Implementation

Regional Strategy in Nueva Viscaya, Mexico, 1999

    Description
    This paper describes the strategy being pursued by the former entrepreneurs of the affected industries in Nueva Vizcaya in partnership with the local University to revitalize and make internationally competitive the region's economy. In a country where the cost of credit is prohibitive for most small and medium-sized businesses, the Nueva Vizcaya strategy concentrates solely on growth through non-financial services. The regional strategy supports targeted, low-cost business services and human resources/training to new and developing businesses. The focus is largely on generating new micro and small businesses in targeted areas of the region's comparative advantage. The critical element of this strategy is the regional context: business services and training are delivered, new businesses are stimulated, and the region is promoted all around a sophisticated diagnosis and plan for the long-term development of the region around new growth sectors. Rather than delivering services one-on-one to firms, many of the services are offered to firms on a group basis, either for firms within a particular sector/industry or for those located in a particular subregion

    Summary of results
    This is a project in its early stages. One of the more interesting lessons garnered to date is the advantages found in delivering services on a group, rather than individual firm basis. These informal groupings have facilitated new business interactions and cooperation in joint marketing, investments, and promotion that are important to catalyzing firm growth on a regional basis. The paper details the progress achieved to date in terms of employment expansion (600 jobs out of a five-year goal of 3,000), delivery of services to firms (900 reached to date out of a three-year goal of 600) and lessons learned in expanding business through a regional growth strategy. The paper is careful to emphasize, however, that this project is in just its first year of a major expansion and has yet to undergo a systematic evaluation. It is only through a more rigorous evaluation of the costs and outputs of the Nueva Vizcaya strategy, as is planned within the next year(s), that the efficiency, utility and applicability of this model can be assessed.

     
    Associated Activities and Documents
    Synthesis Documents
    »Rio de Janeiro DC Conference, 1999 (global)