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Theoretical and Applied Economics
No. 3 / 2011 (556)

Industrial District as a Corporation

Reza MOHAMMADY GARFAMY
Semnan University, Iran

Abstract. This paper provides a comparison study of industrial districts in two European countries, Spain and Sweden, using the conceptual framework of corporation. The relevance of this approach is based on the specific qualities that the industrial districts have, including the preexisting conditions, local traditions, products and production characteristics, marketing strategies, local policies and present challenges. The findings indicate the ways in which different patterns of inter-firm relationships, organization of production and dynamics of local alliances have shaped divergent regional responses to the industrial construction.

Keywords: industrial district, corporation, entrepreneurship, small and medium-sized enterprises (SMEs), transaction cost.

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