Regional Cluster Development

The small and medium enterprises (SMEs) are the prime movers of any economy around the globe. These enterprises are considered as engines of growth. All countries are trying hard to develop entrepreneurs, promote SMEs and facilitating their graduation into large industries for rapid industrialisation.

Economists, development workers and innovators have prescribed different tools, techniques, methods and approaches for SME development around the world based on size, capacity and features of the economies. For example, Japanese 'One Village One Product' and Chinese 'One Region One Industry' and Michel Porter's Global Village are widely-known approaches of SME development.

Currently, cluster-based SME development is a popular approach for entrepreneurship development, SME promotion and industrialisation with a view to facilitating employment generation and poverty alleviation around the world. It could be the most effective, economically viable and maximum output-oriented SME development approach for Bangladesh.

Why should we go for cluster-based approach? How many entrepreneurs are there in all the SME clusters in Bangladesh? The answer is that it is cost-effective to support hundreds of entrepreneurs at a particular location than that of hundred different areas. Ensuring infrastructure development, industrial utilities supply and maintaining law and order situation in a particular place are comparatively easy, economically viable and less time-consuming. There are a large number of SMEs located in the BSCIC Industrial Estates. There are also many clusters where the BSCIC estates are somehow part of those clusters. For example, the Coconut Oil Manufacturing Cluster is located at Bagerhat Sadar. There are some factories of coconut oil located at Bagerhat BSCIC Industrial Estate. Thus, majority of Bangladeshi SMEs (manufacturing units) are located in clusters.

This report aims to examine the supply chains, global value chains, and quality standards of the health tourism cluster in order to produce a report that gives policymakers and SME operators a resource for inducing business/economic growth, particularly by expanding access to regional and international markets.
The research results compilation, on-site stakeholder interviews, and on-site visits to analyze health tourism clusters consisted of expert consultations, SWOT analyses, Diamond analyses and case studies.

Cluster Development Handbook could be consider as one of the easiest guide for cluster development practitioners. It defines clusters from different aspects. This book has a reasoning and justification of cluster development why and how. All the steps of cluster development are described here in this book elaborately with specimens and tools. There are a good number of cluster development models provided by different scholars around the world. This book described about few of the existing cluster development models and offered a very comprehensive cluster development model for the cluster managers. A cluster development agent will get complete guidance from this book. Cluster identification, mapping, needs assessment, designing development interventions, monitoring and evaluation, adjustment, creating owner groups for sustainability, and a well-planned exit strategy etc. issues are discussed here in this book with templates, specimens, formats, flowcharts etc. tool to be used in cluster development. Hope this book could offer a complete way out of cluster development in both least developed and developing economies.

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Ever since Michael E Porter's seminal 2003 article "The Economic Performance of Regions" on the link between clusters, economic development and innovation, many others have emulated and expanded on his analysis using cluster maps and associated statistical techniques. One of the most developed cluster-mapping methodologies is a 3-star analysis of regional clusters, developed by the European Cluster Observatory and universally applied across the countries of the European Union. There are no cluster-mapping analyses of countries in the Western Balkans, however, mostly due to a lack of reliable statistical data at sub-national tiers of government. This paper describes a pioneering attempt to apply the cluster-mapping methodology of the European Cluster Observatory to conditions in the Republic of Serbia and to derive conclusions that would be useful and dependable for academics and policy makers. The research shows three key findings: firstly, 11 cluster categories, largely in the services sector, concentrate in the major cities of Belgrade, Novi Sad and, to some extent, Niš; secondly, a number of cluster categories (13 in total) are insignificant, with low levels of employment and/or a small number of registered companies; and thirdly, the remaining 14 categories are distributed across Serbia.

