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Prospects for Cooperative Marketing among Surgical Instrument Producers in Pakistan


  • Theresa Thompson Chaudhry

    () (Lahore School of Economics, Pakistan.)


Given that clustered firms in developing countries generally sell their goods through multinational firms, we seek to determine under what conditions might clustered surgical instrument firms band together and form a cooperative to “break out” of their relationship with multinational buyers to market their own goods. Our results, based on a survey of surgical instrument producers in Sialkot, Pakistan, demonstrate that firms are more likely to be interested in such initiatives once they have already had some direct experience in marketing, such as selling products under their own brand name and having already sold some goods directly to hospitals. Firms that have had relationships of longer duration with customers tend to be less likely to be interested in joint action initiatives. This indicates that a higher opportunity cost of engaging in joint action (as proxied by relationships of longer duration) reduces the likelihood of cooperative marketing initiatives in clusters.

Suggested Citation

  • Theresa Thompson Chaudhry, 2011. "Prospects for Cooperative Marketing among Surgical Instrument Producers in Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 16(1), pages 1-22, Jan-Jun.
  • Handle: RePEc:lje:journl:v:16:y:2011:i:1:p:1-22

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    References listed on IDEAS

    1. Theresa Thompson Chaudhry, 2011. "Contracting and Efficiency in the Surgical Goods Cluster of Sialkot, Pakistan," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 12(1), pages 91-115, March.
    2. Tewari, Meenu, 1999. "Successful Adjustment in Indian Industry: the Case of Ludhiana's Woolen Knitwear Cluster," World Development, Elsevier, vol. 27(9), pages 1651-1671, September.
    3. Knorringa, Peter, 1999. "Agra: An Old Cluster Facing the New Competition," World Development, Elsevier, vol. 27(9), pages 1587-1604, September.
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    More about this item


    Surgical instruments; goods; cooperative; market; Pakistan.;

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing
    • J54 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Producer Cooperatives; Labor Managed Firms


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