In the UK, Business Schools are being exhorted by government to engage with local organizations to enhance their competitiveness. However, a historical legacy of providing courses for international students and a research focus upon multi-national firms has constrained the capability of most business schools to contribute in this way. We highlight global examples of business schools recognising the opportunity to develop locally useful knowledge and enhance the capabilities of their students to deploy that knowledge. Business Schools are seen to significantly reposition their offer by developing the leadership skills of local organizations and enhancing the entrepreneurial and problem solving skills of their students for local deployment. We conclude that a sustained emphasis upon faculty and student engagement with local organisations can allow business schools to overcome legacy constraints and thereby contribute more fully to local economic competitiveness for mutual benefit.