Journal
REGIONAL STUDIES
Volume 49, Issue 1, Pages 10-27Publisher
ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
DOI: 10.1080/00343404.2014.904505
Keywords
Entry; Exit; Industrial cluster; Localization economies; Evolutionary economic geography; Firm heterogeneity
Funding
- Utrecht University High Potential Grant - HIPO
- University of Bergamo, Department of Management, Economics and Quantitative Methods [60CEFI14]
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This paper reviews the literature on clusters and their effects on the entry, exit and growth of firms as well on the evolutionary dynamics underlying the process of cluster formation. This extensive review shows that there is strong evidence that clusters promote entry, but little evidence that clusters enhance firm growth and firm survival. From a number of open questions various future research avenues are distilled that stress the importance of firm heterogeneity and the exact mechanisms underlying localization economies.
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