Education and training deficits in industrial clusters : empirical evidence that managers can use to rectify the skills gap in Auckland precinct

Tertiary institutions should seek continuous feedback from industries to keep track of the needs of businesses to provide education and training. In designing programmes and upgrading curricula, there are important factors to bear in mind so that programmes "cater" for all levels of learners. The Auckland City Council financed this study, focussing on Auckland's Rosebank Business Precinct (ARBP). Surrounding communities, particularly Maori, Pacific peoples and recent migrants, experience disparities in employment. The target population were 500+ businesses operating on Rosebank Road. A total of 529 businesses were identified. Interviews with 102 companies with a 36-question questionnaire were conducted. Areas were identified and covered in this paper in the ARBP for developing programmes and curricula for tertiary institutions to provide employable students with the right knowledge, skills and attributes to grow and manage existing ventures. In the analysis we point out what education or training is necessary for ARBP to provide greater efficiencies and improvement in profit levels. Recommendations and conclusions are provided.

Technology uncertainty and market collusion

In this paper, we propose technology uncertainty as a new factor relevant to market collusion. We analyze an infinitely repeated quantity game where, for each firm, the marginal productivity of the input employed in the production process is affected by an unobservable shock. Each firm faces technology uncertainty, measured by the variance of the shocks, in every period. We show that, under both grim trigger strategies and optimal punishments, technology uncertainty enhances cartel stability, suggesting that, in industries characterized by technology uncertainty, the actions of the antitrust authorities should be intensified. We also show that collusion is less likely when technology shocks are highly correlated, implying that regulators interested in deterring collusion should promote the formation of industrial clusters.

An industrial organisation economic supply chain approach for the construction industry : a review

Understanding industries in terms of the concepts of chains, clusters and networks is becoming increasingly important in economies around the world. Supply chain management for an individual organization is an
emerging field of research in the construction management discipline, but less attention has been devoted to investigating the nature of the construction supply chains and their industrial organizational economic environment. This selected review of construction and mainstream management supply chain literature is organized around four themes; distribution, production, strategic procurement management and industrial
organization economics, and highlights the need to develop an industrial organization economic supply chain framework for construction. The merging of the supply chain concept with the industrial organization model
as a methodology for understanding firm conduct and industry structure and performance is an important contribution to both construction supply chain and construction economic theory. Much of the industrial organization supply chain literature has tended to focus upon manufacturing industries, where typically firms are permanent organizations. This raises issues as to the differences between industries founded upon temporary compared with permanent organizations. There is potential for the development of an industrial organization methodology applicable to the project based industry. Ultimately industrial organization research seeks to have direct implications for industry performance and government policies.