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The role of the state in industrialization - Essay Example

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In the paper “The role of the state in industrialization” the author analyzes state involvement in determining a business’s character. The author explained at length “certain components of business systems and their interaction with institutions”…
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The role of the state in industrialization
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Download file to see previous pages By developing a framework of analysis to examine business systems, Whitley explained at length “certain components of business systems and their interaction with institutions” (Tempel, 2001, p. 43). Whitley’s concept of national business systems has however been criticized often due to its weaknesses like portraying organizations as “passive pawns” which have little option but to comply (Scott, cited in Tempel, 2001, p. 42). With the help of extensive research and discussion regarding why it is that business systems in many developed nations continue to diverge, many factors are unveiled. While a market driven approach lays the foundation of employment systems in UK, fully developed vocational educational systems in France ensure high skill development and strict on-the-job training. Such pattern of allocating highly skilled workers even for the lowest jobs is not observed in UK. Germany, in contrast, practices the best system of economy wide vocational educational training. The rate of formal consultation is highest in European countries like Germany, Italy, and Sweden where employees are highly valued (Brewster and Larsen, 2000) in contrast to US or UK. As a result, there exists convergence of skills in contrast to polarization of skills as has been reported in UK business leading to “dead-end and low-skilled employment” (Crouch, 1997, p. 372). German business has advantaged hugely from VET system which demands continuous retraining and up-skilling (Crouch, 1997, p. 372). ...Download file to see next pagesRead More
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