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Spatial and Sectoral Distribution of International Clusters in the Baltic Region

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Spatial and Sectoral Distribution of International Clusters in the Baltic Region A Service of Leibniz-Informationszentrum econstor Wirtschaft Leibniz Information Centre Make Your Publications Visible. zbw for Economics Mikhaylov, Andrey; Mikhaylova, Anna Article — Published Version Spatial and sectoral distribution of international clusters in the Baltic region European Journal of Scientific Research Suggested Citation: Mikhaylov, Andrey; Mikhaylova, Anna (2014) : Spatial and sectoral distribution of international clusters in the Baltic region, European Journal of Scientific Research, ISSN 1450-202X, European Journals Inc., Victoria, Seychelles, Vol. 121, Iss. 2, pp. 122-137 This Version is available at: http://hdl.handle.net/10419/107012 Standard-Nutzungsbedingungen: Terms of use: Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Documents in EconStor may be saved and copied for your Zwecken und zum Privatgebrauch gespeichert und kopiert werden. personal and scholarly purposes. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle You are not to copy documents for public or commercial Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich purposes, to exhibit the documents publicly, to make them machen, vertreiben oder anderweitig nutzen. publicly available on the internet, or to distribute or otherwise use the documents in public. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, If the documents have been made available under an Open gelten abweichend von diesen Nutzungsbedingungen die in der dort Content Licence (especially Creative Commons Licences), you genannten Lizenz gewährten Nutzungsrechte. may exercise further usage rights as specified in the indicated licence. www.econstor.eu European Journal of Scientific Research ISSN 1450-202X Vol.121 No.2 (2014), pp.122-137 © European Journals Inc. 2014 SPATIAL AND SECTORAL DISTRIBUTION OF INTERNATIONAL CLUSTERS IN THE BALTIC REGION Mikhaylov A. S. Immanuel Kant Baltic Federal University, A. Nevskogo str.14, Kaliningrad, 236041, Kaliningrad region, Russia Email: [email protected] Tel.: +79052400526 Mikhaylova A. A. Immanuel Kant Baltic Federal University, A. Nevskogo str.14, Kaliningrad, 236041, Kaliningrad region, Russia Abstract This article reveals the spatial and sectoral distribution of international clusters in the Baltic macro-region. The research results suggest that there are 28 international clusters in the Baltic region, all of which have an organized structure and are supported by the state. An overwhelming majority of identified clusters represent cross-border type. The most prosperous cross-border regions in this regard are Oresund, Jutland, Bothnian Arc and Oslo - Vaster Gotland (or the GO region). Nearly half of the international clusters studied represent knowledge intensive sectors of economy and almost all are associated with the introduction of innovative solutions. A quarter of all international clusters of the macro-region are engaged in the life science sector, which could be a competitive niche of the Baltic region on the global scale. Keywords: international cluster, cross-border cluster, transnational cluster, Baltic region, Oresund, Jutland, Bothnian Arc, GO region. JEL Classification Code: R11, F23, F63 1. Introduction Back in 1993 J. Dunning questioned the fundamental tenets of the M. Porter’s diamond model with regards to the immobility of assets across national boundaries. Maintaining the statements of R. Mundell, he argued for the transnational movement of created intangible assets (such as technological competencies, organizational skills, cultural norms and other ‘proximities’ reflected in the classification of R. Boschma), precisely concerning the concept of cross-border interrelated inter-firm rivalry and the clustering of related industries. Active cross-border and transnational regionalization processes around Europe reflect on the notion of increasing interdependence of the inter-state strategic developments. Establishment of euroregions, cross- border regions and other strategic alliances between different states and subjects inevitably contribute to the establishment of qualitatively new forms of international inter-firm and indeed the inter-organizational collaboration. While such concepts as global production network (GPN), global innovation network (GIS), global value-chain and other transnational forms of networking 123 European Journal of Scientific Research Vol.121 No.2 (2014) received generous amount of attention in scientific literature, the phenomenon of international cluster is generally neglected. The aim of this article is to provide basic understanding of the international cluster concept, as well as to highlight the geographical and sectoral distribution of international clusters in the Baltic region of Europe. 