Subject(s): Small business in Europe. -- Industrial organization (Economic theory) -- Europe in Economic conditions in 1945 -- Establishing local production system- Machinery industry : European machinery industry under pressure, Collective goods in the local economy- Packaging machinery, Machine tool industry in the local economy of stuttgart, machine tooling in the UK and France, Hybrid governance and networked firms -- Trying established local production systems- Ex-steel cities : Reconstruction of declining local economies in Europe, new local production system substitutes an old steel plant , life after industrial decline in St Etiemme- Robust SMEs, deterritorialization and the marketing of a local mode of governance, council dominance to partnership, Industrial decline and local development polices to partnership, Some minor development of local production system based on SMEs -- New local production systems- High-tech sectors :High-tech districts, Biopharmaceutial cluster in Oxford, Recombing governance modes- media sector in cologne, local software system in Italy, Grenoble Valley, Governance of high- tech districts