What Is Clusters? Why Policy Makers Are so Keen to Promote Them?

In: Business and Management

Submitted By uzarins
Words 2045
Pages 9
What are clusters?
Why are policy makers so keen to promote them?

Innovation recently has become very hot topic to general public or at least it is a bit trendy to talk about it between politicians. You can’t blame where it is very arguable that we innovate more now than ever before, we definitely talk about it more. Therefore also innovation clusters have been one of the hot topics within academics, politicians and just people who are just a bit interested into innovation. But what is innovation clusters have been defining generally and what are grounds of successes, what is innovation cluster impact on innovation and economic growth is argued a lot in academic literature. “The notion of a cluster was first put forward by Alfred Marshall (1890). He used the term “industrial district to describe agglomerations of small specialised firms found in particular localities. He cited as examples the cotton industry in Lancashire and the cutlery trade in Sheffield. He explained the success of these industrial agglomerations in terms of external economies of scale, where the close proximity of large numbers of small firms generated a market for increasingly specialised services. According to Marshall (1890), agglomeration economies around three sources of collective efficiency, namely: a local pool of specialised labour, firms specialising in the intermediate stages of production and knowledge spill-overs. “(David Smith, 2010, Exploring Innovation, P 267-268). However Marshal is talking called what we know now clusters as industrial districts where “the biggest factor behind the return of industrial districts to the fore front of policy agenda and particular interest in and promotion of clusters has come from quite another source, namely the work of two economist, Michael Porter (1990) and Paul Krugman (1991). They did much to re-ignite interest in industrial…...

Similar Documents

Why the Current Fmla Policy Is Not Enough

...Why the Current FMLA Policy is not Enough? Annette Fininen Prof. Davenport ENG 215 May 26, 2013 Why the Current FMLA policy is not Enough? The dynamics of the American family have changed. No longer is a working father, stay at home mother, and kids considered the norm. Even the definition of “family” has changed dramatically. Changes in the American “norm” raise an important question, “Should the Family and Medical Leave Act be changed?” to meet our communities evolving needs. In the United States, the current Family and Medical Leave Act (FMLA) only provides up to twelve weeks of unpaid leave, but compared to other counties with similar policies the act does not have enough coverage to protect the average worker and should be changed. A woman walks into her human resources office crying, asking to speak to someone. She is currently on FMLA leave to care for her sick child who has been diagnosed with leukemia. She is a single parent with two other children at home to care for as well. Even with insurance coverage, the bills are mounting because FMLA is unpaid and she has exhausted all of her personal time off (PTO). With her steady income cut-off, she is concerned how she will pay her bills. She has no close family to turn to for support and does not qualify for government assistance. Her story is just one example. According to the United State Census, in 2010 single parent households comprised about 9.6 percent of the......

Words: 4180 - Pages: 17

Why Its so Hard to Be Fair

...The article titled “Why It’s so hard to be fair” is written by Joel Brockner,a professor at Columbia Business School, the article was published in the Harvard Business Review March 1, 2006. “Why Its so hard to be fair” evaluated the benefits of process fairness despite its uncommon use, it also explained how companies apply it as a performance booster. Professor Brockner aim is to encourage companies to make process fairness the norm. The article begins by demonstrating the effectiveness of process fairness by reducing cost and increasing employees' performance by stating an example of two downsizing companies. It explains how although “Company A” spent significant amounts of money providing a severance package for its laid off employees, but failed to explain the strategic purpose of why employees were being laid off. While “company B” senior managers did not offer any severance package but explained the strategic purpose of the layoffs multiple times before its implementation and “company B” employee’s performance were better than it had been before the layoffs occurred. The improvements in company B performance stem from the fact that the employees felt respected and involved in decision making. Employees decide if a decision has been made fairly or not. Professor Brockner explains that process fairness, must have three drivers; how much input employees believe they have in the decision making process; how employees believe decisions are made and implemented and how......

