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Technological innovation is said to be breaking down borders. The internet, the explosion of globalised financial markets, increased foreign direct investment by transnational corporations - all are portrayed as evidence of a global market in which the nation state is little more than an anachronism. Yet some economies have proved more innovative and dynamic than others, and there seems no reason to believe that these differences in national economic performance will become a thing of the past. On the contrary, as many of the chapters in this book argue, with a global market, any competitive advantage is likely to bring larger rewards, and government action aimed at enhancing the competitive advantage of firms becomes more rather than less important. It is within this context that technological globalisation is analysed in this book.