Classification of Industry Clusters by Knowledge Type PPT


This PPT slide, part of the 24-slide Supply Chain Management (SCM): Logistics Clusters PowerPoint presentation, presents an overview of various industry clusters categorized by their underlying types of knowledge and competitive positioning. It identifies 5 distinct types of clusters, each with unique characteristics and examples that illustrate their relevance in today's economy.

High-tech clusters are defined as those that are deeply integrated into the knowledge economy, often featuring prominent universities and research institutions, like Silicon Valley. These clusters are critical for innovation and technological advancement.

Historic know-how-based clusters focus on traditional economic activities that have maintained their relevance over centuries. They are often industry-specific, exemplified by London’s status as a financial center, showcasing how historical expertise can shape modern economic hubs.

Factor endowment clusters arise from geographic advantages, where specific conditions favor certain industries. The slide mentions wine production clusters, which benefit from favorable climates and terrains, highlighting how natural resources can influence industry development.

Low-cost manufacturing clusters typically emerge in developing countries, often linked to industries like textiles or electronics. These clusters serve clients in developed markets, driven by the availability of low-cost labor and proximity to clients, which can enhance operational efficiency.

Knowledge services clusters are characterized by their focus on low-cost skills and expertise, catering to a growing demand for commoditized knowledge services. The establishment of linkages with local universities is noted as a strategy to ensure a steady supply of qualified, cost-effective talent.

The slide concludes with a note on the complexity of defining and classifying these clusters, emphasizing that it requires an understanding of local and regional employment patterns. This insight is valuable for organizations looking to navigate and leverage industry dynamics effectively.




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