Words: 673 - Pages: 3

Why Is Facebook so Popular

...Why is Facebook so Popular? Facebook is a social media giant with the largest user population in the world. It reports to having 1.19 billion monthly active users as of, December 31, 2013. It is also considered the most popular social media site in the entire world, even in China where it is supposed to be officially blocked from use. It is the fastest growing social media networking business, with 5 new profiles being created every second. Almost everyone I know has a Facebook page. The simplicity in navigating the site to create a personal page, and easy step by step instructions to uploading information, attracts consumers of all ages. Users can share photos, play games, search for friends or old acquaintances, promote a business or cause, and communicate with people almost anywhere in the world. Amazingly, it’s all free. There are many reasons for individual people to enjoy the use of social media networks. Facebook’s popularity can be attributed to its unique capabilities to facilitate connections through the internet: by fulfilling a human need for us to connect with likeminded people, building genuine relationships, and making us feel good. One of the best things about Facebook is that people have the opportunity to express themselves, be genuine, and reveal information about themselves others may not be aware of. People share information online that they normally would not discuss with someone in person. Some people show more courage in putting themselves “out......

Words: 1033 - Pages: 5

Rating Agencies and Their Excessive Power: Why Are They so Powerful?

...Rating agencies and their excessive power: Why are they so powerful? By Nadezhda Peneva American University in Bulgaria, EMBA, Cohort 13 NIP147@aubg.bg March 21, 2014 Abstract The paper is set out to find out the influence of credit rating agencies on the business and the national policies as well as to elaborate on how powerful are they for the society and why. Over 100 years rating agencies demonstrate excessive power, but is this just an assumption or it could be a strong conclusion? In the paper the role and power of the rating agencies like Standard and Poor’s, Moody’s and Fitch would be defined and assessed. 1. Introduction Credit Rating Agencies (CRAs) could be generally defined as „providers of opinions about the creditworthiness of companies and countries which have become very important players in financial markets due to growth in Capital Markets, Credit Derivative Markets, Globalisation of Capital Markets; and an increase in Regulatory Use of Ratings” (Ryan, 2012). Here comes the question: Why actually they have become very important players globally? CRAs are companies who assign credit ratings for the debt of public and private companies who are issuers of certain types of debt obligations and also CRAs assign credit ratings for debt instruments themselves. Usually the issuers of securities are companies, governments, NGOs and entities with special purposes or national......

Words: 4707 - Pages: 19

Why Is the Initial Consultation so Important? What Factors Will an Ethical Therapist Cover at This Time?

...Why is the initial consultation so important? What factors will an ethical therapist cover at this time? There are a multitude of factors that a therapist must consider during the initial consultation. I will describe the procedures of the consultation, the ethical considerations facing the therapist and the particular challenges of the actual consultation itself. As outlined in my previous essay, the initial consultation is perhaps the most important part of the hypnotherapy process. People are different in many ways. They have different likes and dislikes, cultural backgrounds and upbringings. These factors have provided us with different outlooks, values and perspectives. Therefore there is no “one size fits all” when it comes to hypnotherapy. Personality types, suggestibility and the reason the client has come to you all have an effect on the way they will respond to hypnotherapy, and this all must be taken into account when planning a session. Every person is different and will respond to very different styles of hypnotherapy. We all see the same things, but interpret it differently, and we respond to stimuli in a unique way. What works for one client may have no effect on another, therefore hypnotic inductions must be personalised to suit everyone's needs. It is during the consultation that the therapist gathers all the information needed to write a successful screed which is personalised to the client. At this time, the therapist will assess a client’s......

