ENHANCING COMPETITIVENESS IN THE MANUFACTURING SECTOR: KEY OPPORTUNITIES PROVIDED BY INTER FIRM CLUSTERING

Abstract

The traditional models of economic development are being challenged and the role of stakeholders is being reprioritised, resulting in an increased emphasis on the SMME sector. A practical strategy is needed in South Africa for reducing input costs and promoting the implementation and sustainability of a technology transfer initiative aimed at enhancing the competitiveness of the small/micro manufacturing enterprises. However, there is insufficient knowledge to inform this process. The aim of this paper is to understand the constraints to manufacturing competitiveness and to proffer a model for inter‐firm linkages appropriate to the South African context.

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