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Does Cluster Condition the Small and Medium Enterprises Competitive Advantage? The Case of Vigo and Metropolitan Area

36 Pages Posted: 24 Jan 2012  

Carlos M. Fernández-Jardón

University of Vigo - Departamento de Economia Aplicada

Date Written: January 24, 2012

Abstract

Companies seek distinctive competencies that allow them to be in a better position than its competitors, i.e. they are competitive advantages. Both the territory and the activity of the company may determine its core competences. Both elements are associated with the cluster idea. This paper analyses whether the cluster determines the process of obtaining competitive advantages. We use principal components to determine core competences. After, effects of the cluster on sources of competitive advantages and core competences are tested by parametric and nonparametric methods in small and medium enterprises of Vigo and its Metropolitan area.

The results show that there are differences between clusters with regards to sources of competitive advantage. However, these differences do not occur in all factors of competitiveness. These differences are smoothed by building core competencies. Conclusions suggest some politics on clusters.

Keywords: Competitive advantage, clusters, core competences, Vigo and its metropolitan area

JEL Classification: M10, M12, M14

Suggested Citation

Fernández-Jardón, Carlos M., Does Cluster Condition the Small and Medium Enterprises Competitive Advantage? The Case of Vigo and Metropolitan Area (January 24, 2012). Available at SSRN: https://ssrn.com/abstract=1991117 or http://dx.doi.org/10.2139/ssrn.1991117

Carlos M. Fernández-Jardón (Contact Author)

University of Vigo - Departamento de Economia Aplicada ( email )

E.U. de Enx. Técn. Industrial.
Vigo, Pontevedra E-36200
Spain

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