Politics and the Shape of the Dynamic Production Systems in Argentina and Chile
The detailed study in the last four chapters of DPSs in two developing countries has identified a series of public policies and business strategies that contributed to dynamic growth. The analysis has also substantiated how the absence of certain policies and the failure of certain strategies also explain many of the weaknesses in each DPS. More specifically, the Argentine case benefited from a strong local community and active institutions within civil society that stimulated extensive interfirm co-operation. The role of supportive public policies, however, has been disappointing, because of their absence, or their ineffectiveness in improving the productive potential of the sector. In Chile, the situation has been almost the reverse. While the state has very effectively supported the development of a dynamic entrepreneurial sector in the fruit industry, it has failed to develop institutions that stimulate interfirm co-operation. The performance of this DPS has also suffered from Chile’s weak local communities, which do not provide the forums in which dense social interaction can develop among the relevant public and private actors of the production system, facilitating trust-based relations and mutual collaboration.
KeywordsCivil Society Federal System Dairy Sector Spanish Colonial Chilean State
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