Telecommunications and the local economy: Some emerging policy issues

This paper provides a brief overview of the issues which surround local economic development and telecommunications. The implications of telecommunications for urban and regional development in the present “information-based” era are outlined and the seven basic features of this development are described. Some necessary steps and conceptual approaches to developing specifically local development policies in this new area are then expounded by way of the development of a “framework for the local policy maker”. Finally, several leading attempts at developing locally controlled telecommunications infrastructures in the UK, as agents of economic and social development, are briefly analysed.     

Cable and local economic development: Local authority roles and responses

There has been much recent comment about the development of the “information superhighway” and the opportunities that this will create for economic development. Yet elements of such a superhighway are already in place through the activities of cable companies in the UK This paper outlines the development of cable to date and examines the response of local authorities to such developments.     

Playing the defence card: Local authority responses to the 1992 regional policy consultation paper

After two decades or more of hope, the jubilation over the relaxing of the “cold war” is tempered in those localities dependent in some way on the defence industries. In June 1992, the UK government produced a consultation paper on the topic of regional industrial policy and this provided an opportunity for defence-related local authorities to “flag up” their problems. The review event offers a common reference activity around which to compare the occurrence and the nature of local reactions. This article investigates the responses from a large sample of these local authorities, exploring the arguments put forward, the representations made, and the strategies deployed. It also tries to account for the various attitudes and reports on the outcome of the review process. Amongst an array of interesting findings, the analysis reveals a range of response strategies by local authorities and a variety of attitudes to policy support.     

Industrial property letting: Lessons from the GLC's policies and experience

The GLC, and the Greater London Enterprise Board, has been developing innovatory policies for letting industrial properties. The aim has been to support priority industrial sectors and to require “good employer” practices by tenants

Although the full value of this work has been cut short by the abolition of the GLC, the experience acquired raises important issues for other local authorities who wish to use their industrial property instrumentally to support other employment development policies.     

Building and sustaining inter-firm networks. Lessons from training and enterprise councils

The academic discussion of business co-operation and networks is often undertaken in fairly abstract terms. The objective of this paper is to add some realism through “on-the-ground” examples of inter-firm networks in which Training and Enterprise Councils (TECS) have acted in a facilitating and supportive capacity. This paper considers the practicalities and problems that TECs, often in the shape of “network brokers”, have encountered in facilitating the building and sustaining of local inter-firm networks, primarily among SMEs, in a number of differing scenarios. It was found that the most effective and sustainable networks are initially based on informal relations, such as those developed through voluntary attendance at “learning” workshops and seminars. As trust emerges and bonds are gradually gained these arrangements may evolve into more formal and long-term associations. It is suggested that the initial focus of projects should consist of expanding the “stakeholder webs” of SMEs through learning networks that focus on building the stock of social capital. Furthermore, gaining sufficient reserves of social capital should be considered prior to the planning of any formal “dotted line” commercial or innovation-based relations.     

Rethinking the role of the service sector in local economic revitalisation

This article evaluates the role of the service sector in revitalising local economies. Using case study evidence from the Fens, the view that services are “parasitic” activities is refuted. Instead, services are shown to contribute positively to local economic rejuvenation not only as “basic” activities which bring income into local economies from outside but also, just as importantly, as locally-oriented activities which stop income from leaking out of the locality. The consequences of this reconceptualisation of services for the nature of local economic policy are addressed.     

Integrating the economic and the social. Policy and institutional change in local economic strategy

Since the mid-1990s policy “integration” has become an increasingly salient theme within central government and local government policy-making. In this paper we report survey findings tracing the recent emergence of explicitly “integrated” local economic and social strategies, and the evolving position of ostensibly social themes in local economic strategies. These highlight some of the more important policy and institutional changes that have characterised local economic strategy in the post-Thatcher era. Subsequently, in the light of this initial data we outline a number of possible directions for further research.     

Managed workspace. Do tenants stay too long?

The managed workspace format rose to prominence as a tool for local economic development during the 1980s, Its popularity has continued into the 1990s, offering support for new and small firms in their early stages of operation through the provision of suitable premises and a “protected environment”. In this article, evidence is presented to indicate that a significant proportion of tenant firms are, in fact, remaining in managed workspace well beyond the early stages of operation for which it is primarily intended, and we examine the reasons for this. Most significantly, this examination reveals that the added costs associated with the provision of the “protected environment” often appear to produce little in the way of added value for these more mature tenant firms, and on this basis we conclude with a call for a reappraisal of the role for managed workspace in local economic development policies.     

Greening the local economy

While there has been a growing awareness of environmental issues in recent years, there has been little attempt to integrate environmental policy with economic development issues. This paper argues that this is an issue which should be addressed by local authorities and suggests ways in which local authorities could begin to move towards sustainable local economic development.     

Re-booting the local economy: Information and communication technologies in local economic strategy

Many local economic strategies today include reference to a communications infrastructure that involves electronic networks alongside that of roads and railways. Information and communication technologies (ICTs), often referred to as the “information superhighway” or informatics, are considered useful to stimulate local economic activity. This paper, based on a North East case study, suggests that the importance of ICTs to local economic strategy lies in the rationale of key local strategy makers, while the use of ICTs for local economic development means that the local governance of ICTs will become a salient feature in future economic development.     

“Action for cities” and the urban environment

Government inner city policy has failed to solve problems of unemployment, dereliction, homelessness and social stress. The problems and their possible solutions are linked to environmental problems and the need for environmentally sustainable development in urban areas. Government policy on these issues is incoherent, and existing policies under “Action for Cities” will not reverse current trends of environmental degradation.     

