Abstract:

Regional economies are influenced and affected by globalization and this impact could be positive or negative. This debate regarding the impact of globalization on local regions was analysed in the study. The study objectives include an analysis of local versus global aspects and to provide best practice principles for local economic development (LED) with linkages to the global economy. The methodology included a comprehensive document analysis process based on a literature review of the research by some of the most prominent authors on LED and best practice principles. The main result of the document analysis process was the identification of ten broad themes or best practice principles for policy formulation. The themes were also ranked based on the number of times keywords appeared in the document analysis process. The highest ranked theme/best practice principle was “Decentralised strategic planning and institutional development”, followed by “Improvement of local regional attractiveness”. All ten broad themes are however important development themes and should be included in development strategies. The implications of the study are that if the broad best practice principles are included in development policy and well implemented, local regions could achieve increased development within a competitive global economic environment.