the world is not flat | the case for city regions

8/3/2019 The World is Not Flat | The Case for City Regions

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The World is Not FlatThe Case for City Regions

A Dublin Chamber of Commerce Policy Report

The Importance of the Dublin City Region............................................ 2

Emerging Trends Relating to City Regions ........................................... 3

1. The Increasing Importance of Cities as drivers of economic growth...................3

2. Increasing Globalisation as Reflected in the Movement of Goods, Services,

Finance, People and Technology .............................................................................4

3. The Move Towards a Knowledge Intensive Global Economy................................ 6

4. The Importance of Innovation for Growth........................................................... 7

5. The Rapid Growth in Emerging Economies ........................................................10

6. Changing Demographics.................................................................................... 11

Developing Dublin as an Open and Internationalised City.................. 13

Implications for the Dublin City Region.............................................. 14

Relative position of the Dublin City Region ...........................................................14

Areas requiring further investigation: Talent, Telecommunications, Transport.....15

Endnotes............................................................................................ 16

Acknowledgements:

Dublin Chamber of Commerce would like to sincerely thank those involved in the preparationof this report, including Jamie Cudden, Dublin City Council; Mary Keeling, IBM; Jacqueline Hall,Dublin Chamber Council Member; Patrick King, Dublin Chamber; and, in particular, the projectchair Ciaran Ennis, Dublin Chamber Council Member. This paper draws heavily on work carriedout by Dublin City Councils Economic Research Unit and IBMs Institute for Business Value, forwhich Dublin Chamber is most grateful to both institutions. This paper has also been heavily

influence by the contributions of the Dublin Chambers Council and by the many members whogave their insight and experience to the project.


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The Importance of the Dublin City Region

As a relatively small and open economy Irelands future economic prosperity is dependent on

its ability to access, and to interact with, global markets. To date, Ireland has been remarkably

successful in this regard. In the recently published Ernst & Young Globalisation 2010 Index

Rankings,1 Ireland moved to second place globally ahead of Singapore, Denmark andSwitzerland. Ireland now takes its place as the second most globalised economy in the world,

moving up one place on last years rankings. The

Globalisation Index measures and tracks the

performance of the worlds 60 largest economies

in relation to separate indicators in 5 broad

categories: openness to trade; capital

movements; exchange of technology and ideas;

movement of labour; and cultural integration.

However, the nature of national advantage has

shifted. As this report demonstrates throughanalysis of a global urban shift, cities have become the lightening rods of investment, thecentres of innovations, the epicentre of employment and the engines of national economies.City regions go beyond a single local administrative boundary, the understanding of them isthe sharing of resources like a core business centre, labour market and transport network.They are ideal units for understanding the strategic needs of the people and businesses of aset area. Significant growth and competition amongst city regions has made their governance

boundaries increasingly outdated,governments around the world are seekingto adept to a new era where nationaleconomies will be highly dependent ontheir city regions.

The Dublin City Region is now part of a highly connected truly global economy where

transactions are being carried across international borders to all corners of the globe.

To thrive, Dublin needs to continue to be open and internationalised. Indeed this need will

intensify in the future, driven by the following trends:

1. The increasing importance of cities as drivers of economic growth;

2. Increasing globalisation as reflected in the movement of goods, services, finance,

people and technology;

3. The move towards a knowledge intensive economy;

4.

The importance of innovation for growth;

5. The rapid growth in emerging economies; and

6. Changing demographics.

In the following sections, these factors are examined in more detail.

"As a capital city, we are competing for skillsand knowledge with other citiesinternationally. Managing our new diversityas an asset for the city, attracting andretaining migrant populations, fostering aculture of openness in social, economic andcultural life will add competitive advantageand be one of the key drivers to achieving a

successful city"- John Tierney, Dublin City Manager

There are 60-plus languages spoken here inGoogle (Dublin). Ireland is good at multi-lingual,multicultural, multi currency business- Nelson Mattos, VP of Engineering, Google Europe.


