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Owner-managers, clusters and local embeddedness: small firms in the Sheffield (UK) metal-working cluster

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  • H. Doug Watts
  • Andrew M. Wood
  • Perry Wardle

Abstract

The primary objective of this paper is to explore the ways in which the characteristics of owner-managers influence the extent to which their firms are embedded within local clusters of economic activity. Data are drawn from an interview survey of a random sample of small metal-working firms in Sheffield, UK. The data are analysed using non-parametric statistical methods to test bivariate relationships. Owner-manager attributes are found to have no influence on the extent of the use of local material supply networks but they do influence the extent of dependence on local markets. Owner-managers born and bred in the local region with limited formal education, working as an operative (rather than executive) prior to start up and with many years experience are more likely to rely on local markets. Owner-manager characteristics are also linked to participation in business networks. Those with most experience and those previously working for large firms are more likely to participate. It is concluded that owner-manager attributes can be important in explaining the level of embeddedness of small firms in a cluster of economic activity and that such attributes need to be built into theories of cluster behaviour.

Suggested Citation

  • H. Doug Watts & Andrew M. Wood & Perry Wardle, 2006. "Owner-managers, clusters and local embeddedness: small firms in the Sheffield (UK) metal-working cluster," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 18(3), pages 185-205, May.
    • Handle: RePEc:taf:entreg:v:18:y:2006:i:3:p:185-205
    DOI: 10.1080/08985620600680141
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    References listed on IDEAS

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    1. Tweedale, Geoffrey, 1995. "Steel City: Entrepreneurship, Strategy, and Technology in Sheffield 1743-1993," OUP Catalogue, Oxford University Press, number 9780198288664.
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    Cited by:

    1. Fabien Eymas & Faouzi Bensebaa, 2021. "Competitive strategies of small independent retailers," Post-Print hal-03960130, HAL.
    2. Robert Huggins & Andrew Johnston, 2009. "Knowledge Networks in an Uncompetitive Region: SME Innovation and Growth," Growth and Change, Wiley Blackwell, vol. 40(2), pages 227-259, June.
    3. José A. Belso-Martínez, 2015. "Resources, Governance, and Knowledge Transfer in Spanish Footwear Clusters," International Regional Science Review, , vol. 38(2), pages 202-231, April.
    4. Elisa Giuliani, 2008. "What drives innovative output in emerging clusters? Evidence from the wine industry," SPRU Working Paper Series 169, SPRU - Science Policy Research Unit, University of Sussex Business School.
    5. Fabien Eymas & Faouzi Bensebaa, 2021. "Competitive strategies of small independent retailers," Post-Print hal-03179166, HAL.
    6. Fabien Eymas & Faouzi Bensebaa, 2021. "Competitive strategies of entrepreneurs in the traditional service sector [Comportement concurrentiel des entrepreneurs du secteur des services traditionnels]," Post-Print hal-03960025, HAL.
    7. Fabien Eymas & Faouzi Bensebaa, 2021. "Petits distributeurs indépendants : de l’évitement à l’indifférence concurrentielle ?," Post-Print hal-03960110, HAL.
    8. Massimo Baù & Francesco Chirico & Daniel Pittino & Mikaela Backman & Johan Klaesson, 2019. "Roots to Grow: Family Firms and Local Embeddedness in Rural and Urban Contexts," Entrepreneurship Theory and Practice, , vol. 43(2), pages 360-385, March.

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