A critical interpretation on industrial restructuring of the region : the case of Denizli textile and garment sector

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2007
Penpecioğlu, Mehmet
Restructuring processes provide key dynamics for the development and transformation of industrial structures. Industrial restructuring can be conceptualized by product and/or process innovations including technological improvements and relocation of industry. Such forms of transformation can be investigated by a critical examination of industrial relations. This thesis is motivated from such a consideration of understanding and interpreting industrial transformation in a specific time and space setting. Textile and garment industry is a good case to explore the abovementioned concepts. Firstly global and national dimensions of industry are investigated. It is understood that quota free regulations of trade and relocation of production have been shaping a fierce global competition by which employment, supply and marketing relations change dramatically at the world scale. In such new competitive conditions Turkish textile and garment industry has been losing its growth dynamics in terms of price competition advantage. Secondly Denizli case is investigated. In-depth interviews with firms, related chambers and unions are made during field survey. Thesis argued that Denizli has locked to a passive exporter role. In this lock-in process, the sector could not transform itself by innovative modes of restructuring. The passive exporter role disables region to adopt innovative product strategies and to shift production to other regions where cost cutting opportunities are provided. Industrialists decrease production costs informally including employment unregistered workers. However although survey results point out locked industrial dynamics, Denizli region still have the potential of regional development thanks to its entrepreneurial sprit and rising other economic sectors.

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Citation Formats
M. Penpecioğlu, “A critical interpretation on industrial restructuring of the region : the case of Denizli textile and garment sector ,” M.S. - Master of Science, Middle East Technical University, 2007.