PISANO & BUCIUNI: s.Why Hasn't Globalization Killed Manufacturing Clusters? - Cheaper Economies, Forbes
Why Hasn't Globalization Killed Manufacturing Clusters? - Forbes:
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'via Blog this' Pisano and Buciuni wanted to test the theory of the dying cluster. “I think people in general think well, there’s globalization so there’s no need for clusters,” Pisano says. “What we came to is it really depends. It’s not all or one.” The four clusters used in the field study had differing fates. Two—sports shoes and wooden chairs—declined while the other two—high-end women’s shoes and furniture—not only survived but thrived. The two shoe clusters studied are physically only 50 kilometers apart, but worlds apart in their success. The sports shoe cluster in Montebelluna dates back to the 1800s when local artisans began making hiking boots. The cluster later expanded into ski boots and sneakers, and drew investments from major brands like Nordica and Nike. Lead firms started offshoring production to cheaper economies like Romania and China, separating the R&D from production, which was high volume and mostly unskilled. They created molds for soles and other components that then could be shipped elsewhere for production. As a result, the local workforce dropped by 15% between 2006 and 2012. “What happens in some contexts is that you no longer have to be close to the sources of production. That happened with the ski boots. Once you’ve made the mold, that boot can be produced anywhere in the world,” Pisano says. The women’s shoe cluster also sprouted in the 1800s, when leather shoe production began in Riviera del Brenta. That cluster maintained production locally while also investing in R&D and engineering. The region is now producing an estimated 90% of women’s luxury shoes that sell for $500 or more per pair. Page 1 / 3 Continue Comment on this story Print Report Corrections Reprints & Permissions
This article is redigitized for EDUCATIONAL PURPOSES ONLY, for students of Globalization:
Why Hasn't Globalization Killed Manufacturing Clusters?
'via Blog this' Pisano and Buciuni wanted to test the theory of the dying cluster. “I think people in general think well, there’s globalization so there’s no need for clusters,” Pisano says. “What we came to is it really depends. It’s not all or one.” The four clusters used in the field study had differing fates. Two—sports shoes and wooden chairs—declined while the other two—high-end women’s shoes and furniture—not only survived but thrived. The two shoe clusters studied are physically only 50 kilometers apart, but worlds apart in their success. The sports shoe cluster in Montebelluna dates back to the 1800s when local artisans began making hiking boots. The cluster later expanded into ski boots and sneakers, and drew investments from major brands like Nordica and Nike. Lead firms started offshoring production to cheaper economies like Romania and China, separating the R&D from production, which was high volume and mostly unskilled. They created molds for soles and other components that then could be shipped elsewhere for production. As a result, the local workforce dropped by 15% between 2006 and 2012. “What happens in some contexts is that you no longer have to be close to the sources of production. That happened with the ski boots. Once you’ve made the mold, that boot can be produced anywhere in the world,” Pisano says. The women’s shoe cluster also sprouted in the 1800s, when leather shoe production began in Riviera del Brenta. That cluster maintained production locally while also investing in R&D and engineering. The region is now producing an estimated 90% of women’s luxury shoes that sell for $500 or more per pair. Page 1 / 3 Continue Comment on this story Print Report Corrections Reprints & Permissions
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