Public Policies for Revitalizing Manufacturing Industries and GVCs

José Pla-Barber (), Andrea Pallás-Rocafull (), Ana Botella-Andreu () and Cristina Villar ()
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José Pla-Barber: University of Valencia
Andrea Pallás-Rocafull: University of Valencia
Ana Botella-Andreu: University of Valencia
Cristina Villar: University of Valencia

Chapter Chapter 7 in Global Value Chains and Competitiveness, 2025, pp 137-151 from Springer

Abstract: Abstract In this chapter, we explore how governments in developed countries address the competitiveness challenges faced by Small and Medium Enterprises (SMEs) in manufacturing industries. This analysis is crucial because recent public policies supporting competitiveness have been seen as overly interventionist, pushing aside the debate over the most effective measures and instruments and hindering organized academic discussion. SMEs currently face several environmental challenges they cannot tackle alone, including the loss of productive capabilities due to offshoring, systemic risks in global value chains (GVCs), the need for resilience, technological shifts, and the transition to greener models. We review the evolution of industrial policy and propose a discussion framework based on Porter’s Diamond Model (1990). Finally, we present several industrial strategies that should define these areas of public support.

Keywords: Industrial policy; SMEs; Manufacturing industries; Global value chains; Competitiveness (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-031-78308-1_7

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DOI: 10.1007/978-3-031-78308-1_7

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