The presence of Porter's sectoral clustering in Irish manufacturing (original) (raw)
Industrial clustering is seen by Porter (1990) as a dynamic process of national sectoral linkages and regional proximity that can systematically interact and reinforce each other, and which is central to international competitiveness. This article examines the extent to which • Porter-type industrial clustering is currently present in Irish manufacturing, and its association, if any, with industrial performance. It also comments on the implications for industrial policy. National linkages between manufacturing sectors are not substantial; and spatial concentrations in two urban centres is more an effect of general urban economies than of sectoral linkages. Little association has been found between the clustering that is currently present in Ireland and various aspects of industrial performance. I INTRODUCTION T he Culliton Report (1992) sees sectoral clustering as an important element of industrial structure, and considers that building industrial clusters should be an important objective of industrial policy. In adopting this view, the Industrial Policy Review Group were heavily influenced by Porter (1990). Porter sees industrial clustering as a dynamic process of national sectoral linkages and regional proximity that can systematically interact and reinforce each other, and which is central to international competitiveness. This article examines the extent to which Porter-type industrial clustering is currently present in Irish manufacturing, and its association, if any, with industrial performance. It also comments on the implications for industrial policy. *This article is based on the author's MBA thesis submitted to Dublin City University and supervised by Mr W. Kelly, MA. I would also like to thank Dr David Jacobson and Dr Rory O'Donnell for helpful comments. Financial assistance from FAS is gratefully acknowledged. The author is currently on secondment to the EU Industry Evaluation Unit, Dublin.
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