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The impact of clusterization on the development of small and medium‐sized enterprise (SME) sector

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  • Valentinas Navickas
  • Asta Malakauskaite

Abstract

The impact of clusterization on the development of SME sector has been analysed in this study. The cooperation of companies at national level and on a global scale is becoming more and more important as a tool of economic development. Companies tend to work together in order to share their competencies, reduce various costs, consolidate limited resources, and hereby increase their productivity, innovativeness, and profitability. It must be emphasized that the role of clusterization is crucial in the development of SME sector, as small and medium‐sized enterprises may benefit from economies of scale and extend the operation limits (size‐related limitations of operation are characteristic of most small businesses). Clusters (and similar forms of interorganizational structures) create the environment for innovation and technological advancement. Therefore, small and medium‐sized enterprises may gain additional benefits that include know‐how, cost‐saving options, innovative solutions, etc. The authors of this scientific study have concluded that the competitiveness of SME sector is closely related to the spread and extent of clusterization processes.

Suggested Citation

  • Valentinas Navickas & Asta Malakauskaite, 2009. "The impact of clusterization on the development of small and medium‐sized enterprise (SME) sector," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 10(3), pages 255-259, May.
    • Handle: RePEc:taf:jbemgt:v:10:y:2009:i:3:p:255-259
    DOI: 10.3846/1611-1699.2009.10.255-259
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    References listed on IDEAS

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    1. Mario Davide Parrilli, 2007. "SME Cluster Development," Palgrave Macmillan Books, Palgrave Macmillan, number 978-0-230-80150-9, December.
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    Cited by:

    1. Theresia Gunawan & Jojo Jacob & Geert Duysters, 2016. "Network ties and entrepreneurial orientation: Innovative performance of SMEs in a developing country," International Entrepreneurship and Management Journal, Springer, vol. 12(2), pages 575-599, June.
    2. Sroka Włodzimierz, 2011. "Problem of Trust in Alliance Networks," Organizacija, Sciendo, vol. 44(4), pages 101-108, July.
    3. Patrycja Klimas & Ali Ashraf Ahmadian & Morteza Soltani & Meisam Shahbazi & Ali Hamidizadeh, 2023. "Coopetition, Where Do You Come From? Identification, Categorization, and Configuration of Theoretical Roots of Coopetition," SAGE Open, , vol. 13(1), pages 21582440221, January.
    4. Korchagina, I. V., 2017. "Innovative potential in the small and medium-sized enterprises regional clusters in Russia," R-Economy, Ural Federal University, Graduate School of Economics and Management, vol. 3(3), pages 139-148.

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