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Size and Performance of Local Clusters of Firms

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Author Info
Nicolini, Rosella

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Abstract

The aim of this paper is to propose an econometric application in order to detect the factors that affect the size and the performance of local clusters of small and medium firms (SMEs) such as industrial districts. Our purpose is to extend some basic issues of models in economic geography in order to account for further micro components that seem fostering the rise and performances of local clusters. We succeed in stating that, in addition to the home market effect and transport costs, firms belonging to industrial districts improve their competitiveness by exploiting some assets, such those involved by ad-hoc services, generated inside the district by the co-operation among firms. Moreover looking for fixed effects in the study of firms' competitiveness allows us to determine that sectorial differences do not affect substantially the behavior and performance of SMEs. Copyright 2001 by Kluwer Academic Publishers

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Publisher Info
Article provided by Springer in its journal Small Business Economics.

Volume (Year): 17 (2001)
Issue (Month): 3 (November)
Pages: 185-95
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Handle: RePEc:kap:sbusec:v:17:y:2001:i:3:p:185-95

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  1. Pitelis, Christos & Pseiridis, Anastasia, 2007. "A Conceptual Framework for Firm Cooperation and Clusters and Their Impact on Productivity and Competitiveness," Papers DYNREG13, Economic and Social Research Institute (ESRI). [Downloadable!]
  2. Wennberg, Karl & Lindqvist, Göran, 2007. "How do entrepreneurs in clusters contribute to economic growth?," Working Paper Series in Business Administration 2008:3, Stockholm School of Economics. [Downloadable!]
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