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"As Irelands only city of international scale,continued investment in Dublin is necessary tomaintain and improve its position as aninternationally competitive location. A competitiveDublin can serve to strengthen the performanceand attractiveness of other Irish cities and providethem with opportunities that may not beaccessible otherwise"- The National Competitiveness Council (2010)

Emerging Trends Relating to City Regions

1. The Increasing Importance of Cities as drivers of economic growth

There is a significant body of evidence on thegrowing importance of cities. In 2008, for the

first time in human history, over half the

world's population lived in cities2. City regions

are responsible for generating more than

80% of global Gross Domestic Product (GDP)3

yet they occupy just 2% of the worlds land

surface4.Indeed, it is not just cities generally

where the majority of world GDP is produced, but certain cities specifically account for a

relatively large share. A recent Global Metro Monitor report demonstrated that the world's 150

largest metro economies generated approx 46% of global GDP while accounting for just under

12% of global population5.

In 2007, the top 600 cities in the world accounted for 60% of global GDP yet only hold about a

fifth of the global population6. The economic importance of the top 600 cities globally is

demonstrated in Figure 1. This shows that Chinese cities in the top 600 global cities account

for almost 74% of GDP in China (predicted to rise to 90% in 2025), and European cities

account for 60% of European GDP. The role of cities also varies in significance from region to

region. In Europe, for example there are a number of cities such as Budapest, Copenhagen,

Dublin, Helsinki, Randstad-Holland and Brussels that concentrate nearly half of their national

GDP whilst Oslo, Prague, London, Stockholm, and Paris account for around one third.

Cities are also significant in terms of job creation almost 50% of the jobs in many nations

are found in their largest city7. In addition, most metro regions have a higher GDP per capita

than their national average, a higher labour productivity level, and many of them tend to have

faster growth rates than the national average for their countries8. This finding is supported by

research from the LSE: they found that nearly 4 in 5 of the metro regions had average

incomes that exceed averages for their nations9.

The increasing importance of cities is also reflected in the increasing attention focused on cities

by many national and international organisations. Institutions such as the Organisation for

Economic Co-operation and Development (OECD), the United Nations and the World Bank have

all published detailed analysis and research on global cities.10 Cities are also a hot topic

amongst many of the worlds leading professional and consultancy firms. For example, IBMs

Smarter Cities programme11, Pricewaterhouse Coopers (PwC) Cities of Opportunity12,

McKinsey Global Institutes Urban world, Mapping the economic power of cities13, KPMGs,

Global Cities Investment Monitor14, and AT Kearneys Global Cities Index15. There are also

increasing numbers of research institutes focusing on cities including the LSE for Cities

Institute who recently produced the Global Metro Monitor, the Globalisation and World Cities

(GAWC) programme16 and the Chinese Academy of Social Sciences (CASS) Global Urban

Competitiveness Project. Many observers talk about the 21st century being the century of the

city.17


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FIGURE 118

Other initiatives such as The Carbon Disclosure Project-The Case for City Disclosure

recognise the increasing economic importance of cities and the pivotal roles that they can play

in tackling climate change19. The Siemens Green City Index in conjunction with the EIU

benchmarks the green credentials of global cities20.

It is clear then that cities play a critically important role in their national economies as well asin the global economy. What is more, this trend is set to continue with cities becoming even

more important going forward. For example, it is expected that by 2030 over 59% of the

worlds population will be based in cities, rising to 69% by 2050. Much of the worlds wealth

will also continue to be concentrated in cities. It is forecast that GDP per capita for the top 600

cities in the world will rise from $23,000 in 2007 to $38,000 in 202521. This means that the

rationale for focusing efforts to generate growth at city level and for Dublin City Region to

develop a City Region Plan not only makes more sense than ever but will put Dublin in a

position to better respond to this increasingly significant global trend of the growing

importance of cities.

2. Increasing Globalisation as Reflected in the Movement of Goods,Services, Finance, People and Technology

Globalisation as a phenomenon is not new it has been occurring in waves over the last

millennium and indeed throughout human history. What is new, though, is the pace and scope

of the current wave, which is unprecedented22. The proportion of goods and services that are

traded grew from 19% in 1990 to 29% in 2008 an increase of over 50%23. Over the same

period, the number of transnational companies (TNCs) has more than doubled from around

35,000 to 82,00024. The value of the average daily turnover in global foreign exchange

markets is estimated at $3.98 trillion, a growth of approximately 20% over the $3.21 trillion

daily volume as of April 200725.


