By Özlem Öz (auth.)
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An approach that shares a common thread with the flexible specialization perspective is the socioeconomic approach, which emphasizes the specific roles played by the social situation and politics. We shall consider this in the following subsection. The parts played by the social situation, trust and politics This perspective is concerned with social, cultural and institutional influences on the competitiveness of clusters. Brusco (1996), for instance, argues that the importance of knowledge accumulation exceeds that of capital accumulation.
The geographical dimension of the criticisms of Porter’s attitude towards FDI is the focus of a work by Lagendijk and Charles (1999), who emphasize the importance of foreign assets in clustering and suggest that at the regional level the issue of multinationality becomes an issue of multiregionality. 7 Rugman and Verbeke (1993, p. 72) challenge ‘Porter’s allegation that the core competencies of large MNEs and the innovative processes occurring within these firms necessarily need to depend upon the characteristics of a single home base’.
Stopford and Strange (1991) criticize Porter’s lack of formal analytic modelling, while Bellak and Weiss (1993), Dunning (1992) and Grant (1991) question the originality of the framework. Porter has also been criticized for his treatment of macroeconomic policy (Daly, 1993), for his failure to clearly define determinants and several key terms (Grant, 1991) and for paying insufficient attention to modern trade theory (Bellak and Weiss, 1993) and the role of national culture (Van den Bosch and Van Prooijen, 1992).