SME Cluster Development could be an emerging force of entrepreneurship development, employment generation and poverty  alleviation for any least developed country like Bangladesh. SMEs located at different clusters of Bangladesh are contributing in generating employment and income for the workers and producing import substitute product simultaneously. Realizing the full potential of SME cluster development in Bangladesh, it is important for all stakeholders to sit together and find out a concrete solution for the identified challenges of SME clusters. Recommended action plan could be
catalyst to enhance productivity,  increase efficiency, quality, acceptability, market linkage of SME products of Bangladesh. The action plan is designed with Short term (up to 3 year), Mid-term (3-5 years) and Long term (5 and more) recommendations for fostering cluster development of SME in Bangladesh with a vision of employment generation and poverty alleviation.

We consider the problem of how to select an investment project according to a two-criterion technique and illustrate this issue by the transportation-and- logistic center project for the Novosibirsk Oblast. We also analyze how regular the investments are made and show the minimal discounted costs and an algorithm and the mechanism to select Parettos optimal investments.

Аннотация.  Кластеры -  концентрация  гомогенных  предприятий,  производящих  подобные  про-дукты или предоставляющих идентичные услуги наряду с соответствующими предприятиями обрат-ной  и  прямой  связи  в  особом  географическом  местоположении,  разделяющая  общие  возможности  и
угрозы. Известны кластеры, главным образом, двух типов: естественные и искусственные. Практика
предполагает несколько моделей развития кластеров. Известны модели: Организации Объединенных
Наций  по  промышленному развитию (UNIDO),  Кластер  Навигатор –  Новая  Зеландия,  Кластер  Плюс –
Индия,  Сеть TCI –  США,  Европейская  Кластерная  Обсерватория  и  т.д.  Ни  одна  из  вышеупомянутых
моделей полностью не применима в такой слабо развитой стране, как Бангладеш. У Бангладеш есть
ограничения для развития кластеров в финансах, технических знаниях, технологиях, организационных
возможностях. Предприятия расположены в особом регионе, как кластеры, но у них нет связей между
собой.  С  учетом  этих  ограничений    авторы  хотели  бы  проанализировать  большинство  доступных
моделей  развития кластеров и предложить новую  модель, чтобы ввести ее  и распространять в  та-кой развивающейся стране как Бангладеш. Предложенная модель ориентирована на бедные слои насе-ления, гибкая и одинаково эффективная как в любой слабо развитой стране, так и в развитых эконо-миках. В основном модель,  предлагаемая в статье, является результатом опыта авторов  и  оценки
потребностей  для  кластерного  развития    приблизительно  для  тридцати  разнородных  кластеров,
расположенных в различных районах Бангладеш.

Abstract. Clusters are the concentration of homogeneous enterprises producing similar products or provid-ing identical services along with relevant backward and forward linkage enterprises in a particular geographic
location sharing common opportunities and threats. Clusters are mainly two types based of their origin i.e. natural-ly grown and manmade clusters. Cluster development practitioners introduce several models for cluster develop-ment. Notable models are provided by the United Nations Industrial Development Organization (UNIDO), Cluster
Navigator – New Zealand, Cluster Plus – India, TCI Network – USA and European Cluster Observatory etc. None
of the above mentioned model is fully implementable in a least developed country like Bangladesh. Bangladesh
has limitation in financial, technical knowledge, technological, managerial capacity to dedicate for cluster devel-opment. Enterprises are located at a particular location like clusters but they do not have inter-linkages with each
other’s. With all these limitations in mind the authors would like to analyze most of the available cluster develop-ment models and offer a new model to introduce and replicate in a developing country like Bangladesh. Proposed
model is pro-poor, flexible and equally effective in any least developed country and developed economies as well.
Basically, the model offered here is the result of experience of both the authors from needs assessment for clus-ter development and development initiatives for about thirty heterogeneous clusters located in different districts of
Bangladesh.

