IDEAS home Printed from https://ideas.repec.org/a/vrs/crebss/v3y2017i2p39-61n4.html
   My bibliography  Save this article

The impact of cluster networking on business performance of Croatian wood cluster members

Author

Listed:
  • Bakarić Ivana Rašić

    (The Institute of Economics, Zagreb, Zagreb, Croatia)

Abstract

This paper investigates the link between cluster membership and performance of clustered companies. The object of the study is the Croatian Wood Cluster (CWC). The paper presents the results of a survey of 34 members of the Croatian Wood Cluster operating in wood and furniture industries. The survey was conducted in order to identify and analyse perceptions and attitudes of CWC members towards CWC objectives, activities and performance; the cooperation strength among cluster members and that with the players outside the cluster; the effects of clustering on the operational performance of the clustered SMEs; business and economic setting in Croatia, barriers for the work of the CWC and the relevancy of government policy measures. The empirical results indicate that the economic performance of the clustered companies is significantly predicted by the cooperation with public institutions, financial institutions and professional associations (such as the Agency for Investments and Competitiveness) provided by the CWC and by the access to cluster resources such as horizontal cooperation, fairs, exhibitions etc. Additionally, an access to credit, customers and competitors shows a significant positive effect on finance-based performance of the clustered companies. On the other hand, cooperation among cluster members and cooperation with scientific, high education and research institutions show no significant relationship with the company performance.

