The Ruhr Mittelstand: The Institutional Limits to Restructuring in Space

Christian Berndt
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Christian Berndt: Katholische Universität Eichstätt

Chapter 6 in Corporate Germany between Globalization and Regional Place Dependence, 2001, pp 121-150 from Palgrave Macmillan

Abstract: Abstract The first of the two chapters which deal with the responses of Ruhr Mittelstand firms focus on restructuring in space, that is on strategies which involve efforts to expand organizational space nationally and internationally (‘upscaling’). Using an approach similar to earlier chapters, Section 6.2 assesses the political–economic problems confronting the Mittelstand firms during the period 1990–5, identifying two sources of pressure, and identifies the firms’ general strategic responses. Section 6.3 then examines in detail how strategic expansion of organizational space is influenced by ‘barriers’ defined by political–economic contexts and socio–cultural structures, and how sample firms attempt to cope with this organizationally. The central finding here concerns the fact that increasing institutional distance as a result of upscaling and diversification mitigates against national and international expansion of organizational space.

Keywords: Business Group; Adjustment Strategy; Labour Market Regulation; Organizational Space; Interview Partner (search for similar items in EconPapers)
Date: 2001
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-0-230-50828-6_6

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DOI: 10.1057/9780230508286_6

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