patterns, while economic diversification suggests individual state trajectories and comparative and competitive patterns. By outlining the contemporary context for GCC states, we argue that low oil prices, regional dependence on hydrocarbons, and trends in economic diversification efforts signal GCC states' preference to reinforce their rentier systems with alternative state revenue streams. GCC states' diversification into new markets and sectors and use of state‐owned enterprises in microcompetitions indicate a new search for alternative revenue streams and prestige, which in turn are used to assure the perpetuation of regime security. This finding sets trajectories and implications for the region, specifically economic stagnation and supplementary diversification processes.     

Carnem et circenses – consumption of animals and their products in Roman urban and military sites in two regions in the northwestern provinces

This paper investigates the consumption of animals and their products in the northwestern provinces of the Roman Empire. A regional approach was used, comparing two research areas: the northern part of modern Switzerland and the central part of the modern Netherlands. These two regions have different histories, backgrounds and landscapes. Our aim was to find out whether these different histories and backgrounds led to different consumption patterns and to what extent they correspond to Roman-style nutrition. Furthermore, we looked for developments over time in consumption of meat and exploitation of livestock. A data set consisting of over 282,000 fragments of cattle, sheep/goat and pig from 188 samples from military sites, urban centres and vici was collected. Our study identified both differences and similarities in consumption and exploitation patterns. Differences can be explained by the regional character of each research area, while similarities suggest wider economic developments in the Empire and general supply strategies of the Roman army.     

Regional Innovation Systems and Economic Performance: Between Regions and Nations

This article aims at assessing the diversity of regional innovation systems and their economic performance in Europe. We propose to adapt the social systems of innovation and production (SSIP) framework at the regional level by identifying the specific arrangements of each part of the innovation and production system. Three key features of European regions are investigated using this framework: the diversity of regional SSIP, the interplay of regional and national determinants of such systems, and the impact of SSIP on regional performance. We identify a typology of regional configurations resulting from the combination of scientific, technological, educational and industrial indicators, using multivariate data analysis. A variance analysis approach is then developed in order to test the existence of specific regional growth regimes. The results highlight a persistently high level of diversity of regional configurations, notably among knowledge intensive regions, but also show that national institutional settings remain of fundamental importance in shaping a number of regional configurations. A final conclusion relates to the weak correlation observed between the structural characteristics of regions and their performance over the 2003–2007 period: regional performance remains primarily shaped by national trends. Overall, the paper questions the regional dimension of these “systems”.     

Mapping the Geography of R&D: What Can We Learn for Regional Innovation Policy in the Czech Republic and Beyond?

Administrative regions do not necessarily correspond to areas that are homogenous in terms of innovation intensity. Although this has been recognized in the literature, quantitative evidence that explicitly considers this problem is rare. Using spatial exploratory analysis on detailed regional data derived from a census of R&D performers in the Czech Republic, we identify local spatial clusters of R&D activities and assess the extent of their (mis)match with administrative borders. Overall, the results support the arguments for regionalization of innovation policy. However, the existing policy units do not appear well suited for this purpose. On one hand, there is a need for policy coordination between multiple administrative regions. On the other hand, however, there are diverse patterns within them. Similar problems are likely to haunt the regionalization process in many other countries, which is alarming, as the regional accent of innovation policies becomes ever more vehement over time.