Suggested Citation

  • Bakarić Ivana Rašić, 2017. "The impact of cluster networking on business performance of Croatian wood cluster members," Croatian Review of Economic, Business and Social Statistics, Sciendo, vol. 3(2), pages 39-61, December.
    • Handle: RePEc:vrs:crebss:v:3:y:2017:i:2:p:39-61:n:4
    DOI: 10.1515/crebss-2017-0008
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/crebss-2017-0008
    Download Restriction: no
    File URL: https://libkey.io/10.1515/crebss-2017-0008?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
    2. Lee Cronbach, 1951. "Coefficient alpha and the internal structure of tests," Psychometrika, Springer;The Psychometric Society, vol. 16(3), pages 297-334, September.
    3. Devereux, Michael P. & Griffith, Rachel & Simpson, Helen, 2007. "Firm location decisions, regional grants and agglomeration externalities," Journal of Public Economics, Elsevier, vol. 91(3-4), pages 413-435, April.
    4. Bengt-ake Lundvall & Bjorn Johnson, 1994. "The Learning Economy," Industry and Innovation, Taylor & Francis Journals, vol. 1(2), pages 23-42.
    5. Morosini, Piero, 2004. "Industrial Clusters, Knowledge Integration and Performance," World Development, Elsevier, vol. 32(2), pages 305-326, February.
    6. Altenburg, Tilman & Meyer-Stamer, JORG, 1999. "How to Promote Clusters: Policy Experiences from Latin America," World Development, Elsevier, vol. 27(9), pages 1693-1713, September.
    7. Paola Bertolini & Enrico Giovannetti, 2006. "Industrial districts and internationalization: the case of the agri-food industry in Modena, Italy," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 18(4), pages 279-304, July.
    8. Baptista, Rui & Swann, Peter, 1998. "Do firms in clusters innovate more?," Research Policy, Elsevier, vol. 27(5), pages 525-540, September.
    9. Giuliani, Elisa & Pietrobelli, Carlo & Rabellotti, Roberta, 2005. "Upgrading in Global Value Chains: Lessons from Latin American Clusters," World Development, Elsevier, vol. 33(4), pages 549-573, April.
    10. K. J. Arrow, 1971. "The Economic Implications of Learning by Doing," Palgrave Macmillan Books, in: F. H. Hahn (ed.), Readings in the Theory of Growth, chapter 11, pages 131-149, Palgrave Macmillan.
    11. Wagner, Alfred, 1891. "Marshall's Principles of Economics," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 5, pages 319-338.
    12. Andrea Morrison & Roberta Rabellotti & Lorenzo Zirulia, 2013. "When Do Global Pipelines Enhance the Diffusion of Knowledge in Clusters?," Economic Geography, Taylor & Francis Journals, vol. 89(1), pages 77-96, January.
    13. Glenn Ellison & Edward L. Glaeser & William R. Kerr, 2010. "What Causes Industry Agglomeration? Evidence from Coagglomeration Patterns," American Economic Review, American Economic Association, vol. 100(3), pages 1195-1213, June.
    14. François Perroux, 1950. "Economic Space: Theory and Applications," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 64(1), pages 89-104.
    15. Alessandro Muscio, 2006. "Patterns of Innovation in Industrial Districts: An Empirical Analysis," Industry and Innovation, Taylor & Francis Journals, vol. 13(3), pages 291-312.
    16. Crouch, Colin & Gales, Patrick Le & Trigilia, Carlo & Voelzkow, Helmut, 2001. "Local Production Systems in Europe: Rise or Demise?," OUP Catalogue, Oxford University Press, number 9780199242511.
    17. Chris Hendry & James Brown, 2006. "Dynamics of clustering and performance in the UK opto-electronics industry," Regional Studies, Taylor & Francis Journals, vol. 40(7), pages 707-725.
    18. Effie Kesidou & Chris Snijders, 2012. "External Knowledge and Innovation Performance in Clusters: Empirical Evidence from the Uruguay Software Cluster," Industry and Innovation, Taylor & Francis Journals, vol. 19(5), pages 437-457, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Vitaly L. Tambovtsev, 2022. "Clusters: Coordination, inter-firm relationships and competitive advantages," Upravlenets, Ural State University of Economics, vol. 13(1), pages 20-36, March.
    2. Richard Harris, 2011. "Models Of Regional Growth: Past, Present And Future," Journal of Economic Surveys, Wiley Blackwell, vol. 25(5), pages 913-951, December.
    3. Borowiecki, Karol Jan, 2013. "Geographic clustering and productivity: An instrumental variable approach for classical composers," Journal of Urban Economics, Elsevier, vol. 73(1), pages 94-110.
    4. Qin, Quande & Yu, Ying & Liu, Yuan & Zhou, Jianqing & Chen, Xiude, 2023. "Industrial agglomeration and energy efficiency: A new perspective from market integration," Energy Policy, Elsevier, vol. 183(C).
    5. Haedo, Christian & Mouchart, Michel, 2019. "Two-mode clustering through profiles of regions and sectors," LIDAM Discussion Papers ISBA 2019014, Université catholique de Louvain, Institute of Statistics, Biostatistics and Actuarial Sciences (ISBA).
    6. Harris, Richard, 2009. "Spillover and backward linkage effects of FDI: empirical evidence for the UK," LSE Research Online Documents on Economics 33206, London School of Economics and Political Science, LSE Library.
    7. Guo, Di & Jiang, Kun & Xu, Chenggang & Yang, Xiyi, 2023. "Geographic clusters, regional productivity and resource reallocation across firms: Evidence from China," Research Policy, Elsevier, vol. 52(2).
    8. repec:rri:wpaper:200605 is not listed on IDEAS
    9. Haedo, Christian & Mouchart, Michel, 2018. "Automatic biclustering of regions and sectors," LIDAM Discussion Papers ISBA 2018026, Université catholique de Louvain, Institute of Statistics, Biostatistics and Actuarial Sciences (ISBA).
    10. Alessia Lo Turco & Daniela Maggioni, 2017. "Local Discoveries and Technological Relatedness: the Role of Foreign Firms," Papers in Evolutionary Economic Geography (PEEG) 1710, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jun 2017.
    11. Gashawbeza Bekele & Randall Jackson, 2006. "Theoretical Perspectives on Industry Clusters," Working Papers Working Paper 2006-05, Regional Research Institute, West Virginia University.
    12. Hector Rocha, 2004. "Entrepreneurship and Development: The Role of Clusters," Small Business Economics, Springer, vol. 23(5), pages 363-400, October.
    13. Alessia Lo Turco & Daniela Maggioni, 2016. "On firms’ product space evolution: the role of firm and local product relatedness," Journal of Economic Geography, Oxford University Press, vol. 16(5), pages 975-1006.
    14. Amel Ben Abdesslem & Raphaël Chiappini, 2019. "Cluster policy and firm performance: a case study of the French optic/photonic industry," Regional Studies, Taylor & Francis Journals, vol. 53(5), pages 692-705, May.
    15. Rosalia Castellano & Gaetano Musella & Gennaro Punzo, 2023. "Does context matter? Exploring the effects of productive structures on the relationship between innovation and workforce skills’ complementarity," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(3), pages 1991-2011, June.
    16. Lucas Figal Garone & Alessandro Maffioli & Joao Negri & Cesar Rodriguez & Gonzalo Vázquez-Baré, 2015. "Cluster development policy, SME’s performance, and spillovers: evidence from Brazil," Small Business Economics, Springer, vol. 44(4), pages 925-948, April.
    17. Jindra, Björn & Hassan, Sohaib S. & Cantner, Uwe, 2016. "What does location choice reveal about knowledge-seeking strategies of emerging market multinationals in the EU?," International Business Review, Elsevier, vol. 25(1), pages 204-220.
    18. Koster, Hans R.A. & van Ommeren, Jos & Rietveld, Piet, 2014. "Estimation of semiparametric sorting models: Explaining geographical concentration of business services," Regional Science and Urban Economics, Elsevier, vol. 44(C), pages 14-28.
    19. Carlino, Gerald & Kerr, William R., 2015. "Agglomeration and Innovation," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 349-404, Elsevier.
    20. Giulia Faggio & Olmo Silva & William C Strange, 2020. "Tales of the city: what do agglomeration cases tell us about agglomeration in general? [The anchor tenant hypothesis: exploring the role of large, local, R&D-intensive firms in regional innovation ," Journal of Economic Geography, Oxford University Press, vol. 20(5), pages 1117-1143.
    21. Martin, Philippe & Mayer, Thierry & Mayneris, Florian, 2011. "Spatial concentration and plant-level productivity in France," Journal of Urban Economics, Elsevier, vol. 69(2), pages 182-195, March.

    More about this item

    Keywords

    cooperation; economic performance; industrial clusters; wood and furniture industry;
    All these keywords.

    JEL classification:

    • L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • L68 - Industrial Organization - - Industry Studies: Manufacturing - - - Appliances; Furniture; Other Consumer Durables
    • L73 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Forest Products

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrs:crebss:v:3:y:2017:i:2:p:39-61:n:4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.sciendo.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.