evolution of the industry proceeded from producing lumber through to a diverse range of milled wood, pulp, paper, and furniture, and specialised inputs and diverse goods, as shown in Figure 5.1. This evolution increasingly drives, and its survival is dependent on, a deepening and diverse knowledge base and the organisations which acquire and diffuse knowledge and develop human resources – Figure 5.2 Figure 5.1: Development of the Forest Industry and Linkages in Finland Source: Fuchslocher (2007) p9. Many countries, both developed and developing, have sought to link capability and industry development to major investment in resource projects. Several researchers have sought to identify the factors that shape the effectiveness of measures to harness resource investment for local industry development. The factors identified in a number of recent studies are summarised in Table 5.1 Figure 5.2: Development of Backward Linkages in the Finnish Forestry Industry Source: Fuchslocher (2007) Table 5.1: Main Determinants for the Development of Domestic Technology suppliers Industry‐Level Supplier Firm Level Industry and Industrial Policy Level Institutional Context [Mining Companies and Major Suppliers] Demand (size, growth, Competitiveness/ Industrial context SMEs (innovation, diversification, novelty, the Competence venture and start-up Financial and regulatory cumulative effect of other capital, export (position of established barriers to firm domestic demanding promotion, training, global producers, formation, inter-firm industries, the scale and technology and production and collaboration and technology-level required, information transfer) operations, division of labour the age and maturity of technologies worldwide Level of technological and the distance to interdependence or potential international systemic links. suppliers) Customer behaviour and policies for collaboration Structure (high Entry strategy (acting on Industry organisations Linkages (territorial concentration and the competitive factors, that support promotion, information instability have a negative capable entrepreneurs networking and policy transfer, coordination, influence on cooperation – strategic management lobbying local content rivalry favours innovation and cooperation), requirements, linking and bargaining power of Mentoring dynamic sector with technology suppliers, strategic but less Entry from suppliers to relationships/division of dynamic ones, tax other industries, ‘spin
evolution of the industry proceeded from producing lumber through to a diverse range of milled wood, pulp, paper, and furniture, and specialised inputs and diverse goods, as shown in Figure 5.1. This evolution increasingly drives, and its survival is dependent on, a deepening and diverse knowledge base and the organisations which acquire and diffuse knowledge and develop human resources – Figure 5.2 Figure 5.1: Development of the Forest Industry and Linkages in Finland Source: Fuchslocher (2007) p9. Many countries, both developed and developing, have sought to link capability and industry development to major investment in resource projects. Several researchers have sought to identify the factors that shape the effectiveness of measures to harness resource investment for local industry development. The factors identified in a number of recent studies are summarised in Table 5.1 Figure 5.2: Development of Backward Linkages in the Finnish Forestry Industry Source: Fuchslocher (2007) Table 5.1: Main Determinants for the Development of Domestic Technology suppliers Industry‐Level [Mining Companies and Major Suppliers] Supplier Firm Level Industry and Institutional Context Industrial Policy Level Demand (size, growth, diversification, novelty, the cumulative effect of other domestic demanding industries, the scale and technology-level required, the age and maturity of technologies worldwide and the distance to potential international suppliers) Customer behaviour and policies for collaboration Competitiveness/ Competence (position of established global producers, production and operations, Industrial context Financial and regulatory barriers to firm formation, inter-firm collaboration and division of labour Level of technological interdependence or systemic links. SMEs (innovation, venture and start-up capital, export promotion, training, technology and information transfer) Structure (high concentration and instability have a negative influence on cooperation – rivalry favours innovation and bargaining power of technology suppliers, relationships/division of Entry strategy (acting on the competitive factors, capable entrepreneurs strategic management and cooperation), Mentoring Entry from suppliers to other industries, ‘spin Industry organisations that support networking and policy lobbying Linkages (territorial promotion, information transfer, coordination, local content requirements, linking dynamic sector with strategic but less dynamic ones, tax
sub006-major-projects.docx