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Essay / Research Paper Abstract
This 5 page paper answers five different questions regarding business, these are what economic and institutional factors determine the emergence of industrial clusters, what economic and institutional factors determine the emergence of industrial districts, what economic and institutional factors determine the character and the role of business networks, how agglomeration economies influence the behaviour of firms, and the importance of the economic milieu for the behaviour of firms. The bibliography cites 4 sources.
Page Count:
5 pages (~225 words per page)
File: TS14_TEclustr.rtf
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Unformatted sample text from the term paper:
may include science parks, industrial districts and even industrial networks (Martineau et al, 1999). In examining the emergence of clusters there have been noted some specific influential factors. These
are a combination of geographical location, availability of resources as well as various pull and push factors. One of the key influences has been the location of universities. These
are dual influences, as universities are the source of suitably qualified employees, but they are also a source of innovation and scientific or tech logical development (Martineau et al, 1999).
The location of other large companies may also be seen as influential. Small companies may be attracted to areas where there are already industries in the same sector due
to the way this creates an existing labour pool that have the correct skills and knowledge (Thompson, 1998). Clusters may also be encouraged by government in a specific area
due to tools such as enterprise areas where there are infrastructure developments as well as potential financial incentives. The skills availability may be seen as one of the most
important factors (Martineau et al, 1999). In much of the literature there are six influential factors cited, this is the most important of these factors, the others are "university-private sector-government,
inter-industry, high level of associative activities, availability of financial resources and risk capital, and geographical proximity of actors" (Martineau et al, 1999). These different factors may be seen as important
in differing levels in various industry grouping models. These are all pull factors, for example banks in an area that are used to dealing with high tech companies may be
better placed to understand the specific risk and factors relevant to that industry. The cluster will also fail to develop if there is not the right infrastructure. This may mean
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