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Public Policies for Revitalizing Manufacturing Industries and GVCs

In: Global Value Chains and Competitiveness

Author

Listed:
  • José Pla-Barber

    (University of Valencia)

  • Andrea Pallás-Rocafull

    (University of Valencia)

  • Ana Botella-Andreu

    (University of Valencia)

  • Cristina Villar

    (University of Valencia)

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.

Suggested Citation

  • José Pla-Barber & Andrea Pallás-Rocafull & Ana Botella-Andreu & Cristina Villar, 2025. "Public Policies for Revitalizing Manufacturing Industries and GVCs," Springer Books, in: Global Value Chains and Competitiveness, chapter 0, pages 137-151, Springer.
    • Handle: RePEc:spr:sprchp:978-3-031-78308-1_7
    DOI: 10.1007/978-3-031-78308-1_7
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