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Cluster Life Cycles, Path Dependency and Regional Economic Development: Insights from a Meta-Study on Basque Clusters

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  • Aitziber Elola
  • Jesus M. Valdaliso
  • Santiago M. López
  • Mari Jose Aranguren

Abstract

In this study, we aim at evaluating the role of path-dependent and past-dependent forces in the historical trajectory of clusters. For that purpose, we study the life cycles of four of the main industrial clusters in the Basque Country (paper-making, electronics and information and communication technology, maritime industries and aeronautics) and analyse the factors that account for the origin, development, maturity and, if so, decline of those clusters, considering factors related to both cluster dynamics and the regional environment. Our analysis shows that the existence of a life cycle does not imply a straightforward growth path. Clusters follow multiple growth patterns in their development. The heterogeneity of growth patterns may be, in some cases, due to different initial conditions. However, despite similar initial conditions and/or resource endowments and opportunities for development, we can observe heterogeneous evolutionary patterns. Clusters react differently to the same external shocks (e.g. international demand, global competition and technological change) and evolve differently according to their capabilities.

Suggested Citation

  • Aitziber Elola & Jesus M. Valdaliso & Santiago M. López & Mari Jose Aranguren, 2010. "Cluster Life Cycles, Path Dependency and Regional Economic Development: Insights from a Meta-Study on Basque Clusters," European Planning Studies, Taylor & Francis Journals, vol. 20(2), pages 257-279, November.
    • Handle: RePEc:taf:eurpls:v:20:y:2010:i:2:p:257-279
    DOI: 10.1080/09654313.2012.650902
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    References listed on IDEAS

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    1. Swann, G. M. Peter & Prevezer, Martha & Stout, David (ed.), 1998. "The Dynamics of Industrial Clustering: International Comparisons in Computing and Biotechnology," OUP Catalogue, Oxford University Press, number 9780198289593.
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