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Clusters and Internationalization: the role of lead firms' commitment and RIS proactivity in tackling the risk of internal fractures.

Parrilli, M.D., 2019. Clusters and Internationalization: the role of lead firms' commitment and RIS proactivity in tackling the risk of internal fractures. European Planning Studies, 27 (10), 2015-2033.

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DOI: 10.1080/09654313.2019.1635087

Abstract

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.

Item Type:Article
ISSN:0965-4313
Additional Information:Rethinking clusters. Critical issues and new trajectories of cluster research
Uncontrolled Keywords:Clusters and industrial districts; internationalization; regional innovation systems; lead firms; global innovation networks
Group:Faculty of Management
ID Code:32485
Deposited By: Unnamed user with email symplectic@symplectic
Deposited On:03 Jul 2019 11:01
Last Modified:09 Oct 2019 13:13

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