The impact of government intervention in the industry: A case study of the electronics industry in Jalisco, Mexico

This paper examines the processes of interaction and cooperation in the electronics industry in Jalisco as well as the impact of government strategies on the industry’s development of innovative activities. This paper relies upon the sectoral systems of innovation (SSI) as a theoretical framework for the analysis of the nature, structure, organization, and dynamic of the electronics sector of the metropolitan region of Guadalajara. The paper concludes that the interaction among public-private actors has been an important factor in fostering upgrades in the industry. It also highlights the role of the government at the state level in Jalisco as a key factor in facilitating the self-organization of a sector by creating bridge institutions that shape the interaction in the sector. Finally, the paper points out the limited integration in the scientific-educational sector and the necessity to incorporate domestic firms into the value chain of the industry.