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3. The Move Towards a Knowledge Intensive Global Economy

Knowledge is becoming an increasingly important driver of economic growth and activity - over

the past decade, a global shift toward a knowledge-based economy has accelerated

dramatically. Superior talent embodied in higher education, training, skills, creativity,

aptitude, innovation capacity, and the cultural and social skills of the workforce is rapidly

becoming the key driver of economic growth and activity32

. Figure 3 illustrates how demand forskills within the EU will shift towards the higher end of the spectrum.33

Changes in demand for skills in EU:

Millions of jobs

8.3

-5.6

10.1

3.2

-8.5

3.2

-18.3

11.8

20.1

2000-2007

2007-2013(f)

2013-2020(f)Higher Skilled Medium Skilled

Low Skilled

Changes in demand for skills in EU:

Millions of jobs

8.3

-5.6

10.1

3.2

-8.5

3.2

-18.3

11.8

20.1

2000-2007

2007-2013(f)

2013-2020(f)Higher Skilled Medium Skilled

Low Skilled

FIGURE 334

Cities contain an increasingly large share of these highly skilled, educated, creative and

entrepreneurial individuals that are becoming key drivers of growth. However these people are

highly mobile and willing to move to cities where the economic opportunities lie and this is

very much linked to quality of place (see Figure 4). In fact, research has found that living

conditions have such critical influences on the attractiveness of a location that migration to

locations with more attractive living conditions can occur even if earnings there are lower35. In

terms of magnitude, the number of highly educated international migrants around the world is

expected to more than triple from 29.5 million workers in the 1990s to almost 99 million inthe next decade and 35% of migrants to mature economies have a college/university degree36.

International trends also show significant growth levels in the mobility of international

students. The numbers of international students studying abroad are constantly rising, from

600,000 in 1975 to 2.7m in 2005. This number is predicted to have tripled again by 2025.37


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FIGURE 438

While this is good news for Dublin in the sense that there is a larger pool of skilled and

educated migrants and students to try and attract, it also means that the city will face

intensifying competition from other cities to attract and retain those same migrants. There

is thus a pressing need to recognise the importance of developing home grown talent throughIrelands universities and institutes so that Dublin is well positioned to drive growth in the

future. Government must ensure that Dublin is well positioned to attract talent in areas that it

cannot produce enough home grown talent. In attracting and developing talent, it will be

important to ensure that skills are matched to the current and future needs of the economy. In

spite of the high unemployment that prevails at present, there are areas, such as information

technology, where significant numbers of positions remain unfilled.

Furthermore, attention will also need to be focused on improving educational outcomes across

the board so that those with lower skills will not be disadvantaged in terms of their

employment prospects given these trends. Thus, future skills strategies for the Dublin City

Region must respond to these global trends and include elements that focus on talent creation,attraction and retention.

4. The Importance of Innovation for Growth

Increasing research and development investment from current levels of below 2% to 3% of

GDP could create 3.7 million jobs and increase annual GDP by up to 795 billion by 2025.39

According to the Overall Review of EU Member States and Associated Countries contained in

the Innovation Union Competitiveness report published by the European Commission/Research

and Innovation:

In the last decade, overall R&D investment grew strong in real terms, and

despite the relatively important GDP growth, R&D intensity in Ireland increased

from 1.12% in 2000, to 1.45% in 2008 and up to 1.77% in 2009. However, the

sharp acceleration of R&D intensity over the last two years can be largely

attributed to the sharp drop in GDP in 2008 and 2009, when Ireland was

particularly hit by the international economic and financial crisis. The current

financial difficulties that the country is experiencing can cast some doubts about

the capacity of both the public and private sectors to maintain and increase their

R&D investments in the short term, but R&D investment still remains a high

priority for the country in order to boost its productivity and maintain its economiccompetitiveness and social progress.


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FIGURE 5

Innovation is a key driver of economic growth. New products and services that are developed

help to create new streams of revenue, attract new customers, and provide better goods and

services. Changes to processes can help drive efficiency and productivity improvements in

firms as well as helping to reduce costs and increase profit margins. Cities are crucibles of

innovation. The critical role of cities in speeding up the transfer of knowledge has long beenrecognized in economic and other literature by Jane Jacobs, Richard Florida and Peter Hall40.

