Plant Subsidiary Upgrading: Some Evidence from the Electronics Industry

Ewen Peters
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Ewen Peters: Scottish Enterprise

Chapter 14 in The Globalization of Multinational Enterprise Activity and Economic Development, 2000, pp 332-365 from Palgrave Macmillan

Abstract: Abstract To date the success of Scotland’ s Silicon Glen has largely been based on world-class manufacturing activity. For example, according to Scottish Enterprise (SE), the leading local development body, over 75 000 people are currently employed both directly and indirectly in over 450 manufacturing establishments in Scotland’ s electronics industry. Furthermore, Scotland has developed particular manufacturing strengths in high-volume product areas such as information systems, telecommunications equipment and semiconductors.1 Most of this capacity is overseas-owned. In 1993, research concluded that the long-term viability of Silicon Glen was threatened because of, inter alia, over-dependence on manufacturing, an underdeveloped local supply base and, importantly, insufficient local innovation (Monitor, 1993). The Scottish Electronics Forum, which represents the views of leading manufacturers locally, has since expressed its concerns regarding Scotland’ s apparent inability to develop higher value-adding activity around existing manufacturing, especially functions such as oroduct-related design and development.

Keywords: Business Group; Local Economic Development; Technological Spillover; Subsidiary Level; Development Investment (search for similar items in EconPapers)
Date: 2000
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DOI: 10.1057/9780230599161_14

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