Industrial Localisation and Economic Development - Salerno, Italy

Description

The aim of the paper is twofold. The first was to identify, by means of cluster analysis, specialization of industrial areas in Salerno. In order to do so, some methodological points are previously selected from the current approach to development economics that focuses both on genesis and evolution of local systems. This research emphasises the role of the immaterial resources and institutions.

The results depict a variegated territory comprising both areas of closed economy, where the purpose of economic activity is to satisfy basic needs (food and housing), and areas that display a certain degree of economic openness towards the outside markets. Many clusters with high indexes of manufacturing specialization are classified as areas of sub furniture or as areas born by an exogenous intervention.

The second aim of the research is to measure the social conditions that should foster the growth of new industrial districts within different areas of productive specialization, just identified by the cluster analysis.

Background information

One of the most important social and economic Italian problems is the underdevelopment and the lower levels of industrialisation of the Southern part of the Country. Since the first years of post WW II, many Government interventions have been token place in order to encourage the localisation of firms in this area.

Particularly at the end of the 1950’s, in concomitance with the phase of strong expansion of the big industry in the Northern Italy, the Government choice was to encourage the localization of big firms in the area in order to employ as many workers as possible.

Methodology

For the first part, statistical analysis of the specialization indexes of the local labour market systems were used.

The second part used a simple correspondence analysis of a set of qualitative variables surveyed, by a questionnaire given to 462 businesses in the province of Salerno.

Conclusions

The research presents a construction of a detailed place/sector matrix of the Province of Salerno. Subsequent analysis brought out the variety of specializations in the areas surveyed. Still evident was the difference between inland areas and the coastal belt. However, inland areas no longer seem to constitute a monolithic phenomenon, given that they display different paths of development.

One of the main factors influencing the industrialization indexes of local labour market systems is the presence of communication routes, mainly motorways – besides the physical features of the terrain.

The researchers deduced from the results of the correspondence analysis that there were no true industrial districts in the province, given that there was no evidence of competition/cooperation among
enterprises in the same productive sector, nor of networking among firms, institutions and individuals located in a particular area.

Contact info

Università degli Studi di Salerno - Department of Economics and Statistics
Maria Rosaria Garofalo, tel. +39 089962153

Project finished

01/10/2002

Researcher

Gianluigi Coppola, Maria Rosaria Garofalo and Fernanda Mazzotta