Clusters are the concentration of homogeneous enterprises producing similar products or providing identical services along with relevant backward and forward linkage enterprises in a particular geographic location sharing common opportunities and threats. Clusters are mainly two types based of their origin i.e. naturally grown and manmade clusters. Cluster development practitioners, experts, stakeholder organizations introduced a long list of cluster development models for guiding a cluster manager into his / her predetermined goal of cluster development. Notable models are provided by the United Nations Industrial Development Organization (UNIDO), Cluster Navigator – New Zealand, Cluster Plus – India, TCI Network – USA and European Cluster Observatory etc. None of the above mentioned model is fully implementable in a least developed country like Bangladesh. Bangladesh has limitations in terms of financial ability, technical knowledge, technological and managerial capacity to dedicate resources for cluster development. In Bangladesh enterprises are located at a particular location like cluster; but they do not have interlink either vertically or horizontally with each other. They are not sharing competitive advantages between them rather competing with each other’s. As a result they are not enjoying expected growth by using advantages of a cluster. Therefore authors would like to analyze most of the available cluster development models and offer a new model titled J. M Model for Cluster Development. This model would be pro-poor, flexible and equally effective in any least developed country and developed economies as well. Basically, the model offered here is the result of the experiences of both the authors from needs assessment for cluster development and development initiatives for about thirty heterogeneous clusters located in different districts of Bangladesh. Each of the SME clusters are unique in nature with diverse opportunities and challenges. To address each of the challenge of cluster development the model shall be flexible enough for adopting tailor made intervention as and when required. This model will lead a practitioner into his or her predetermined goal of developing a naturally grown or man-made cluster.

Clusters are currently recognized as instruments to increase the competitiveness of national economies and that is why they are receiving an increasingly important role in the European, as well as Croatian economy. Nonetheless, the main objectives, activities and benefits that clusters provide to their members, as well as their impact on the development of certain areas of the economy often are insufficiently visible and transparent.Integrated marketing communication (IMC) is a key activity in creating greater visibility and recognition of clusters in the Republic of Croatia. Precisely, the implementation of integrated marketing communication creates prerequisites for attracting new cluster members, including not only companies but also the scientific community and public institutions, in order to ensure the high-quality work of clusters. The concept of integrated marketing communication today, unlike in the 80s of the last century, takes on a whole new meaning, because marketing experts are facing the challenge of harmonizing the communication message with consumers using classical channels with those using interactive digital media. In this matter, it should be borne in mind that digital media provide incredible opportunities for creative expression, but also do not tolerate literal taking over of creative strategy developed for traditional media. It seems to be a great challenge for managers, related to both clients as well as marketing agencies, often insufficiently informed on this matter (especially the elder generation). The Role of Integrated Marketing Communication in Cluster Development Zlatko Hodak, Sanja Rocco, Marina Hodak Communication Management Forum 2015 Reconciling the Traditional and Contemporary: The New Integrated Communication 316 This paper is based on secondary research and consists of a theoretical part explaining the concept of clusters and their basic features, including the specifics of cluster marketing and communication, as well as the analysis of some cluster cases.

Carpet Industry has importance from various economic, social and cultural aspects. From economic point of view, it has created the source of foreign exchange earnings and also job opportunities for more than a million people. From social point of view, the industry plays a very important role in maintaining and improving the optimal housing of population for development of carpet weaving in rural areas. From cultural point of view, carpet industry represents a part of Islamic Iran authentic identity as the art and culture of a nation is an evitable category. The hand-woven carpets can be a good messenger for Iran noble history in other nations and countries. Nowadays, Iranian hand-woven carpet has international fame and this owns the nameless and artisan carpet weavers who portrays a painting with any warp and woof

Cluster is a concentration of a large number of similar manufacturing units sharing common opportunities, threats, strengths and weaknesses in a particular area. It is easier to ensure all industrial support into a particular location for industrial development of a country. Least developed countries like Bangladesh could go for cluster based small and medium enterprise development approach to foster economic growth, generate employment, and finally alleviate poverty. Hundreds of enterprises share few common problems in a cluster and it is worthwhile to take a hand to solve a problem for hundred enterprises than that of a smaller group or few scattered entity. A group of capable entrepreneurs could be trained up to create a leadership / mentorship group for the entire cluster. Creating machine operators, trouble shooters, and skilled workers in a particular trade is comparatively less costly and feasible in terms of sustainability in a cluster. A common financial / technical / technological / marketing support could help the whole community equally. A country could ensure balanced development by developing different clusters located all over the states. Smaller investment could be sufficient for establishing an assembling unit in a cluster where all backward as well as forward linkage industries are available. Therefore cluster development could be a powerful tool for inclusive and sustainable growth of a country.

