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Productivity growth and job creation in the development process of industrial clusters, Volume 1
Author:Sonobe, Tetsushi; Higuchi, Yuki; Otsuka, Keijiro; Country:World;
Date Stored:2012/11/29Document Date:2012/11/01
Document Type:Policy Research Working PaperSubTopics:Economic Theory & Research; Microfinance; Labor Policies; Labor Markets; E-Business
Language:EnglishMajor Sector:Education; Public Administration, Law, and Justice
Rel. Proj ID:1W-Wdr 2013 -- -- P127136;Region:The World Region
Report Number:WPS6280Sub Sectors:General education sector; Public administration- Industry and trade; Compulsory pension and unemployment insurance; Public administration- Other social services; General public administration sector
Collection Title:Policy Research working paper ; no. WPS 6280TF No/Name:TF010228-KCPII; TF011042-The
Volume No:1  

Summary: Poor management has long been suspected as a major constraint on job creation in the manufacturing sector in low-income countries. In this sector, countless micro and small enterprises in industrial clusters account for a large share of employment. This paper examines the roles of industrial clusters, managerial capacities, and entrepreneurship in improving productivity and creating jobs, by reviewing the literature and case studies, including recent experiments. It finds that managerial capacities are a major determinant of firms' employment sizes and productivity growth, and that it is high innovative capacities, accompanied by high managerial capacities, that boost cluster-based industrial development.

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