2. Previous empirical research on international clusters As a short preface, it is worth mentioning, that back in 1998 M. Porter has noted an example of a cross-border chemical cluster involving Germany and the German-speaking border area of Switzerland. However neither M. Porter, nor have a number of other rather famous authors (Birkinshaw J. and Solvell O., 2000; Rugman A.M. et al., 2000, 2002; Karlsson Ch., 2008; etc.) given international cluster concept individual attention. While the major problem in development of this concept is that little is known about best practice of international clustering around the globe. In this regard, it is worth to remind ourselves that M. Porter has written his famous book – “Competitive advantage of nations” based on in-depth case studies of industries and competitiveness (- clusters of competitiveness) doing interviews and surveys, and conducting analyses in a number of countries for over four years. Hence empirical research on international clusters is of primary importance for building a corresponding concept. One of the first known studies on cross-border clusters was held by Dudarev G. et al. (2002). Based on analysis of the cross-border trade data they discuss the possible basis for development of “over-the-border” clusters between Finland and Russia. Among the main areas of potential cross-border clustering, they have considered the forest industry, metals and metal processing, ICT, food and energy. Oddly enough (considering active cross-border regionalization processes around Europe) the first and most significant studies on international clusters were conducted by Russian scientists1, generally within a framework of international research projects (Russia – Norway; Russia – Finland; Russia – Belarus). A number of PhD dissertations (e.g. universities of Murmansk, St. Petersburg, Petrozavodsk), books (e.g. Kibitkin, 2006) and textbooks (e.g. Emelyanov, 2008) have been published in 2005 onwards. Most publications reflect on the possibility of modernizing remnants of the Soviet industry, considering the international cluster concept as an effective tool in achieving synergetic effect with neighboring countries. Studies of opportunities… (2011) is a complication of research papers [case studies] of an international research project on Finnish – Russian trans-border clusters. The research covers such industries as forest, food, tourism, logistics and IT. The core objective of the project is to analyse the opportunities for developing trans-border Finnish-Russian clusters. Since “any inter- companies network is made of social web and any industrial cooperation implies collaboration of people having trust in each other” (p. 5), authors strongly rely on the survey methodology, apart from quantitative data analysis. The study provides an in-depth understanding of SWOT to establish clusters between Russia and Finland in the future. Andersson, et al. (2004) pinpoint to the fact that actors of industrial clusters are generally spatially scattered, whereas collaboration network of actors within localized clusters lies [mostly] beyond the actual spatial concentration2. Despite the seemingly correct and sound inferences with regards to interplay between separate regional clusters (i.e. transnational networking of clusters), it is hardly possible vis-a-vis international clusters, since there is lack of 1 The terms "international cluster", "interstate cluster", "cross-country cluster", "cross-border cluster" and "transnational cluster" have been used. 2 Relatively little business is done with local firms and most local inter-firm transactions are mostly exchanges of basic inputs and services rather than exchanges of knowledge. Hence “the central issue is whether clusters are primarily a functional or spatial phenomenon” (p.156). 124 European Journal of Scientific Research Vol.121 No.2 (2014) empirical evidence on individual clusters transcending national borders. Among of the few known clusters that link actors across national borders authors cite the following examples: automotive cluster engaging Portuguese and Spanish actors, plastics cluster in Twente (Dutch- German border region), the RegioTriRhena (involves stakeholders from France, Germany and Switzerland), and the Öresund biotech cluster, that connects actors from both sides of the Oresund strait (Denmark - Sweden). Zashev (2008) investigates the topic of internationalization of clusters based on the evidence from 12 EU border regions: Finland (South Karelia - Tornio), Germany (Hochfranken - Görlitz), Greece (Serres - Florina), Poland (Zgorzelec - Biala Podlaska), Northeast and Southeast Estonia, Bulgaria (Petrich - Kystendil). The research project challenges the prospects of
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