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What is a an industrial cluster?a cluster | is a geographically proximate group of interconnected companies and associated institutions in a particular field, linked by commonalities and complementarities | Two important dimensions: | linkages | | | and geographical proximity | However, proximity is not of value by itself; it is an enabling factor that increases the ease of | frequent, flexible and rich communication | | | mobility of employees |
Why do we care?10 – 40% of the company market value from strategic alliances and networks | Internal competencies and resources limits development | Internationalisation is challenging |
Success factorsco-operate as close to the core activities as possible | invest in the cooperation | all partners must have valuable contributions | start small and develop the cooperation | open communication | trust and personal relations |
| | So why doesn’t everyone cooperate?
Why do they fail?too complex too soon | lack of bilateral adaption | unbalanced cooperation | one partner feels exploited | lack of dynamics and development |
What to consider when choosing a location?Proximity benefits | Benefits of locating activities close to the resources that are important for the performance of the activities | | | labor Markets. Suppliers and partners | | | clients and capital | Cooperation benefits | Equal activities performed at the same location Economies of scale | | | Decreasing unit costs at large volume of learning curve effects - Decreasing unit costs for repeated performances | The entire activity set is performed in the same place | Reciprocal addiction - creates the need for coordination of the activity. | | | Transaction costs - minimized by colocation |
| | Clusters fit in with maritime managementClusters is a important part of strategic management – part of a business strategic choice |
How can politics affect this?Authorities affects attractiveness: | directly through | taxes | | | | fees | | | | subsidies | | | | macropolicy | | | | customs and others barriers | | | indirectly through | competition policy | | | | R&D | | | | transport infrastructure | | | | education |
Industry dynamicsIndustry dynamics is the sum of processes that take place between companies (and institutions) | competition for market share and positions | | | relocation of capital between companies, industries and regions | | | mobility of employees | | | cooperation, coordination and communication through formal and informal channels | The stronger dynamics, the more upgraded the resource base of the economy and the higher productivity |
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