This book analyzes the institutional underpinnings of East Asia's dynamic growth by exploring the interplay between governance and flexibility. As the challenges of promoting and sustaining economic growth become ever more complex, firms in both advanced and industrializing countries face constant pressures for change from markets and technology. Globalization, heightened competition, and shorter product cycles mean that markets are increasingly volatile and fragmented. To contend with demands for higher quality, quicker delivery, and cost efficiencies, firms must enhance their capability to...

Momentous developments in the global economy over the last two decades have dramatically increased the availability of industrial investment sites and lowered the cost of relocating core activities to new countries. But how should these developments be exploited for competitive advantage? Firms face competing pressures: scale economies and the advantages of proximity push them to concentrate activities in one or only a few locations, while low wages and new markets invite dispersal across several countries. This book examines how location decisions have contributed to the global dominance of...

Why do some middle-income countries diversify their economies but fail to upgrade to produce world-class products based on local inputs and technological capacities? Why have the "little tigers" of Southeast Asia, such as Thailand, continued to lag behind the Newly Industrializing Countries of East Asia? Richard Doner goes beyond "political will" by emphasizing institutional capacities and political pressures: Development challenges vary. Upgrading poses tough challenges that require robust institutional capacities. Such strengths are political in origin. They reflect pressures, such as...

Why do some middle-income countries diversify their economies but fail to upgrade to produce world-class products based on local inputs and technological capacities? Why have the "little tigers" of Southeast Asia, such as Thailand, continued to lag behind the Newly Industrializing Countries of East Asia? Richard Doner goes beyond "political will" by emphasizing institutional capacities and political pressures: Development challenges vary. Upgrading poses tough challenges that require robust institutional capacities. Such strengths are political in origin. They reflect pressures, such as...