Innovation concentrates and succeeds best in cities for a number of reasons; three of these

are proximity, density and variety41. Proximity reduces transaction costs, density intensifies

learning, and variety increases possibilities. This basic urban offer makes markets work

better, helps firms become more productive and is an ideal environment for knowledge based

employment. The EU Commissioner for Research, Innovation and Science has noted that

Cities not only breed innovation but they also need innovation42.

The importance of the role played by Dublin in relation to R&D is illustrated in Figure 643.

FIGURE 6

The most active NUTS regions by EC contribution granted to FP7 research


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The important role played by TCD and UCD can be clearly seen in Figure 7 44.

FIGURE 7

Successful cities attract talented young highly-skilled workers, are centres of

innovation and entrepreneurship and are competitive locations for global and

regional headquarters. The proximity of universities to research and production

facilities means cities are where new products are advantages such as more

diversified economic base with higher specialisation in productive activities, a

strong innovative capacity (more than 81% of OECD patents are filed by applicants

located in urban regions), and a higher level of skills.45

The recent economic downturn has demonstrated the importance for Ireland and for Dublin

of innovating to grow a more diverse economy in order to be more resilient to economic

shocks, such as the one Ireland is currently experiencing. For example, there was an over-

concentration of Irish economic activity in construction during the boom - in 2006, the

construction industry in Ireland represented 24% of national GDP employing 1 in 7 people.

This compares to just 4.9% of GDP in the US for the same year and less than 1 in 17 people in

employment46. The negative impact that the downturn in that industry had on the overall

economy underscores the need for Dublin and Ireland to innovate so they can be more diverse

and resilient.

Realising the future potential of the Dublin City Region is dependent on its ability to innovate.

The City needs to be a place where leading companies want to invest, a place where talented

people spin off innovative businesses and a place that attracts talented people. This is

important in what are considered high-tech and knowledge intensive sectors such as biotech,

pharma, software development, and financial services. But it is also important to realise that

Dublin will not be able to realise the full potential and impact from innovation if the policy

focus is defined in narrow terms just on these sectors. The potential for innovation to drive

economic growth and job creation for the Dublin City Region can also be realised by ensuring

that other sectors that are important for the Dublin economy such as retail, for example -

can fully leverage the possibilities presented by using the latest information technology to

generate greater insight into customer wants and needs, as well as drive efficiency savings and

productivity improvements. But this will only happen if firms are capable of absorbing and

Most active organisations in terms of EC contribution granted to the FP7

research projects


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using this latest technology. So it is important to ensure that the right frameworks and policies

are in place across the spectrum of innovation to foster invention, absorption and use,

particularly in the numerous small and medium sized enterprises in the City Region which

collectively have the potential to have a massive impact on jobs and growth.

Any strategy that Dublin builds or develops with regard to innovation also needs to link in with

the strategy on knowledge and skills, since skilled and talented individuals are critical for theinnovation process. In addition, there is a positive feedback between innovation and

knowledge and skills in the sense that talent becomes an increasingly valued resource when

combined with technological innovation47. Furthermore, Dublins strategy for innovation must

take account of how technology is being increasingly embedded in the global economy. There

is much talk globally of smart growth. Dublin must ensure that it too has a strategy in place

to leverage the advantages of technology in a way that drives innovation and maximises the

value and impact of talent to make Dublin a Smart open and internationalised city.

5. The Rapid Growth in Emerging Economies

The rapid growth of emerging economies has led to a shift in economic power: The economic

and financial crisis is accelerating this longer-term structural transformation in the global

economy. Longer-term forecasts suggest that todays developing and emerging countries are

likely to account for nearly 60% of world GDP by 203048.

It is also estimated that by 2025 a similar pattern of urban economic dominance will exist with

a major shift towards the south and eastern global regions, especially China and India. For

example, 136 new cities will be part of the global top 600 cities and 100 of these 136 will come

from China and 13 from India. The majority of these cities will replace those from the

developed world. The chart below illustrates the top 25 cities by GDP in 2007 and 2025.

In terms of cities of different sizes, there will be growth in the number and size of

middleweight cities, that is, those with population sizes of less than 10 million. These cities

are expected to exhibit above-average population and per capita GDP growth. For example,

the population of the 423 emerging region cities in the top 600 cities will grow by an estimated

430 million by 2025 to 1.5 billion, an increase of 40%. Many of these cities are places that

many people will never have heard of and will be in China. At the same time, average income

(measured in per capita GDP at PPP) in these urban centres will more than double from

$13,000 to $31,000. As a result, these cities will account for nearly 20% of the global

population and about 30 percent of global GDP by 2025.

