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From Wikipedia, the free encyclopedia
A Branch plant economy is an economy that hosts many branch plants (i.e. factories or firms near the base of a supply chain/command chain), but does not host headquarters.[1][2] In particular, it was used in arguments that countries must develop independent companies, as a form of economic nationalism, to create better jobs and avoid having managerial positions filled only by corporate workers from outside the country.[1]
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It was used in the 1970s to describe Canadian reliance on US headquartered corporations or Scottish reliance on English-headquartered corporations[1] but may have fallen out of mainstream use.[citation needed] Some opinion pieces still use the terminology to decry reliance on outside states, especially with regards to Canada’s relationship with the United States.[3][4]
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