Eibar and the gun making industry: evidence of an industrial district

Abstract

The Basque Gunmaking industry experienced its most important growth during the last decades of the 19th century and first years of the 20th. This growth was due to the increasing exports of revolvers and pistols which made up almost 90 per cent of total sales. This industry was concentrated around the town of Eibar which, together with other villages of Guipuzcoa and Biscay, constituted the “Gunmaking Zone”. The international competitiveness achieved by this industry was mainly a consequence of the flexibility and adaptability given by its Marshallianindustrial district structure since Eibar fulfilled most of the characteristics cited by specialized literature, e.g., specialization, in this case in firearms, a relatively homogeneous product; predominance of SME in its production structure and subcontracting relationships among them; existence of internal rules and institutions that protect them; and, due to cooperation between companies, creation of institutions to improve the development of the district's characteristic industry.