Words: 2069 - Pages: 9

Why Is the Internet so Addicting

...Why is the Internet so addicting? Two reasons: information and freedom. People go online to get information (music, news, stock prices, etc). Logging onto the Internet is like a kid going to a toy store; there is so much to do and explore that once you get in, you never want to leave. People also go online because the Internet offers freedom to do whatever they want, to say whatever they want and to be whoever they want. This could have a negative effect since people will act in certain ways and say certain things that they otherwise wouldn't do in real life. Furthermore, because the Internet offers so much freedom, you can find your ideal self much easier, but it's not the same as your social self. The difference is due to you talking to a computer screen and you talking to a real person. Thus, the experiences we encounter on the Internet are not the same as the ones we encounter in real life. Even though our overt use of the Internet can cause a conflict between your virtual self and your social self, many still excessively rely on the Internet for their activities. As a result of information and freedom, the Internet has become an unbreakable addiction for individuals and society. Computers are as common as televisions in households; in addition, laptops and Internet-ready cell phones enable the Internet to travel with us. "By 2000 it was estimated that the number of adults using the Internet exceeded 100 million in the United States alone" (The Columbia Encyclopedia,......

Words: 2433 - Pages: 10

What Is a Real Estate Professional and Why It Means so Much Today

...What Is a Real Estate Professional and Why It Means So Much Today By Kevin Leifer, CPA, JD, LL.M. (Tax), MBA Director – Tax and Real Estate Gettry Marcus CPA, P.C. Background The real estate industry was dealt a severe body blow in 1986 when Congress enacted the passive activity rules which provided that losses from a passive activity could only be deducted to the extent of the taxpayer’s net income from other passive activities. Excess passive losses are not deductible until such time as the taxpayer generates net passive income or disposes of the interest in the loss activity. While these rules were originally intended to limit losses related to activities in which the investor was merely a passive investor (such as abusive tax shelters), real estate was hit particularly hard for two reasons: (i) rental real estate activities (RREAs) traditionally generate tax losses even from rental properties that generate positive cash flow predominantly because depreciation (a non-cash deduction) is usually a material deduction in calculating the property’s taxable income or loss; and (ii) RREAs were deemed to be per se passive activities. As a result, the real estate industry was up in arms and rightfully so. After all, many real estate entrepreneurs and others were actively engaged in RREAs on a full-time basis. How could Congress treat them like passive investors? As a result, the real estate professional rules were enacted in 1993. What is a Real Estate Professional......

Words: 762 - Pages: 4

What a Policy Maker Would Use to Adress the Problem of Poor Sanitation in Lungen Village of Chief Mpezeni's Area

...capacity for sanitation promotion in the country, weak policies and strategies for sanitation promotion, low support for sanitation in donor supported programs, social resistance to the use of the latrines, and lack of multi-sectoral partnerships for sanitation promotion. This paper endeavours to outline and discuss the sequential platform of activities in the policy process which the policy maker would use to address the problem of poor sanitation in Luangeni Village of Chief Mpezeni’s area. The essay also attempts to establish the seriousness of the problem of poor sanitation in the village by presenting statistical evidence. In order to fully comprehend and come up with solutions concerning the topic under discussion it is imperative that we understand some key concepts to be used in this essay, these include policy, policy makers and sanitation. Development policy making lies within the domain of the state. The word policy however has no single defination in literature, this is so because there are different points of view and diverging opinions and definitions from various scholars. Goffrey Vickers (1965) defines policy as decisions that give guidance, coherence and continuity to policy actions for which the decision making body is responsible. Rothblatt (1974:370) defines policy as goal statements specifically adressing the known problems and opportunies associated with a policy area. Nonetheless all these definitions of policy tend to have three common elements; they......

Words: 2615 - Pages: 11

Why Is Africa so Poor?

...Econ 101 January 1/22/15 HW: Why is Africa so Poor? Question 1.) Zambia’s government had good intentions, however, they placed all of their focus onto one particular resource; copper. The money made from the copper went back into the production of the mineral. The copper mines were the center of Zambia’s efforts, but that was their downfall. They assumed that the copper mines would provide an abundance of income; but when the system became corrupt ,copper pricing plunging and the lack of any foreign income or aid Zambia became poorer than when they were independent. Where as Botswana was a little more wiser. Botswana also had a mineral wealth, diamonds. But instead of putting all of the money back into production of the mineral the income was distributed to things such as infrastructure, education and health. Botswana also allowed for private businesses to grow and foreign investments were welcomed. This story can teach us two things. The first is don't place all of your income and production efforts into one resource; its always good to have a backup plan incase things go astray. The second is to accept business and investments. If we limit our market to X amount of people in a specific area, we are only hurting our income possibilities. When we allow for others to invest in a product and something goes wrong, there's still some money available to try and place things back on track. Foreign investment and business outside of a market area will only aid in the overall......

