Inward investment has been accorded a central place in the 'transition' programmes of East and Central European economies. This article seeks to examine the uneven regional development impacts of inward investment in Slovakia through a series of enterpriselevel and regional case-studies. The article contests the claims of the proponents of the role of inward investment in transition which suggest that a positive set of impacts will arise out of new corporate structures resulting from foreign investment. Through examining the locally specific impacts of inward manufacturing investment in relation to different corporate strategies, technology transfer and modernization, labour-market transformation and local supplier subcontracting, the article argues that reliance upon inward investment may not be the 'godsend' that many suggest it will be and that there is enormous diversity in the local impacts of new investment. The article concludes with a consideration of the role of inward investment in Europe's eastern periphery.
Get full access to this article
View all access options for this article.
References
1.
Amin, A.
, Charles, D. and Howells, J. (1992) 'Corporate Restructuring and Cohesion in the New Europe', Regional Studies26 (4): 319-331.
2.
Baliz, V.
(1995) 'Regional Development During Economic Transition: a Case Study of the Slovak Republic', European Urban and Regional Studies2 (4): 353-362.
3.
Bali!, P.
, Ferencikovi, S., Filip, J., Krejci, I., Michnik, L'. and Sibl, D. (1995) Medzindrodnedpodnikanie. Bratislava: Sprint.
4.
Burawoy, M.
(1992) 'The End of Sovietology and the Renaissance of Modernization Theory', Contemporary Sociology21 (6): 774-785.
5.
Campbell, J.
(1995) 'Reflections on the Fiscal Crisis of Post-communist States', in J. Hausner, B. Jessop and K. Nielsen (eds) Strategic Choice and Path-dependency in Post-Socialism: Institutional Dynamics in the Transformation Process, pp. 84-112. Aldershot: Elgar.
6.
Cechak, O.
, Ivanek, L., Kr, M. and Selesovsky, J. (1993) Zbrojni 4vroba konverze obranyschopnost. Prague: Ministry of Industry and Trade.
7.
Commission of the European Communities (CEC), Directorate General for Economic and Financial Affairs
(1994) 'Private Capital Flows to CEECs and NIS', European Economy SupplementA 3 (March).
8.
Csefalvay, Z.
(1994) 'The Regional Differentiation of the Hungarian Economy in Transition', Geogournal32 (4): 351-361.
9.
Dicken, P.
, Forsgren, M. and Malmberg, A. (1994) 'The Local Embeddedness of Transnational Corporations', in A. Amin and N. Thrift (eds) Globalization, Institutions and Regional Development in Europe, pp. 57-82. Oxford: Oxford University Press.
10.
Done, K.
(1995a) 'Volkswagen Switches to Low-cost Unit in Slovakia', Financial Times (19 Dec.): 12-12.
11.
Done, K.
(1995b) 'Healthy Capital Flow', Financial Times (20 Dec.): 15-15.
12.
Dunning, J.
(1993) 'The Prospects for Foreign Direct Investment in Eastern Europe', in P. Artisen, M. Rojec and M. Svetlicic (eds) Foreign Investment in Central and Eastern Europe, pp. 16-33. London: Macmillan.
13.
Ferenakovi, S. (1995) 'Vstup zahranicneho kapitilu do Slovenskej ekonomiky (na priklade vybranoch joint ventures)', Ekonomickicasopis 43 (2): 140-53.
14.
Ferencikova, S.
(1996a) 'Priame zahranicne investicieteria a prax v Slovenskej republike', Ekonomicke rozhl'ady25 (1): 17-35.
15.
Ferencikova, S.
(1996b) 'Niektore skuisenosti z psobenia zahranicnych investorov', International Business Cooperation7 (2-3): 13-14.
16.
Gowan, P.
(1995) 'Neo-liberal Theory and Practice for Eastern Europe', New Left Review213: 3-60.
17.
Grabher, G.
(1993) 'Instant Capitalism: the Regional Impacts of Western Investment in Eastern Germany', paper presented at the conference on Conflict and Cohesion in the Single Market, University of Newcastle.
18.
Grabher, G.
(1994) 'The Disembedded Regional Economy: the Transformation of East German Industrial Complexes into Western Enclaves', in A. Amin and N. Thrift (eds) Globalization, Institutions and Regional Development in Europe, pp. 177-195. Oxford: Oxford University Press.
19.
Grabher, G.
(1997) 'Adaptation at the Cost of Adaptability? Restructuring the Eastern German Regional Economy', in G. Grabher and D. Stark (eds) Restructuring Networks in Postsocialism: Legacies, Linkages and Localities, pp. 107-134. Oxford: Oxford University Press.
20.
