Spatial Concentration of Industry and Local Production Systems in Ukraine

Abstract

The paper is dedicated to the analyses of preconditions for the creation and development of local production systems (LPS) at the territory of Ukraine as recognized by international law. Theoretical part of the research highlights LPS as a specific type of economic agglomeration and represents the comparison between traditional agglomerative forms (metropolises and industrial districts) and more innovative alliances (LPS and creative regions). The peculiarities, advantages and participants of LPS are considered also in the theoretical part. Analytical part of the research determines spatial concentration of industry based on traditional industrial districts. Also specific legal regimes for the regions of Ukraine such as special (free) economic zones, priority development areas, technology and science parks are considered preconditions for LPS development. Finally, currently operating LPS in Ukraine and recommendations for their development are presented.