Small business service firms and the 1990s recession in the United Kingdom: Implications for local economic development

During the 1990s recession, the UK experienced a dramatic growth in employment in information-intensive business firms. This paper explores this growth with reference to small management consultancy and market research firms. Business service firms continued to be established and to grow during the recession because of three related attributes: professional expertise, an existing reputation and a network of client contacts. These attributes are related to the theoretical work of Granovetter (1973; 1982; 1985) who argues that “weak ties” operate to connect different groups of people together. The implications of these attributes for local economic development are considered. Success for all companies at the level of the local economy will be partially dependent on efficient and effective use of available business service expertise. The three attributes make it impossible to develop successful mechanisms to encourage the formation of business service companies in areas with underdeveloped service infrastructure. Mechanisms, however, may be developed at the local level to encourage the establishment of “weak ties” between local companies and regional and national providers of business service expertise.     

Improving competitiveness. Critical success factors for tourism development

For a variety of reasons an increasing number of local authorities and other agencies have turned to tourism as a means of economic development. To date, however, the level of activity among policy makers has not been matched by research that might inform their deliberations. Although the importance of demand-related issues — such as the promotion of particular destinations — is recognised, this paper shifts the focus to the neglected issue of sector supply. It argues that if tourism is to contribute to economic development that is sustainable, private — and public-sector facilities (such as attractions or hotels) must be nationally — and often internationally — competitive. The paper proposes a model for understanding the competitiveness of organisations in the sector and reports the findings of its application in a case study of east and south-east London.     

Local economic strategies: Paradigms for a planned economy?

Interventionist local economic strategies are perceived by the present government as a significant threat, as shown by the concerns of the Widdicombe inquiry. But are they of lasting influence, or mere “fashionable playgrounds for the new left"? John Benington identifies a major shift in the way local authorities see their own role as employers and purchasers. But there is also a risk that the new left approach will become depoliticised and bureaucratised, and that certain community and trade union activities which have been strengthened by the local state will become dangerously dependent on it.     

Neo-Corporatism and Territorial Economic Development: The Ecuadorian Indigenous Movement in Local Government

This article argues that the democratization of local governments that has been led by indigenous movements in Ecuador can best be described as “neocorporatist”. The article, based on the evidence from two cases of indigenous local governments in the Andes, argues that the forms of “neo-corporatism” created by the Ecuadorian indigenous movement on its entry into government are designed as participatory institutional frameworks that also serve as channels for the expression of social movements’ demands. The neocorporatist practices deployed by indigenous movements in these areas have had mixed results, both in terms of their implementation and of their capacity to foster viable income-generating activities for poor rural areas. On balance, while the forms of neocorporatist government fostered by the indigenous movement can have positive impacts on economic development, there are still two broad limitations. First, it continues to be difficult to foster a process of territorial economic development that effectively addresses the distinct interests that exist among different community organizations. Second, the negative effects of the wider economic context in which local territories find themselves remain beyond the control of the local government.     

Stakeholding and the local economy

During the 1980s local economic policy became an issue of major political concern. The polarisation of the New Right market-led strategies advanced by the Thatcher governments and the New Left-inspired counter-response, typified by the last years of the GLC, reflected the tenor of national political and economic debates at the time. Arguably, in the 10 years since the abolition of the GLC, local economic development has been devoid (some might say spared) of any “big idea” arising from wider political debates. Recently, however, there have been signs that a new political direction may be emerging at the national level with significant implications for local economic policy. That direction is the notion of stakeholding.     

A strategic development management orientation for local authorities 1

One of the direct consequences of political transformation in South Africa is an increasing emphasis on development. An important element of this is the often‐expressed wish that local authorities become more development orientated. For the purposes of this article, being ‘developed’ is defined as having the capacity and power to resist threats from the dynamic environment and to utilise its opportunities in a responsible and sustainable manner. Development is not a condition that can be bestowed on people by a local authority or any other development agent. But a local authority is part of the multidimensional environment, and a development‐orientated local authority contributes to the process of development by purposefully eliminating threats from this environment and providing access to opportunities in matters it is mandated to deal with. A development‐orientated local authority should therefore have a strategic (or mission‐driven) development management approach. This article proposes an arrangement to incorporate such an approach into the organisational structure.     

Third time right? The EC's third action programme for women

Amid the welter of “new initiatives” from Brussels promoting social integration is a programme for women which appears to offer something new. Nothing in the way of new money, nor novel employment projects, rather a distinctly feminist flavour: “equality” is now to be integrated “into general mainstream policy”; grassroot action - organisation at the local and regional level - is required; working life has to be “reconciled” with family responsibilities and, finally, “women's unequal representation in all spheres of decision making” has to be addressed.

How far this rhetoric will translate into enhanced employment prospects for women, especially women in this country, is nevertheless highly problematic.     

Local governance and urban prospects: The potential of city pride

The recent re-alignment of urban policy, involving the promotion of a diversity of public-private partnerships, a fostering of local business elites, and the increasing importance of city marketing and image reconstruction, all point in the direction of a “new localism” in urban regeneration. Focusing on the potential of the recent City Pride initiative in building up consensual and holistic “visions” of Britain's main cities, the following set of papers assess the role of the “urban prospectus” in fostering local coalitions and the benefits of mutuality in order to address issues of resource procurement and allocation. The potential of this new approach for targeting large-scale programme and project investment in the local economy, infra-structural priorities and aspects of social cohesion are all considered by the contributing authors, who look specifically at recent developments in London, Manchester and Birmingham.     

It is time to start “Rethinking Socialist Economics”

For the next few years, economic and employment policies will be dominated by the Conservative Government's programme. However, the debate on “alternative” policies should not be allowed to die. This review suggests that the issues raised by “Rethinking Socialist Economics” deserves serious attention.