Design Mechanism as Territorial Strategic Capability

Abstract

The current exigencies that a territory must faced in order to its’ optimal positioning in future regional competition requires the ability to design the appropriate mechanism which better valorize the territory capability. Such a construct is vital for territorial sustainable development and supposes the creation of a specific body of knowledge from distinctive local resource exploitation and unique value creation and allocation. Territorial mechanism design is a typical management decision about identification, ownership and control of specific strategic capabilities and their combination in a distinctive territorial portfolio. The most difficult responsibility is to allocate the territorial value added which is a source of conflict among territorial components. Our current paper research covers the basics of two complementary territorial pillars-rural and tourism potential and proves the lack of specific design mechanisms which explain the current diminishing value of Galati Braila region. The proposed management system, relying upon territorial control mechanism, will ensure knowledge sharing process via collaborative learning, with the final role of appropriate territorial attractivity signals, reinforcing identity as key factor of territorial attractability. Our paper is fully documented on there years of data analyzing from territorial area of interest. This offers us the necessary empiric contrasting for our proposed solution.