I need a good, short working defintion of what a "maquila" is, especially in terms of forward/backward linkages and ownership. By defintion are inputs and outputs provided/absorbed by one transnational or parent company? By definition is ownership separate from the parent co.?
Here's a specific case: I have here a case of a shoe factory has that has small, independently woned shops do steps 3-8 in a 12 step shoemaking proccess. Shop bosses/owners are ex-foremen from the parent plant. All inputs come from the parent plant; all output goes back to be finished. The shop is paid a piece rate. The machinery is "lent" to the shop by the parent factory. The shop deals with labor, the tax man, and takes risk.
What do you call this?
Case 2: The same parent co. sells a small amount of hand made mocasins as part of one product line. In this case, the company gives materials and a model to groups of artisans who hand over finished product at a piece rate.
What do you cal this?
I'd like to sound like I know what I'm talking about, and I gotta say something intelligent right quick about these setups. Any handy definitions out there?
Thanks!
Tom