jobs underpin recovery discuss the big picture l.
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“Jobs Underpin Recovery”. Discuss The Big Picture?. Stuart Gulliver. Economic performance is central to the success of the city economy Sustainable city recovery is fundamentally about job growth and incomes. By ‘Jobs’ we can mean 3 things

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Presentation Transcript
Economic performance is central to the success of the city economy
  • Sustainable city recovery is fundamentally about job growth and incomes
By ‘Jobs’ we can mean 3 things
  • the quantity of jobs (in ‘survival’ period this is a priority)
  • the quality of jobs (pay levels, skill levels)
  • job direction (“Glasgow jobs for Glasgow people”)
Job Growth comes about because of 4 rates of change - a sort of ‘Corporate demography’
  • birth rate of business
  • death rate of business
  • growth rate of existing businesses (and institutions)
  • migration rate of existing business (and institutions)
3 models of job generation pursued by cities over last 30 years
3 Models of Job Generation pursued by cities over last 30 years





Get any job you can


Economic self-improvement


Seeking competitiveness in the global economy

Indigenous business, small business, technology sectors, risk capital


Both indigenous and exogenous

Chasing FDI

E-Zones, tax breaks, sector parks, business services

Get ‘basics’ right, connectivity, talent, amenity, networks

Deep subsidy, low costs, skills available


Particular Approaches to Job Generation

- & the growth of ‘fadism’

i) Foreign Direct Investment (FDI)

  • USA, Japan. ‘Branch plant’ & later subsidiary entrepreneurship. ‘Silicon Glen’

ii) Technology Sectors

  • Electronics, Health Care, Advanced Engineering, Financial Services, Oil & Gas, Tourism

iii) ‘Picking Winners’

SDA had an investment capability

iv) New firm formation and small business development

Motivated by U.S. research by Birch

v) Commercialisation and Technology Transfer

vi) Clusters

What are Glasgow’s competitor cities up to in early 90’s?

1989 Analysis: Glasgow in bottom half of 3rd Division of 4 Division system

1990/91 Visits: Hamburg, Munich, Copenhagen Lyon, Barcelona, Monpellier, Marseille, Rotterdam, Amsterdam, Milan

Our Competitors - 4 themes emerging

1. Get the basics right and do them really well

  • external connectivity
  • human capital
  • quality of built environment / amenity

2. Universities & research centres as key institutions

3. Focussed business development

  • SME Support systems
  • promotion of entrepreneurialism

4. Appropriate Development Mechanisms

The Glasgow Approach
  • What is amenable to change at the city level? Macro factors affect 80% of what happens at city level
  • Strategy of “rowing, steering and cheering”
  • Difficulty of identifying which economic activities will be key at the city level in the future
1. External Connectivity

Route development, “Use it or lose it campaign”

2. Other supply side activity

  • creation of modern, attractive business locations & sites
  • quality of labour market
  • access to investment funds, venture capital

3. Universities designated as a Key Industry

4. Focused Business Development

5. Strategic Marketing

6. Implementation - delivery focus; making Glasgow an easy place to invest in

jobs come late in the cycle
Jobs Come Late in the Cycle

Stages of City Turnaround








turnaround life cycle jobs come late in the cycle
Turnaround Life Cycle - Jobs come late in the cycle



Stage 1


Stage 2


Stage 3



  • City turnaround takes a generation - 25 years
  • Need for ‘Pacing Devices’
  • 1988 Glasgow Garden Festival
  • 1990 European City of Culture
  • 1996 Festival of the Visual Arts
  • 1999 UK City of Architecture & Design