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Structure and evolution of global cluster networks: evidence from the aerospace industry

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  • Ekaterina Turkina
  • Ari Van Assche
  • Raja Kali

Abstract

We use a new panel dataset to study the network of formal firm linkages within and across 52 aerospace clusters in North America and Europe. Our theoretical framework, built upon the knowledge-based cluster and global value chains literature, suggests that a reduction in spatial transaction costs has induced clusters to specialize in increasingly fine-grained value chain stages. This should cause the overall network to evolve from a geographically localized structure to a trans-local hierarchical structure that is stratified along value chain stages. Applying community structure detection techniques and organizing sub-networks by linkage type, we find empirical evidence in support of this proposition.

Suggested Citation

  • Ekaterina Turkina & Ari Van Assche & Raja Kali, 2016. "Structure and evolution of global cluster networks: evidence from the aerospace industry," Journal of Economic Geography, Oxford University Press, vol. 16(6), pages 1211-1234.
    • Handle: RePEc:oup:jecgeo:v:16:y:2016:i:6:p:1211-1234.
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    File URL: http://hdl.handle.net/10.1093/jeg/lbw020
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    More about this item

    Keywords

    Industrial clusters; networks; community structure; aerospace;
    All these keywords.

    JEL classification:

    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • F61 - International Economics - - Economic Impacts of Globalization - - - Microeconomic Impacts

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