The growing importance of cities in emerging markets, and in China in particular, is reinforced

by the recent Global Metro Monitor report: The past two decades have seen lower-income

metro areas in the global East and South close the gap with higher income metro in Europe

and the United States, and the worldwide economic upheaval has only accelerated the shift in

growth toward metros in those rising regions of the world49. These trends on the growing

importance of emerging markets and of cities in emerging markets will strongly influence

private sector future investment strategies. They also will demand a radical rethink of national

diplomatic relationships and connections and between cities.


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FIGURE 8

It is also clear from these trends that there will be new market opportunities in cities in

emerging markets. For Dublin to capitalise on these opportunities and take advantage of them

will require a shift in strategic focus to cities and countries in the developing world. In fact,

there is potential for Dublin to have a first mover advantage in European terms in relation to

these opportunities, for example in the area of innovation. Research has shown that while 24%

of innovating firms collaborate within national boundaries, just 11% collaborate with other

firms in the EU, and just 1.2% collaborate for innovation with firms in India or China.50

6. Changing Demographics

The EU is facing a number of key demographic challenges. Firstly, the EU27 population is

projected to increase from 501 million in 2010 and peak at 526 million around 2040, and

thereafter gradually decline to 517 million in 206051. With population increasing relatively

rapidly in Africa and India for example, it is forecast that Europes share of the global

population will decline to 7.6% by 2050. The extent of the change varies widely across the EU,

with an increase in the population of fourteen Member States and a fall in thirteen. The

strongest population growth is projected to be found in Ireland (+46%). This is a phenomenal

increase in population to have to cope with. Dublin as a city must ensure that is has a strategy

in place to cope with the proportion of this increase that will affect the city given the impact

this will have on the demand for housing, transport, water and other key services demanded

by citizens and businesses.

Other EU countries such as, Luxembourg (+45%), Cyprus (+41%), the United Kingdom

(+27%), Belgium (+24%) and Sweden (+23%) are also forecast to experience significant

changes. At the same time, a number of countries will experience sharp falls in their


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population with the sharpest declines in Bulgaria (-27%), Latvia (-26%), Lithuania (-20%),

Romania and Germany (both -19%).

Aside from these aggregate changes, there is a global trend in relation to ageing populations.

The proportion of older persons will double in the world by 2050 and the number of working-

age people per older person is expected to drop globally by more than 50% over the next four

decades

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. Between 2009 and 2050, the median age of the worlds population is projected toincrease by about 10 years with the median age in the more developed regions 13 years

higher than in the less developed regions and 20 years higher than in the least developed

countries.

Europe also faces an issue with ageing populations. The EU27 population is projected to

continue to grow older, with the share of the population aged 65 years and over rising from

17% in 2010 to 30% in 2060. In addition, those aged 80 will increase as a share of the overall

population from 5% to 12% over the same period. Currently, there are little more than four

persons of working age per older person in Europe and by 2050 their number will have

decreased to little more than two53.

Irelands population will also age. The number of people over 65 will rise from about 522,000

now to over 1.4 million in 2050 a colossal increase of 168% meaning that the proportion of

the population aged over 65 will rise from just 11% now to nearly 24% in 205054. The

proportion of the population of working age to those who are dependent (i.e. less than 15 and

older than 65) will rise from 49% now to 73% in 205055.

When the ageing trend is considered in tandem with the trend relating to the growing

importance of skills and knowledge in driving growth, it is clear that Dublin will face a

significant challenge in generating growth in the future if the proportion of the population of

working age is not equipped with the skills necessary to drive growth. This means that even

with a shrinking workforce, the trend can be ameliorated if measures are taken now to ensure

that the workforce contains individuals with the higher education and skills increasingly

important for driving growth. By the same token, failing to take action now will mean that this

already adverse trend will impact even more negatively on Dublins future growth prospects

and potential.

The end result of this demographic trend is also that heavier demands in terms of taxes and

charges - will be placed on the working age population to support older populations. In

addition, to stave off the negative impact of the rising dependency ratio, the competition for

skills will intensify across countries and cities in particular. Dublin and Ireland need to ensure

that they are well positioned to attract the right type of talent and skills. Of course, ensuring

that talent creation here is adequate will also reduce the reliance on having to attract that

talent from abroad and so insulate Ireland to some extent from this global trend.