Hajdii, Z.
and Horvath, G. (1994) (eds) European Challenges and Hungarian Responses in Regional Policies. Pecs: Hungarian Academy of Sciences.
21.
Hajko, J.
(1994) 'Bez zahranicnych investicii sa hospodirstvo nerozhwbe', Trend (26 Jan): 1-1, 4-4, 5-5.
22.
Hajiel, R.
(1996) 'EU: Brilantny makroekonomick V imidz SR straca lesk v dsledku politickl'ch rozporov', Trend (23 Oct.): 11A-11A.
23.
Kopacka, L.
(1994) 'Industry in the Transition of Czech Society and Economy', Georournal32 (3): 207-214.
24.
Meyer, K.
(1995) 'Foreign Direct Investment in the Early Years of Economic Transition: a Survey', Economics of Transition3 (3): 301-320.
25.
Mlidek, J,, Borzikova, E., Korec, P., Mandzak, P., Otrubova, E., Pal'aga, P., Sameliak, V., Slavik, V. and Spisiak, P. (1993) Regidn Poprad: geograficke truktdry socioekonomickyich aktivit. Bratislava: Univerzita Komenskeho.
26.
Mladek, J.
, Bucek, J. and Korec, P. (1996) 'Historical Aspects and Current Development of Relations in the Bratislava-Vienna Space', paper presented at the conference on 'Borderlands or Transborder Regions: Geographical, Social and Political Problems' (September), Wisla, Poland.
27.
Munchau, W.
(1995) 'Hoechst to Cut 8,000 Jobs', Financial Times (21 Dec.): 14-14.
28.
Ndrodnd obroda (1996) 'Rozvojovy potencial reginov Slovenska z aspektu rozvojovych moznosti' (12 Jun.).
29.
Nemes Nagy, J.
(1994) 'Regional Disparities in Hungary During the Period of Transition to a Market Economy', Geo Journal32 (4): 363-368.
30.
Okresne oddelenie!tatistickeho uiradu Slovenskej republiky Martin (1996) Sprdva o vpvoji hospoddrstva v okrese Martin za rok 1996. Martin: 0090SR.
31.
Okresne oddelenie 8tatistickeho u'radu Slovenskej republiky v Poprade (1996) Statistickf bulletin za 1. polrok 1996. Poprad: OOMUSR.
32.
Organisation for Economic Co-operation and Development (OECD)
(1996) OECD Economic Surveys 1995-1996: the Slovak Republic. Paris: OECD Centre for Co-operation with the Economies in Transition.
33.
Outrata, R., Figura, I., Balaiovi, J., Valent, S. and Ferenlikovi, S. (1996) Uoinnost' zahranic'niho kapitdlu v ekonomike Slovenskej republiky. Bratislava: Ekonomicky istav Slovenskej akademie vied.
34.
Pavlinek, P.
(1995) 'Regional Development and the Disintegration of Czechoslovakia', Geoforum26 (4): 351-372.
35.
Pavlinek, P.
(forthcoming) 'The Role of Foreign Direct Investment in the Czech Republic's Transition to Capitalism', The Professional Geographer.
36.
Pavlinek, P.
and Smith, A. (1997) 'Globalization through Foreign Investment: the Uneven Regional Impacts of Inward Investment in the Czech and Slovak Republics', paper presented at the Regional Frontiers Conference, (September) Frankfurt (Oder).
37.
Sadler, D.
and Swain, A. (1994) 'State and Market in Eastern Europe: Regional Development and Workplace Implications of Direct Foreign Investment in the Automobile Industry in Hungary', Transactions of the Institute of British Geographers19: 387-403.
38.
Slovenska narodna agentura pre zahranidne investicie a rozvoj (SNAZIR)
(1996a) 'Course and Forming of the Process of Privatisation in the Slovak Republic', News for Investors5: 15-17.
39.
Slovenski narodni agentulra pre zahranicn investicie a rozvoj (SNAZIR) (1996b) Slovak Electro-technics Industry. Bratislava: SNAZIR.
40.
Smith, A.
(1994) 'Uneven Development and the Restructuring of the Armaments Industry in Slovakia', Transactions of the Institute of British Geographers19 (4): 404-424.
41.
Smith, A.
(1995) 'Regulation Theory, Strategies of Enterprise Integration and the Political Economy of Regional Economic Restructuring in Central and Eastern Europe: the Case of Slovakia', Regional Studies29 (8): 761-772.
42.
Smith, A.
(1996) 'From Convergence to Fragmentation: Uneven Regional Development, Industrial Restructuring and the "Transition to Capitalism" in Slovakia', Environment and PlanningA 28: 135-156.
43.
Smith, A.
(1998) Reconstructing the Regional Economy: Industrial Restructuring and Regional Development in Slovakia. Cheltenham: Edward Elgar.
