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With very few exceptions, industrial development has been central
to the process of structural transformation which characterises
economic development. Industrial Development for the 21st century
examines the new challenges and opportunities arising from
globalization, technological change and new international trade
rules. The first part focuses on key sectors with potential for
developing countries, focussing on two key themes. First,
traditional points of entry for late industrializers - like
textiles and clothing - have become even more intensely competitive
than ever before, requiring more innovative adaptive strategies for
success. Second, countries now recognize that manufacturing does
not exhaust the opportunities for producing high value-added goods
and services for international markets. Knowledge intensity is
increasing across all spheres of economic activity, including
agriculture and services, which can offer promising development
paths for some developing countries. The final section addresses
social and environmental aspects of industrial development.
Labour-intensive, but not necessarily other patterns of industrial
development can be highly effective in poverty reduction though
further industrial progress may be less labour-intensive. A range
of policies can promote industrial energy and materials efficiency,
often with positive impacts on firms' financial performance as well
as the environment. Promoting materials recycling and reuse is an
effective, if indirect means of conserving resources. Finally, the
growth of multinational interest in corporate social responsibility
is traced, with consideration given to both the barriers and
opportunities this can pose for developing country enterprises
linked to global supply chains.
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