The impact of the demographic changes will affect society as a whole - ageing populations and

shrinking workforces will have serious implications on labour markets, pensions and provisions

for healthcare, housing, or social services.


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Developing Dublin as an Open andInternationalised City

The international evidence clearly demonstrates the importance of cities in the global economy.

In the global context, it is cities such as Dublin that will continue to drive their national

economies. Dublin is Irelands only truly competitive city and is the gateway between Irelandand the world. In a 2006 study of the 78 largest metro region economies in the OECD, Dublin

ranked 77 ahead of Auckland56.

A vibrant and economically prosperous Dublin City Region benefits all regions of the State,

sourcing goods, services, ideas and innovation and providing employment locally and

nationally to those who might otherwise have to emigrate. In a globally competitive world

market where city regions are in direct competition for people and finance the Dublin City

Region will play a key role in securing the future prosperity of Irish society and those who live

in and trade with it.

Dublin as an open city will drive future economic potential and is an emerging vision for the

region: this commands the commitment of a wide range of actors in the city to reach its full

potential. However, Dublin will fail to reach this potential unless action is taken now to

effectively respond to these trends. Government must act now to realise this potential.

An open city and internationalised city is one that:

1. Can attract and retain international investment and talent and has well developed

international trade links;

2. Has strong external relationships across the world;

3. Encourages innovation;

4. Is a centre of knowledge with world class universities that develop talent;5. Opens up its research to international markets through the attraction of international

students and collaboration in research;

6. Has a strong focus on openness to the world, ideas, people and diversity;

7. Is attractive in terms of quality of life, is welcoming to all and is a vibrant place in which

to live;

8. Hosts major international events; and

9. Is a globally recognised high quality tourism destination.

The four Dublin local authorities and other key actors including State Agencies, Universities,

and others have been developing policies and practices aimed at promoting openness in order

that the city makes and takes the opportunities that these global trends create.

While an open city embraces the concepts of the creative class thesis57, there is a recognition

that successful cities firstly compete on the basis of hard factors such as the public transport

network, communications infrastructure and fiscal incentives and policies. Increasingly soft

factors such as openness to diversity, quality of life are becoming key factors for location

decisions of investment and people.


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Implications for the Dublin City Region

The following section examines the factors which, if addressed in the immediate future, would

enhance the ability of Dublin to attract and retain investment, thereby helping generate growth

and employment which can contribute the overall economic performance of Ireland.

Relative position of the Dublin City Region

While Dublin City Region competes with city regions on a global basis, it is in practical terms, a

part of Europe and a member of the European Union. In looking at the relative position of the

region, it therefore makes sense to consider its position relative to other city regions in Europe

in the first instance.

In a recent survey58, 500 senior executives from leading companies were asked for their views

on 36 European cities. In 2010, Dublin was ranked 20, a decline from 18 in 2009. However,

the overall ranking tells us very little other than overall performance from one year to thenext.

In the survey, the executives were asked for their views on 12 different topics. The topics and

their relative importance are set out in the table below:

FIGURE 9

Access to clients and availability of remain at first and second position in terms of importance

year on year. Quality of telecommunications and transport links with other cities remain at

positions three and four. This may suggest that companies require access to clients and talent

both physically and digitally.


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In order to gain a deeper insight into the performance of Dublin, its performance across each

of the topics was compared to that of four other European cities. The cities chosen were

Frankfurt, Copenhagen, Vienna and Geneva. These cities were chosen on the basis that they

each share some characteristics with Dublin and data relating to them was available across a

fairly broad range of topic. It was felt that comparing Dublin to major cities such as Paris or

London would not be realistic.

The table below illustrates the relative position of Dublin. Green denotes topics where Dublin

ranks in number 1st or 2nd position, amber denotes 3rd position, and red indicates where Dublin

ranks 4th or 5th.