Words: 511 - Pages: 3

Why Is the Scholarly Style so Different

...Why Is the Scholarly Style So Different? Raluca S. Buciuc Glion Institute of Higher Education September 14, 2014 Why Is the Scholarly Style So Different? This work paper has the main purpose to analyze an academic article on a management topic and identify the way the author represents its ideas in a scholarly style. The chosen article is “Understanding and Managing the Generational Differences in the Workplace” written by Kapoor C. and Solomon N and published in Worldwide Hospitality and Tourism Themes journal in 2011. In order to complete the analysis, the work paper resume the article and its findings, identify its value and main purpose and analyses its writing manner from the point of view of the scholarly style requirements, in comparison with other writing styles. Summary and Findings In “Understanding and Managing the Generational Differences in the Workplace” article Kapoor and Solomon (2011) treat one of the most sensitive issues of today managers: how to understand, treat and motivate their employees in order to maximize their productivity. In doing so, the authors of the paper advise the managers to pay attention to the individuality of their employees starting from the generational differences. They identify four different generations in most of the demographic structures of the companies today: Traditionalists, Baby Boomers, Generation X and Generation Y. Simon (as cited by Kapoor & Simon, 2011) states that “every generation is influenced by the......

Words: 2641 - Pages: 11

Why It Is so Hard to Be Fiar

...being fair costs little and pays off handsomely. Then why do so few executives manage to behave fairly, even though most want to? Why It’s So Hard to Be Fair by Joel Brockner • Reprint R0603H This document is authorized for use only in Managerial Communication by Caroline Wang, HONG KONG UNIVERSITY OF SCI AND TECH from August 2015 to January 2016. For exclusive use at HONG KONG UNIVERSITY OF SCI AND TECH, 2015 Everyone knows that being fair costs little and pays off handsomely. Then why do so few executives manage to behave fairly, even though most want to? BEST PRACTICE Why It’s So Hard to Be Fair by Joel Brockner COPYRIGHT © 2006 HARVARD BUSINESS SCHOOL PUBLISHING CORPORATION. ALL RIGHTS RESERVED. When Company A had to downsize, it spent considerable amounts of money providing a safety net for its laid-off workers. The severance package consisted of many weeks of pay, extensive outplacement counseling, and the continuation of health insurance for up to one year. But senior managers never explained to their staff why these layoffs were necessary or how they chose which jobs to eliminate. What’s more, the midlevel line managers who delivered the news to terminated employees did so awkwardly, mumbling a few perfunctory words about “not wanting to do this” and then handing them off to the human resources department. Even the people who kept their jobs were less than thrilled about the way things were handled. Many of them heard the news while driving home on Friday......

Words: 5980 - Pages: 24

Why Are Americans so Obese?

...Why have Americans become so obese? Obesity is a struggle among every country in the world. Obesity is when a person is 20 percent above what is supposed to be their normal weight. Obesity is so difficult to get rid of in countries that it is classified as a disease. The country that is greatest known for their obesity rates is the United States of America. Even though America is not the most obese country in the world, America is known for their fast food restaurants severely overweight people. Despite America being one of the most obese countries, no one ever asks the real question. Why have Americans become so obese? The most obviously popular reason why Americans are obese is because of food. The first type of food to relate to obesity is fast food. McDonald’s, Burger King, Taco Bell and many other fast food restaurants load their food with sugar, cholesterol and other unhealthy substances that make people crave it. McDonald’s burgers are severely unhealthier than a homemade burger. A McDonald’s burger has 440 calories, 23 grams of fat, 80 milligrams of cholesterol, 1150 milligrams of sodium and 34 carbohydrates. (McDonald's). A homemade burger has about 270 calories, 9 grams of fat, 142 milligrams of cholesterol, 123 milligrams of sodium and about 9 carbohydrates (Health). McDonald's makes their foods unnecessarily unhealthy. Another problem with Americans food problems is that their portions are completely outrageous. The default portion sizes are Small, Medium and......

