Clusters and internationalization: the role of lead firms’ commitment and RIS proactivity in tackling the risk of internal fractures

Authors: Parrilli, M.

http://eprints.bournemouth.ac.uk/32485/

https://www.tandfonline.com/loi/ceps20

Journal: European Planning Studies

Publisher: Taylor & Francis

ISSN: 0965-4313

DOI: 10.1080/09654313.2019.1635087

In this paper we aim at discussing the growth potential of clusters in international markets. Over the past two decades, clusters and industrial districts have gone under increasing competitive pressure insofar as markets have progressively globalized. Lead companies, either foreign or home-grown multinationals, have globalized their operations while often reducing their commitment (e.g. investments) within clusters and districts. As a result, a number of second, third and fourth tier suppliers disconnect from global value chains coordinated by lead companies, leaving the cluster fractured and jeopardizing local development prospects. Only a small segment of firms in the cluster copes with globalization. This situation represents a challenge that clusters and districts need to take on. In this paper, we inquire about the importance of two factors that may represent crucial conditions for the upgrading of clusters within global markets. The long-term commitment of lead companies to the local economy, together with the dense interaction between the regional innovation system and the lead companies and their new global innovation network, are found to be crucial elements for the resilience of clusters/districts and their small and medium-sized firms. A few successful clusters are considered vis-à-vis others that face higher risks of internal fracture. In this work we analyse relevant cases in Spain, Italy, and Costa Rica.

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Authors: Parrilli, M.D.

http://eprints.bournemouth.ac.uk/32485/

Journal: European Planning Studies

Volume: 27

Issue: 10

Pages: 2015-2033

eISSN: 1469-5944

ISSN: 0965-4313

DOI: 10.1080/09654313.2019.1635087

© 2019, © 2019 Informa UK Limited, trading as Taylor & Francis Group. In this paper, we discuss the growth potential of clusters and industrial districts (CIDs) in international markets. Over the past two decades, CIDs have gone under increasing competitive pressure while markets have progressively globalized. Lead companies, either foreign or home-grown multinationals, have globalized their operations while often reducing their commitment (e.g. investments) within CIDs. As a result, a number of second, third and fourth-tier suppliers disconnect from global value chains coordinated by lead companies, leaving the cluster fractured and jeopardizing local development prospects. Only a few firms in the CID cope with globalization. This situation represents a challenge that CIDs need to take on. In this paper, we inquire about the importance of two factors that may represent crucial conditions for the upgrading of CIDs within global markets. The long-term commitment of lead companies with the local economy, together with the dense interaction between the regional innovation system and the lead companies and their new global innovation network, are found to be crucial elements for the resilience of CIDs and their small firms. A few successful CIDs are considered vis-à-vis others that face higher risks of internal fracture. Relevant cases in Spain, Italy, and Costa Rica are analysed here.

This data was imported from Web of Science (Lite):

Authors: Parrilli, M.D.

http://eprints.bournemouth.ac.uk/32485/

Journal: EUROPEAN PLANNING STUDIES

Volume: 27

Issue: 10

Pages: 2015-2033

eISSN: 1469-5944

ISSN: 0965-4313

DOI: 10.1080/09654313.2019.1635087

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