The Role of Inward Investment in Urban Economic Development: The Cases of Bristol, Cardiff and Plymouth

This paper examines the role of manufacturing and services foreign direct investment (FDI) in the restructuring of the three large cities in the South West and Wales: Bristol, Plymouth and Cardiff. Key differences in the FDI stock of each city are analysed, with special attention given to location rationale and quality of investments. Bristol is found to be comparatively successful in attracting high-grade manufacturing, regional service centres of manufacturing companies, and financial and computer services firms. Location and policy influences have meant that Cardiff and Plymouth have been more dependent on 'production only' facilities; and Plymouth, in particular, has had difficulty attracting financial and business services investment. Policy and practical ramifications of the study are explained.