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Colin Crouch, Helmut Voelzkow "Innovation in Local Economies: Germany in Comparative Context"

The study of varieties of capitalism is moving on from the analysis of static national types to embrace local and sectoral diversity and the study of systems in the process of major change. This volume addresses the issue by examining four localised sectors, comparing a German case with one in another European country. The general changes taking place in Germany itself and the other countries (Hungary, Sweden, and the UK) form the context of the studies. The case studies concern:

* Furniture making in North-Rhine Westphalia and southern Sweden,

* Automotive manufacture in east Germany and northern Hungary,

* Biotechnology around Munich and Cambridge,

* TV programme and film-making in Cologne and central London.

The studies find a complex pattern of conformity with, and deviation from, national types, but only occasional examples of where divergence takes the form of a direct confrontation with a national model. This is partly because national models are themselves changing; partly because they are often capable of accommodating more diversity than is often assumed by national studies; and partly because firms are increasingly able to reach outside their national boundaries for institutional resources.

CONTENTS

List of Figures viii

List of Tables ix

Notes on Contributors x

1. Introduction: Local and Sectoral Diversity Within National

Economic Systems 1

Colin Crouch and Helmut Voelzkow

2. Rule-Breaking and Freedom of Rules in National Production

Models: How German Capitalism Departs from the ‘Rhenish

Equilibrium’ 22

Ulrich Glassmann

3. Three Cases of Changing Capitalism: Sweden, Hungary, and

the United Kingdom 43

Colin Crouch, Maarten Keune, Pernilla S. Rafiqui, Örjan

Sjöberg, and András Tóth

4. The Furniture Industry in Ostwestfalen-Lippe and

Southern Sweden 70

Pernilla S. Rafiqui, Martin Schröder, Örjan Sjöberg, Helmut

Voelzkow, and Colin Crouch

5. Testing the West German Model in East Germany and

Hungary: The Motor Industry in Zwickau and Gy˝or 91

Maarten Keune, Geny Piotti, András Tóth, and Colin Crouch

6. The Development of Munich and Cambridge Therapeutic

Biotech Firms: A Case Study of Institutional Adaptation 121

Simcha Jong

7. Creative Local Development in Cologne and London Film and

TV Production 139

Sabine Elbing, Ulrich Glassmann, and Colin Crouch

8. Conclusions: Local and Global Sources of Capitalist Diversity 169

Colin Crouch, Martin Schröder, and Helmut Voelzkow

References 189

Index 202

LIST OF FIGURES

2.1. Corporate financing in Germany by domestic

banks (1968–2005) 25

2.2. Trade union density in Germany, 1970–2001 32

2.3. Income differentials in Germany, 1984–2003 33

2.4. Vocational training contracts in Germany, 1978–2003 35

2.5. Industrial R&D expenditure, Germany, 1977–2000 38

6.1. Latest financing round Munich and Cambridge firms 131

6.2. Institutional breakdown of collaborators listed on

firm publications 132

6.3. Product pipelines Cambridge- and Munich-based

biotech firms 136

8.1. Relationships between coherence and complementarity in

‘normal’ and innovative activities 186

LIST OF TABLES

2.1. Collective agreements vs. company agreements (1989–2004) 30

8.1. Summary of main findings of the case studies 181

8.2. Patterns of institutional conformity and non-conformity in

localized sectors 185

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