Priority Factor (all Companies*) 2010 2009 Copenhagen

Dublin

Frankfurt

Geneva

Vienna

% % Rank Rank Rank Rank Rank

1 Easy access to markets, customers or clients 61 60 25 31 3 20 22

2 Availability of qualified staff 58 57 22 23 3 18 30

3 Quality of telecommunications 55 54 19 21 3 13 24

4 Transport links with other cities and internationally 51 51 13 29 3 16 22

5 Cost of Staff 33 35 34 16 26 36 31

6 Value for money office space 36 34 34 22 18 31 6

7 Climate that governments create for business 27 26 29 1 18 9 26

8 Availability of office space 31 25 32 15 9 34 31

8 Languages spoken 27 24 10 26 7 8 16

10 Ease of travelling within the city 26 23 24 24 11 13 16

11 Quality of life for employees 20 21 7 19 26 9 11

12 Freedom from pollution 19 17 4 9 21 5 10

2010

FIGURE 10

Areas requiring further investigation: Talent, Telecommunications,Transport

From this table it can be seen that Dublin appears to rank 4 th or 5th in the top four factors cited

by the survey respondents as being of most importance.

On the basis of this survey, it is recommended that further analysis is carried out into the

areas of talent, telecommunications and transport in and out of Dublin. The extent to which

the perception of the survey respondent is firmly grounded needs to be assessed. If it is found

not to be well grounded Dublin may have an issue in relation to how it is communicating

internationally.

Where the perception is well grounded, then policy initiatives which improve the performance

of Dublin City Region should help improve the performance of the region in European rankings.

This in turn will enhance Dublins ability to attract investment and generate employment.

Separate work streams have been established within Dublin Chamber of Commerce to examine

these areas in more detail.


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Endnotes

1 Ernst & Young, Winning in a Polycentric World, Globalization and the changing world ofbusiness (2011) - http://www.ey.com/GL/en/Issues/Business-environment/Winning-in-a-polycentric-world--globalization-and-the-changing-world-of-business---Winning-in-a-world-with-many-centers

2 United Nations, Urbanization: A Majority in Cities (2007) -

http://www.unfpa.org/pds/urbanization.htm 3 McKinsey Global Institute, Urban world: Mapping the economic power of Cities (2011)

-http://www.mckinsey.com/mgi/publications/urban_world/pdfs/MGI_urban_world_full_report.pdf

4 United Nations, Press Conference on 2009 Revision of World Urbanization Prospects(2010) - http://www.un.org/News/briefings/docs/2010/100325_DESA.doc.htm

5 LSE Cities & Metropolitan Policy Program, Brookings, Global Metro Monitor the pathto economic recovery (2010) -http://globalmetrosummit.net/media/GlobalMetroMonitor.pdf

6 McKinsey Global Institute, Urban world: Mapping the economic power of Cities (2011)-

http://www.mckinsey.com/mgi/publications/urban_world/pdfs/MGI_urban_world_full_report.pdf

7 OECD, Competitive Cities in the Global Economy (2007)8 Ibid.9 LSE Cities & Metropolitan Policy Program, Brookings, Global Metro Monitor the path

to economic recovery (2010) -http://globalmetrosummit.net/media/GlobalMetroMonitor.pdf

10 OECD, Competitive cities in the global economy (2007) - Global City IndicatorsProgram (GCIP) was initiated by the World Bank http://www.cityindicators.org/#. WorldBank, City Indicators From Now to Najing (2007)

11 IBMs Smarter Cities programme (http://www-05.ibm.com/ie/smarterplanet/technologycentre/index.html )

12

Pricewaterhouse Coopers Cities of Opportunity - http://www.pwc.com/us/en/cities-of-opportunity13 McKinsey Global Institutes Urban world: Mapping the economic power of cities -

http://www.mckinsey.com/mgi/publications/urban_world/index.asp 14 KPMGs Global Cities Investment Monitor - http://www.greater-paris-investment-

agency.com/pdf/GPIA-KPMG-22-juin-2010-version-definitive.pdf15 AT Kearneys Global Cities Index - http://www.lboro.ac.uk/gawc/16 Globalization and World Cities Research Network _http://www.lboro.ac.uk/gawc/17 See also, Rockefeller Foundation, The global city indicators programme in Century of

the City: No Time to Lose (2008)18 McKinsey, The Importance of Cities (2011)19 Accenture, CDP for Cities making the case (2010)20 Siemens, Green City Index (2011) _

http://www.siemens.com/entry/cc/en/greencityindex.htm 21 Based on a purchasing power parity from 200022 Dirks, S., Keeling, M and Lyons, R., Economic Development in a Rubiks Cube World,

