Quantitative Measurement of Glocalization to Assess Endogenous and Exogenous Parameters of Regional Sustainability

Glocalization plays a vital role in promoting regionally embedded sustainable development by enabling territories to adapt global economic impulses to local capacities, values, and institutional frameworks. This paper develops a framework for the quantitative assessment of economic glocalization at the regional level, focusing on the European Union. Drawing on the conceptual metaphor of “refraction”, glocalization is interpreted as a transformation of global economic impulses as they pass through and interact with localized socio-economic structures. The authors construct a Glocalization Index System comprising three sub-indices: (1) Index of Generation of Globalization Impulses, (2) Index of Resistance to Globalization Impulses, and (3) Index of Transformation of Globalization Impulses. Each sub-index integrates normalized indicators related to regional creativity—conceptualized through the four “I”s: Institutions, Intelligence, Inspiration, and Infrastructure—as well as trade and investment dynamics. The empirical analysis reveals substantial interregional variation in glocalization capacities, with regions of Germany, the Netherlands, Sweden, and Finland ranking among the most prominent generators and transformers of globalization impulses. Strong correlations are observed between the Resistance and Transformation indices, supporting the hypothesis that medium resistance levels contribute most effectively to transformation processes. By integrating both global (exogenous) and local (endogenous) dimensions, the proposed framework not only addresses a gap in economic literature but also offers a tool for guiding policies aimed at sustainable, adaptive, and innovation-driven regional development.