Scandinavian Working Papers in Economics

Working Papers,
Blekinge Institute of Technology, Department of Industrial Economics

No 2013/04: Manufacturing Renaissance: Return of manufacturing to western countries

Sam Tavassoli (), Babak Kianian () and Tobias C. Larsson ()
Additional contact information
Sam Tavassoli: CSIR, Blekinge Inst of Technology, Postal: CSIR, School of Management, Blekinge Inst of Technology, 371 79 Karlskrona, Sweden
Babak Kianian: Blekinge Inst of Technology, Postal: Department of Mechanical Engineering, Blekinge Inst of Technology, 371 79 Karlskrona, Sweden
Tobias C. Larsson: Blekinge Inst of Technology, Postal: Department of Mechanical Engineering, Blekinge Inst of Technology, 371 79 Karlskrona, Sweden, Sweden

Abstract: This paper argues that the location of manufacturing is gradually shifting to the west again, i.e. Manufacturing Renaissance. Such claim is based on the recent observed trend and the discussion is contextualized within the established theory that has been able to explain the location of manufacturing, i.e. Product Life Cycle Model (PLC). Then the paper identifies and discusses the four main drivers of this new phenomenon. Finally, it is noted that the rerun of manufacturing should be kept in portion and not all industries are coming back to the west in the same pace.

Keywords: re-shoring; locational shift; manufacturing; Product Life Cycle model

JEL-codes: E02; E22; F21; O14

23 pages, December 3, 2013

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WP%202013_4_Tavassoli_Manufacturing%20Renaissance.pdf PDF-file 

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