Recent research on competitiveness and clusters: what are the implications for regional policy?

Abstract

This paper reviews implications of recent research on competitiveness and clusters for regions and regional policy. A new framing of competitiveness clarifies the role of regions. Its empirical findings align well with the literature on drivers of regional performance, but there are opportunities for mutual learning. A step-change in the availability of data on clusters and cluster policies has enabled new research approaches. Clusters are shown to have a close association with regional economic performance and evolution. Cluster policies are largely focused on strengthening existing agglomerations, not creating new ones. The paper discussed several practical insights for regional policy makers.

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