Traditional Industrial Districts in the Face of Globalization: The Case of the Marche Footwear District

This paper studies the case of the Marche footwear districts. Statistical evidence and interviews with entrepreneurs suggest that the traditional inter-firm relationships within these districts have significantly changed during the past decade. Some leading firms have been building up more exclusive relations with their suppliers, including those abroad, along i?½buyer-driveni?½ value chains. Moreover, firms have been adopting different strategies, following two main paths: the first is a i?½focusing-on-qualityi?½ strategy, based on upgrading the quality of the goods and investing in brands, RD the second is a i?½focusing-on-costsi?½ strategy, which aims at minimizing the production costs of a medium-quality range of goods, including outsourcing abroad. This study shows that firms which focused on quality did better than others, both in the years before the crisis of 2008-09 and during the recession.