Uncovering and Developing Industry Clusters

This paper observes that the existing definitions of clusters can be grouped under two categories: intra-industry clusters, and inter-industry clusters. Economic geographers and strategy researchers suggest “intra industry ” conceptualisations of clusters. Regional economists subscribe to the Porterian model of clusters that focuses on inter-industry linkages. While we agree that clusters should assess inter-industry linkages, we argue that the process of identifying clusters should begin at the intra-industry level. A conceptual framework based on ‘strategic groups ’ theory and value system analysis is developed as an explanation for industry clusters