The aim of this chapter is to examine the extent to which East European Economies (EEEs) have succeeded in attracting foreign direct investment (FDI) during the 1990s and to consider whether there are any lessons which can be learned from the well-developed inward investment policy of the UK and its regions. 1 A discussion of the theories of FDI and the multinational enterprise (MNE) is eschewed (for recent reviews, see Dunning 1993a and Caves 1996) and the chapter begins with a brief consideration of the locational requirements of MNEs, host country factors associated with the attraction of FDI and some specific factors pertaining to the EEEs. This is followed by an analysis, based on secondary data, of stocks of FDI in the EEEs and flows into them. The chapter concludes with a discussion of policy issues.

There was a rapid decline in the economic performance of Coventry during the 1970s and early 1980s which mirrored that of the British economy over this period. Deteriorating national economic conditions in the early 1970s were associated with the 1973/1974 international oil crisis, followed between 1978 and 1982 by a severe recessionRecession and then a recoveryrecovery phase in the remainder of the 1980s. Compared to Britain as a whole, Coventry lostJob loss 1970s–1980s a higher proportion of its employmentEmployment during the recessionRecession but the city gained relatively more employmentEmployment in the recoveryrecovery phase during the rest of the 1980s. This change in Coventry’s relative employmentEmployment performance has been taken by Healey and Dunham (1994) as indicating a change from relative competitive disadvantage to relative competitive advantage.

This article focuses on how a disparate group of firms was put together by the Rootes brothers in the late 1920s and early 1930s through a series of takeovers and mergers, catapulting the brothers from being simply car dealers to becoming major manufacturers in less than a decade. The article considers the wartime and post-war experiences of the firm, before proceeding to examine why, within a relatively short time, the firm, despite further merger activity, declined in terms of product development, investment and profitability, and was saved from extinction only by being taken over by the American firm, Chrysler.

This article examines how the structure of the automotive industry in the West Midlands has changed since the 1970s. In the early 1970s the region accounted for about 60% of total car production in the UK. By 2008, this had dwindled to 18%. The discussion here will focus particularly on the most likely reasons for the decline in volume production and the area's increasing reliance on relatively small scale luxury car production. The automotive industry was caught up in the general de-industrialisation that took place in the region since the mid-1960s prior to the economic crisis of the early 1980s, as well as suffering from the effects of increasing globalisation in the car industry itself. By 2008 the context for the sector had become the global financial crisis. Due to a lack of economies of scale and investment domestic firms such as British Leyland (BL) and Rootes became increasingly unable to compete in the market place despite restructuring and government intervention. Similarly, foreign direct investment (FDI) by firms such as Chrysler, Peugeot, BMW and Ford through a series of takeovers failed to restore prosperity and eventually all of them withdrew from the region. The outcomes have led to factory closures and a hollowing out of both the assembly and component sides of the industry, leaving the region heavily dependent on Jaguar and Land Rover (JLR) which was acquired in 2008 by the Indian conglomerate, Tata. This article assesses the reasons for the decline of the automotive sector in the West Midlands region by contextualising its growth and decline against that of the UK auto sector as a whole. Considerable emphasis is placed on the fates of a number of key firms in the region - the British Leyland Motor Corporation (BLMC), MG Rover, Rootes and Jaguar - with explanations offered for their respective failures.

In 2012, KPMG published a report outlining the successes in the growth and development of the UK automotive industry. All augured well for the future. Tucked away at the back of the report was a warning that the industry’s progress could be hindered due to a serious lack of skilled labour at both the graduate and non-graduate levels. This paper seeks to explore the various reasons why this deficiency in skills has arisen. The seriousness of the problem has been recognised for many years, but it is only recently that it has been afforded the attention deserved. The discussion will focus on and evaluate government, employers and the education system’s roles in this and also their attempts to alleviate the problem.

Examines trends in the flows of direct investment to the West Midlands region of the UK during the 1980s. An analysis of Invest in Britain Bureau data reveals two trends of particular interest: the marked increase in the WMR′s share of FDI flows to the UK during the 1980s, and the unusually large flows to the region from EC countries. Two surveys on locational factors revealed the attraction of the WMR as being its central position within the UK and its good national, regional and local communications. The effect of those flows to the WMR was to alter the stock position so that, in 1989, 39 per cent of the stock of FOCs originated from other EC countries and 37 per cent from North America. A survey of 111 of these companies revealed a number of differences between the behaviour of FOCs from the EC and North America: in sectors and functions, employment and training, the sourcing of inputs, export markets and R&D activity. Hypothesizes that many of the differences can be explained by the different vintages of the investments. A major policy implication which arises from the analysis is that the full benefits of FDI to a region take time to build up. Moreover, local policy action may be necessary to capture these long‐term benefits.

Over the past decade, sales of China's automotive industry rose from 2 million units to 18 million units overtaking the USA industry's level of sales in 2009. This paper analyses the development of the automotive industry in China with a particular focus on the role of the joint venture mode of foreign direct investment. Theories of multinational enterprises and foreign direct investment are examined to provide explanations for the motives for international investment, particularly joint ventures, and the predicted effects upon the host country. In addition to the contribution of joint ventures to the automotive industry in China, the development of indigenous Chinese automotive firms is also discussed.

