The idea of a "peripheral" cluster: Rethinking the boundaries of the "cluster" approach (209)

Theme Track: Regional Competitiveness - Regional Cooperation and Cluster

Author:
Benneworth, Paul Stephen

The idea of 'clusters' as a means for economic analysis has recently emerged, although the notion is highly controversial. This controversy derives from the multiple ways in which the ideas have been used: although originating in the field of consultancy as a means of describing territorial competitive advantage a fairly circumscribed economic development community, the idea has spread to now be regarded as a key notion in economic development to communities of policy-makers and academics alike.

The practical development of the idea of 'clusters' has proceeded at a much greater pace than the corresponding theoretical developments. The diversity of approaches which have been taken to clusters have inhibited the development of a coherent theoretical basis for the ideas. One problematic dimension is that of the scale of the cluster: clusters at a regional scale have been regarded by some as an old idea revisited, akin to Marshallian industrial districts, growth poles or more recently, learning economies (McCrone, 2001). Conversely, national analysis of clusters has focused predominantly on quantitative methodologies for defining clusters, rather than understanding what it is about what people do in clusters that is distinctive (Dosi, 1987; Feser & Bergman, 2000). A key question therefore to be answered relates to the relationship between the key drivers of national (agglomeration) clusters and regional (innovation boosting) clusters (Martin & Sunley, 2001).

Much of the more theoretical academic research is now attempting to address this relational issue: however, a recurrent question in regional science is whether all regions within a territory behave in a similar manner, and the extent to which generalisations can be made for all territories on the basis of models observed in exemplar regions. The 'clusters' debate embodies the assumption that clusters can be present in all regions simultaneously, although not all regions will have all clusters. This paper seeks to contribute to this debate by examining the innovation micro-dynamics of a high-technology (innovative) sector in a peripheral region. The paper asks the question of whether the firms' behaviour is converging and improving to some form of cluster activity. By highlighting areas where firms' behaviour diverges from that which might be expected within a cluster, the paper seeks to examine the limits to the flexibility of the idea of 'clusters'.

Dosi, G. (1988b) 'Sources, procedures and micro-economic effects of innovation' Journal of Economic Literature, 26 pp 1120-1171.

Feser, E. J. & Bergman, E. M. (2000) "National industrial cluster templates: a framework for applied regional cluster analysis" Regional studies 34(1) pp 1-20

McCrone, G. (1999) "Industrial Clusters: A New Idea or an Old One?" Scottish Affairs No. 29 August 1999.

Martin,. R. & Sunley, P. (2001) "Deconstructing clusters- chaotic concept or policy panacea?" paper presented to Regionalising the knowledge economy, Annual Conference of the Regional Studies Association, 22nd November 2001, London.

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