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Manufacturing Renaissance: Return of manufacturing to western countries

Author

Listed:
  • Tavassoli, Sam

    (CSIR, Blekinge Inst of Technology)

  • Kianian, Babak

    (Blekinge Inst of Technology)

  • Larsson, Tobias C.

    (Blekinge Inst of Technology)

Abstract

This paper argues that the location of manufacturing is gradually shifting to the west again, i.e. Manufacturing Renaissance. Such claim is based on the recent observed trend and the discussion is contextualized within the established theory that has been able to explain the location of manufacturing, i.e. Product Life Cycle Model (PLC). Then the paper identifies and discusses the four main drivers of this new phenomenon. Finally, it is noted that the rerun of manufacturing should be kept in portion and not all industries are coming back to the west in the same pace.

Suggested Citation

  • Tavassoli, Sam & Kianian, Babak & Larsson, Tobias C., 2013. "Manufacturing Renaissance: Return of manufacturing to western countries," Working Papers 2013/04, Blekinge Institute of Technology, Department of Industrial Economics.
    • Handle: RePEc:hhs:bthcsi:2013-004
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    References listed on IDEAS

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    1. Swenson, Deborah L., 2005. "Overseas assembly and country sourcing choices," Journal of International Economics, Elsevier, vol. 66(1), pages 107-130, May.
    2. Karlsson, Charlie & Gråsjö, Urban & Wixe, Sofia, 2014. "Innovation and entrepreneurship in the global economy," Working Paper Series in Economics and Institutions of Innovation 385, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    3. Puga, Diego & Venables, Anthony J., 1996. "The Spread of Industry: Spatial Agglomeration in Economic Development," Journal of the Japanese and International Economies, Elsevier, vol. 10(4), pages 440-464, December.
    4. Louis T. Wells, 1969. "Test of a Product Cycle Model of International Trade: U. S. Exports of Consumer Durables," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 83(1), pages 152-162.
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    Cited by:

    1. Mohr, Sebastian & Khan, Omera, 2015. "3D Printing and Supply Chains of the Future," Chapters from the Proceedings of the Hamburg International Conference of Logistics (HICL), in: Kersten, Wolfgang & Blecker, Thorsten & Ringle, Christian M. (ed.), Innovations and Strategies for Logistics and Supply Chains: Technologies, Business Models and Risk Management. Proceedings of the Hamburg Internationa, volume 20, pages 147-174, Hamburg University of Technology (TUHH), Institute of Business Logistics and General Management.

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    More about this item

    Keywords

    re-shoring; locational shift; manufacturing; Product Life Cycle model;
    All these keywords.

    JEL classification:

    • E02 - Macroeconomics and Monetary Economics - - General - - - Institutions and the Macroeconomy
    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

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