Carpet Industry has importance from various economic, social and cultural aspects. From economic point of view, it has created the source of foreign exchange earnings and also job opportunities for more than a million people. From social point of view, the industry plays a very important role in maintaining and improving the optimal housing of population for development of carpet weaving in rural areas. From cultural point of view, carpet industry represents a part of Islamic Iran authentic identity as the art and culture of a nation is an evitable category. The handwoven carpets can be a good messenger for Iran noble history in other nations and countries. Nowadays, Iranian hand-woven carpet has international fame and this owns the nameless and artisan carpet weavers who portrays a painting with any warp and woof.

Industrial clusters”is a broad concept and many discussions have been addressed regarding their role and effectiveness on regional and urban development. The term ‘Business clusters’ is used to refer to linked concentration of medium and small industries with common historical backgrounds within a certain geographical space where they collaborate and compete eachother through improving learning capabilities in order to optimize the utilization of resources and achieve various advantages.In this study by focus on Zanjan province of Iran, firstly potential and available business clusters are identified and rated based on strategic indices and importance of development. This may be used to allocate development resources to other regions of the country as a general pattern.

TFK - Transport Research Group in Borlänge AB has been commissioned to make a historical
reconstruction and a situation analysis of network/cluster ITSdalarna and come up with
proposals for how the cluster can be further developed. The target group for this report is the
members of ITSdalarna. The material can also be used as a basis for general discussions on
clusters and cluster policies.
The historical reconstruction was based on an analysis of network/cluster’s documentation
(such as newsletters, annual reports, minutes of board meetings, etc.). The basis for the
situation analysis were theories about the concepts ITS and clusters as well as the previous
evaluations of ITSdalarna. Even interviews with three people were carried out with aim to
complement the historical reconstruction and to find any other cluster development hindrances.
The historical reconstruction is a chronological description of ITSdalarna’s development and
covers the period from 26 January 2004 (when the ITSdalarna had been constituted) and 26
January 2011 (when the application for continued regional support was submitted). The focus
of the description was objectives, members, activities and financial results.
The study has shown that there is great potential for growth in the ITS field and there are
countries which have significantly streamlined its transport sector through investments in the
area. The ITS field is also linked to a number of general problems such as legal barriers,
credibility problems and problems with the allocation of investment capital. Clusters can be a
successful tool for the implementation of regional growth initiatives. However, development
of clusters is a time consuming process and there are a number of success factors that must be
fulfilled in order to get a cluster to function properly. Previous evaluations and conversations
with three people showed that there are two problems: the small manufacturing companies are
members of the cluster and that some cluster activities and cluster policies were not
sufficiently anchored in the member companies.
The study has shown that ITSdalarna is situated between two phases, between ‘an emerging
cluster’ and ‘a cluster in development'. To enter the third phase (‘cluster in development’), it
is important to solve two cluster development challenges: ‘very few producing member
companies’ and ‘unclear responsibilities’.
By solving the problem of unclear division of responsibilities, a number of effects can be
achieved, for example:
• Anchored mission, vision and action plan among members.
• Transparency in the cluster (decisions, actions and economics).
• Committed and satisfied members.
• ITSdalarna can get help in solving problems dealing with the allocation of capital for
investment in the ITS field and marketing of the cluster.
By resolving issues with responsibilities ITSdalarna together with the Region Dalarna can
solve the problem of very few producing member companies. Through closer cooperation
between ITSdalarna and Region Dalarna the whole region (Dalarna) can get potential to be a
strong ITS region.