IBM Institute for Business Value. (2007)23 World Bank, World Development Indicators (2010)24 UNCTAD, World Investment Report (2006) and (2010)25 Bank for International Settlements, Triennial Central Bank Survey of Foreign Exchange

and Derivatives Market Activity in 2010 - Final results (2010)26 Dirks, S., Keeling, M and Lyons, R., Economic Development in a Rubiks Cube World,

IBM Institute for Business Value (2007)27 http://www.internetworldstats.com/stats.htm (2011)28 IBM Institute for Business Value analysis of data from

http://www.internetworldstats.com/stats.htm (2011)29 Ernst and Young, Globalisation Survey (2011)30 World Trade Organisation (2010)


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31 Irish Exporters Association (2011)32 Dirks. S., Keeling, M and Gurdgiev, C., Smarter Cities for Smarter Growth, IBM

Institute for Business Value (2010)33 Ibid.34 European Centre for the Development of Vocational Training (2009) and (2010); IBM

Global Center for Economic Development analysis35 Massey, D., Arango, J., Hugo, G., Kouaci, A., Pellegrino, A. and Taylor, J.E., Theories

of International Migration: A Review and Appraisal in Population and DevelopmentReview(1993)

36 Ibid.37 Kim, Young-Chul (2009): The Asia-Pacific education market and modes of supply. In:

The Asia-Pacific education market, eds. William Tierney and Christopher Findlay, quotedin Hawthorne 2008.

38 Dirks. S., Keeling, M and Gurdgiev, C., Smarter Cities for Smarter Growth, IBMInstitute for Business Value. (2010)

39 Reilly, Patricia, Address to the Board of GS1 in Europe (part of the global supply chainstandards body) (2010) (see http://www.gs1ie.org/sid/1441). Ms Reilly is a member ofcabinet of the European Commissioner for Research, Innovation and Science, Mire

Geoghegan-Quinn.40 Hall, Peter, Cities in Civilization, (1998) - gives an account of the urban sources ofcultural creativity and technological innovation throughout history, from Athens toFlorence, to London, to New York, to Paris, to Los Angeles, to Silicon Valley, andbeyond.

41 Athey, G., Glossop, C., Harrison, B., Nathan, M. and Webber, C., Innovation and theCity: How innovation has developed in five city-regions, National Endowment forScience, Technology and the Arts (NESTA), (2007) -http://www.centreforcities.org/assets/files/innovation_and_the_city_report_NESTA.pdf

42 Geoghegan Quinn, Mire (EU Commissioner for Research, Innovation and Science),speech at Croke Park Conference Park Conference Centre, Dublin City entitled CitiesInnovating for Future Growth (April 23rd 2010)

43

European Commission/Research and Innovation, Innovation Union CompetitivenessReport 2011, Overall review of Member States and Associated Countries, CountryProfile Ireland(2011)

44 Ibid45 OECD, Territorial Reviews: Competitive Cities in the Global Economy (2006)46 Bureau of Labor Statistics (2011)47 OECD, International Mobility of the Highly Skilled (Policy Brief. July 2002) -

http://www.oecd.org/dataoecd/9/20/1950028.pdf48 OECD, Perspectives on Global Development: Shifting Wealth (2010)

http://www.oecd.org/document/12/0,3746,en_2649_33959_45467980_1_1_1_1,00.html

49 LSE Cities & Metropolitan Policy Program, Brookings, Global Metro Monitor the pathto economic recovery (2010) -http://globalmetrosummit.net/media/GlobalMetroMonitor.pdf

50 Eurostat, Science, Technology and Innovation in Europe (2010)51 Eurostat,2010 yearbook(2010)52 United Nations, World Population Ageing (2009)

http://www.un.org/esa/population/publications/WPA2009/WPA2009-report.pdf53 Eurostat, (2011) - http://epp.eurostat.ec.europa.eu/portal/page/portal/eurostat/home/ 54 United Nations, World Population Prospects (2009)55 Ibid.56 OECD, Territorial Reviews Competitive Cities in the Global Economy (2006)57 Florida, Richard, The Rise of the Creative Class (2004) and Florida, Richard, The Flight

of the Creative Class (2006).58 Cushman & Wakefield, European Cities Monitor, (2009) and (2010)


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