This paper concentrates on how China's industrial policy towards its automotive industry has developed since the onset of the 'Open Door Policy' in the 1970s. In particular, attention is paid to the legacy of the Communist era and how this has hindered the industry's long-term development. Additionally, discussion focuses on the role played by Foreign Direct Investment in trying to improve China's long term competitive position, and on policy comparisons with Japan and Korea. The paper notes that the Chinese automotive industry suffers from major structural, technical and organisational weaknesses. It explores what steps are being taken to remedy these with the help of government policy so that China might be able to achieve its goal of holding 10% share of the global car market beyond its own frontiers by the decade 2020-2030. In so doing, it highlights the differences in policy with those pursued in Japan and Korea and the 'uniqueness' of the Chinese approach thus far.

Overall, the labour force in the UK is ageing, although at different rates in different areas. This poses challenges for workforce development, and has implications not only for older workers, but for everyone, everywhere. However, demography is only one element in labour supply. It needs to be considered alongside trends in participation rates and in a broader policy and cultural context, and alongside likely changes in labour demand, in order to gain a picture of regional and local labour market prospects. The thrust of government policy is to raise employment rates amongst older people (aged 50-69) and to promote 'active ageing'. The decline in employment rates amongst older men evident in the 1980s has been reversed, but participation rates remain low by earlier standards. Shifts in the industrial and occupational structure of employment mean that there is likely to be a growing demand for customer care and service skills, which older people are well-placed to provide. Yet estimates of 'replacement demand' show that some of the most pressing workforce development issues are experienced in declining sectors and occupations, with an older than average age profile. Examples include agriculture and social care in Cornwall, where there is a lack of new recruits to replace those retiring. It is concluded that improved local intelligence on labour market flows and prospects is needed to inform skills and learning priorities. Copyright (c) 2006 John Wiley & Sons, Ltd.

In the context of demographic and workforce ageing, this paper examines the participation of older females in the labour market. While there has been increasing interest in lower employment rates amongst older males, little attention has been paid to older females. The paper reviews some of the determinants of female participation rates. It then moves on to explore issues and policies associated with education, training and learning; age discrimination and equal opportunities ; and pensions and benefits. In conclusion, a suggested research agenda - providing information to help guide the formulation and implementation of policy - is outlined.

The exclusion of older workers from the labour market is a wide-spread phenomenon in Britain, but that the problem has proved to be worse in traditionally depressed regions, where fewer job opportunities are available. A number of local initiatives have been developed to help older workers re-enter the labour market, but initiatives and good practice are often isolated from each other. In this article, authors Collis, Mallier and Smith-Canham examine examples of good practice and the barriers which have constrained their continuation; in addition, some initiatives which are not good exemplars are discussed.

(1996). Third Age Male Activity Rates in Britain and its Regions. Regional Studies: Vol. 30, No. 8, pp. 803-809.

The return to favour of community planning in the U.K. in recent years provides local people with an increased opportunity to become involved in the planning process. However, the degree to which they do will largely depend upon the local authorities' commitment to public consultation. Given the minimum of legislation enforcing local authorities to consult over planning matters it is therefore surprising to find major consultation exercises being undertaken. The Hillfields Local Community Plan in Coventry provides a good example of consultation which involved interest groups, residents, businesses, and shoppers. The exercise provided qualitative and quantitative information which has assisted planners formulating a Local Action Plan, the implementation of which will help the local community address problems which it has identified.

This article applies duration analysis to pricing behaviour in an oligopolistic industry, namely the UK Retail Petrol Industry, for the period January 1983 to October 1989. The findings of the analysis are that: a period of rising or falling prices will reduce the lengths of price stability and that periods of price stability ending in March or April lasted longer than those ending in other months as firms awaited changes in the excise rate in the Budget. There was no evidence that the leading firm, Esso, exhibited longer periods of price stability, a result consistent with the hypothesis of conscious parallelism in pricing behaviour in an industry.

Examines trends in the flows of direct investment to the West Midlands region of the UK during the 1980s. An analysis of Invest in Britain Bureau data reveals two trends of particular interest: the marked increase in the WMR′s share of FDI flows to the UK during the 1980s, and the unusually large flows to the region from EC countries. Two surveys on locational factors revealed the attraction of the WMR as being its central position within the UK and its good national, regional and local communications. The effect of those flows to the WMR was to alter the stock position so that, in 1989, 39 per cent of the stock of FOCs originated from other EC countries and 37 per cent from North America. A survey of 111 of these companies revealed a number of differences between the behaviour of FOCs from the EC and North America: in sectors and functions, employment and training, the sourcing of inputs, export markets and R&D activity. Hypothesizes that many of the differences can be explained by the different vintages of the investments. A major policy implication which arises from the analysis is that the full benefits of FDI to a region take time to build up. Moreover, local policy action may be necessary to capture these long‐term benefits.