Enacting local economic development – theoretical and methodological challenges

Purpose - The aim is to provide a conceptual framework that from a local perspective positions alternative ways to cope with the challenges of a globalising world. Design/methodology/approach - The notion of “organising context” is introduced as an ideal setting for business and community development processes as collective entrepreneurial efforts. A 3D model proposes means of structuring contemporary public discourses on local economic development. A bridging “virtual” logic is suggested that crafts and enacts localised entrepreneurial opportunities by bridging the territorial logic and the functional logic. The practices of these three rationales are illustrated by cases on community development in the Swedish rural setting. Findings - The globalisation of the world offers challenges to every individual, organisation and location. These contests can either be considered as openings for development or as threats which trigger defensive measures and ultimately produce lock‐ins. Local leadership and entrepreneurship define the outcome of change efforts. Research limitations/implications - Reflections on the conceptualisation and the empirical lessons raise epistemological and ethical questions which trigger alternative methodologies for researching complex community‐development processes. Interactive approaches where researchers get hand‐on involved in ongoing events appear as appropriate. Practical implications - The need for interactive research when enacting community development calls for a coalition between local stakeholders and researchers. By bridging local and formalised knowledge needed competencies and legitimacy for change can be created. Originality/value - By proposing and applying a vocabulary for diagnosing and evaluating the potential for local economic development both researchers and practitioners are invited to further knowledge creation.