Interestingly, the Italian model of the industrial district in the footwear sector is not
replicated elsewhere. In the case of Mexico, Rabellotti (1995) observed a substantial
difference in the linkages between firms. The relationship between suppliers and
manufacturers are mainly “market linkages”, simply based on a factor of price and not
through cooperation, as in Italy. Hing (1998) explores regional clustering in Taiwan and
focuses on the existing key role of trading companies, which did not play an important
role in Italy. The connection of these companies with international markets helped to
keep Taiwan’s small and medium sized shoe manufacturers up to date with rapidly
changing fashion trends and technologies. Trading companies serve as a hub of
information regarding managerial, technical and financial conditions in shoe factories.
In conclusion, a key feature of the footwear industry in Italy has been the increasing
flexibility of production and the strong links between producers of components and the
producers of final shoes within industrial districts. This has enabled Italian producers to
maintain market share and output in the high quality, design intensive, and fashion
sensitive part of the footwear market. The flexibility of production and labour input
have enabled footwear firms to respond quickly to changing demands and to efficiently
and effectively meet small scale orders for quality footwear. Clearly, such a response to
increased competition would not be appropriate in the case of the mass production of
standardised shoes. Nevertheless, the use of subcontracting to local firms and the
flexibility of small firms have been a crucial aspect of the success of the Italian
footwear industry. The response elsewhere in Europe, for example in the UK, of
increasing firm size has not provided a basis for effective competition in the global
market.
Nevertheless, the precise role that flexibility and industrial districts play in relation to
social exclusion is not entirely yet clear. Flexibility in the use of labour often means the
increasing use of temporary, part-time and cottage workers. The lack of employment
stability for these workers can be reflected in rising wage differentials compared to
skilled workers with higher job stability. In addition, these are workers who can miss
the social safety net which is in place for permanent, full-time workers.
5. Conclusions
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