Words: 1303 - Pages: 6

What Is Tax Haven? Why Are All Tycoons so Crush on Them?

...What is tax haven? Why are all tycoons so crush on them? In January 9, 2015, Cheung Kong Holdings Limited announced the restructuring arrangement of combining Cheung Kong Holdings and Hutchison Whampoa to form a new listed company: “CK Hutchison Holdings Limited”. This newly established company is incorporated at Cayman Islands (SCMP, 2015) which has been commonly known as “tax haven”. As the name implies, tax haven is a place where levy taxes at a very low rate or even not at all to companies registered there. It has been an interesting phenomenon that most of the largest corporations in the world, they are not registered at the place where they operate their major business or make most of the profits. Indeed, how is this mechanism works? How could the multi-national corporations in the world transfer their profits made all over the world to these tax havens to avoid tax? Advantages of tax havens If we look at the figures provided by HKEX in 2013, 724 out of 1602 companies listed in Hong Kong Stock Exchange market are incorporated in Cayman Islands (881903, 2015). This has indicated that it has already been a common practice for listed companies to be registered in these offshore financial centre. Take Cayman Islands as an example, being one of the most popular tax havens in the world, not only it has a no profit tax levied, but also it comes with much looser company law and other financial regulations. For the investors who want to register a company in Cayman......

Words: 1318 - Pages: 6

The It Policy - Why Do We Need One and What Should It Contain ?

...The IT Policy - Why do we need one and what should it contain ? Many, many years ago, in fact December 25th 1981, I got my first computer, a joint Christmas present with my Brother. My first computer was a Sinclair ZX81 with 1k ram, we later purchased a 16k expansion pack and a sound-card and spent many long hours programming it, reading the 'full' manual (RTFM;) and if things went wrong or the program we had just spent all day working on crashed we had no IT help line to ring, we just had to sort it out ourselves. My Brother and I have been 'into computers' ever since, but why mention this ? Back then we thought the future held many innovations and a shiney new world where computers are as common as the TV, with functionality to match, you go to a shop, buy a Computer, take it home and plug it in and it just works, like a TV. Sounds great doesn't it. Unfortunately the reality is far from this, there are many inherent problems with computers and many nasty things that want to make your computer life hell. Managing a home computer is hard enough, trying to navigate through a myriad of options all programs have now from writing a letter where the program spell-checks it as you type, offers suggestions and allows to to mail-merge with your database to print the letter or email mail it to far flung corners of the globe, or, which browser / email client / picture editing program / letter writing program etc. to use. On top of all this you have to make sure you......

Words: 1105 - Pages: 5

Why Is College so Expensive?

...Why is college so expensive? Presentation Rationale Purpose: The purpose of this speech is to inform my audience of why college is so expensive and the information I discovered of how college tuition has gotten out of control over the last decade. Intended Audience: My audience for this speech are students and parents who want to know what is causing tuition to rise and want to know what they can do about it. Significance: This topic is very significant to my audience because the cost of higher education is increasing every year and for many becoming unattainable due to the cost. This is relevant because if the government and the Department of Higher Education can find ways to lower the cost. Then people can further their education which can help other areas such as unemployment. Presentation Plan 1. Introduction a. Attention-getting opening: Imagine back in 1984, the year I was born; the cost to go a 4 year college was only roughly $2,567 a year according to the National Center for Education Statistics (2007). Now jump to present day the average to go to a 4 year college is approximately $112,000 in 4 years (Forbes, 2015). That is over a 109% increase. Where is the money going? To put this in perspective during the same time period medical care increased by 117%, a new home 90% and the median for families incomes only increased by an average of 70%. b. Thesis Statement: Research shows that higher education is one of the most costly investments that Americans...

Words: 1065 - Pages: 5

Uriel Reymund | Thunderbolt Fantasy: Seishi Ikken (2017) | Argentina