Local economic development (LED) is at the same time a simple and a
difficult task. It is simple because the necessary concepts and
instruments are available and widely documented in the literature. There
is nothing particularly magic or intrinsically complicated about it. It
is difficult because its success is based on the active involvement of
many actors, and the successful communication and coordination among
them. Local economic development can only to a limited extent be
delegated to salaried professionals. Therefore, motivation is a crucial
issue. This is the first point of departure of PACA, the Participatory
Appraisal of Competitive Advantage Methodology.
A successful local economic development initiative relies to a
substantial extent on voluntary work – businesspeople, government
executives, and representatives of civic associations and other
organizations spending time in meetings and doing work which often is
unpaid. Any LED initiative is therefore in need of visible, tangible
results, and preferably quick results. Quick and tangible results
motivate local actors to continue dedicating their time. Therefore,
coming up with viable, practical, quickly implementable proposals is
crucial. This is the second point of departure of PACA.
A successful local economic development initiative builds on the
motivation of individuals to pursue some project as well as the
willingness and ability of many individuals to formulate a shared vision
which is guiding the projects. Also, many projects will only work if
several individuals work together. It does not make sense to suggest
projects which local actors do not find plausible, and it does not make
sense to suggest projects which involve the collaboration of actors who
cannot imagine to work with each other. Thus, the aim to come up with a
diagnostic not only of economic potentials and challenges but also of a
clear idea of the capacity, motivation, and cooperative spirit of key
actors is the third point of departure of PACA.
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Participatory Diagnostic
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