Industrial clusters is a broad concept and many discussions have been addressed regarding their role and effectiveness on regional and urban development. The term ‘Business clusters’ is used to refer to linked concentration of medium and small industries with common historical backgrounds within a certain geographical space where they collaborate and compete each other through improving learning capabilities in order to optimize the utilization of resources and achieve various advantages.In this study by focus on Zanjan province of Iran, firstly potential and available business clusters are identified and rated based on strategic indices and importance of development. This may be used to allocate development resources to other regions of the country as a general pattern.

Ports are sophisticated infrastructures that have contributed to disrupting the original state of places according to a mechanism that leads from alterations to project. Port cities generate in their environments a liminal condition which usually characterizes the urban-port area that, located along and across the common administrative border, can be recognized as an urban-port threshold. This threshold generates a liminal space which is configured as a third state with respect to the city or the port properly understood. It is a system of linear convergence/divergence that marks the beginning and the end of the capabilities of the Port Authority. This threshold does not have a standard configuration but is shaped into different geometries and constituted by a constellation of artefacts and architectures belonging to both sides and in different state of abandonment/disposal/disuse. The geometries of the urban-port thresholds generate different governance patterns which, in the curre...

Ports are sophisticated infrastructures that have contributed to disrupting the original state of places according to a mechanism that leads from alterations to project.
Port cities generate in their environments a liminal condition which usually characterizes the urban-port area that, located along and across the common administrative border, can be recognized as an urban-port threshold. This threshold generates a liminal space which is configured as a third state with respect to the city or the port properly understood. It is a system of linear convergence/divergence that marks the beginning and the end of the capabilities of the Port Authority. This threshold does not have a standard configuration but is shaped into different geometries and constituted by a constellation of artefacts and architectures belonging to both sides and in different state of abandonment/disposal/disuse.
The geometries of the urban-port thresholds generate different governance patterns which, in the current framework, are particularly influenced by evolving global phenomena. Among these, the port clustering (effective in many Europeans cases but introduced in Italy only in 2016) produces a complex polycentric conurbation, a City of the Cluster. Composed by several ports and cities, this new urban-port reality emerges to be responsible for new relational opportunities in the decades to come.

In today’s world, networks are more important for surviving and being innovative to success.
However, there are only few literatures concerned about the application of network dynamics, how networks and their structure change over time and space and how they are related to cluster evolution (Iammarino and McCann, 2006; Ter Wal and Boschma, 2009).
This study analyses the impact of cluster-based technology policy program on regional
innovation networks in the German biotechnology industry by applying network analysis. We
use SNA as a methodological tool for cluster policy evaluation since cluster policy considers the interaction of actors, network analysis in this way is an appropriate tool at least for exploratory analysis of cluster evolution (Schmiedeberg, 2010). The empirical evidence from the German biotechnology industry indicated the strong impact of the BioRegio cluster-based policy on the performance of regional innovator network structures of three winner regions during the funding period. Nodes in the winner regions tend to have a positive impact after the funding period for instance, in terms of Eigenvector in main component centrality and Clustering coefficient. Overall network measures show a high likelihood of collaboration among different inventors.

The paper deals to the idea that Balkan EU economies have to improve their position in the context of the new challenges for the EU. The analysis is focused on five representative indicators: GDP growth rate, gross fixed capital formation, unemployment rate, inflation rate and governmental gross debt and covers 2012-2018. The analysis is realized on three steps: a comparative analysis between the five indicators, a regression analysis in order to quantify the present and future regional disparities and a cluster analysis able to give a scientific approach to the regional development. One of the paper's main conclusions is that the Balkan EU economies have to be analyzed using two cluster structures. In order to check this, the analysis uses clusters approach in 2016 and 2018. The second conclusion is that Romania presents the better economic performance during 2016-2018 and can become a regional economic leader. The analysis in the paper is based on the latest official statistic data, on pertinent tables and diagrams. The modeling procedures in the paper were supported by dedicated software IBM-SPSS.