Scoping the socio-economic performance of the EU proximity economy : executive summary

This document contains the final report for the study titled "Scoping the Socio-economic Performance of the EU Proximity Economy," commissioned by EISMEA and DG GROW and conducted by EY, Spatial Foresight, and LSE Cities. This report aims to assess the socio-economic impact of the proximity economy, a human-centric ecosystem which consists of the production, distribution and consumption of goods and services within short value chains, enabled by, and based on locally rooted social interactions within a geographical area of perceived closeness. This executive summary encapsulates the comprehensive analysis and findings of the study, providing a clear roadmap for understanding and advancing the proximity economy within the EU context. The primary goal of the study was to evaluate the proximity economy's socio-economic weight and its role as a sustainable and innovative ecosystem. Specific objectives include: • Refining the concept of the proximity economy and delineating the types and business models of organisations operating within it. - Analysing interlinkages with other concepts such as the circular, sharing, collaborative, and social economies. - Mapping different policy approaches to the proximity economy across the EU. - Identifying the impact of proximity on relevant sectors such as retail, food, construction, and manufacturing. - Developing a model for measuring and scoping the proximity economy in cities and rural areas through the creation of a monitoring framework with concrete KPIs. - Aligning the work on the proximity economy with EU policy priorities and global challenges.