Productivity Growth and Job Creation in the Development Process of Industrial Clusters

32 Pages Posted: 20 Apr 2016

See all articles by Tetsushi Sonobe

Tetsushi Sonobe

National Graduate Institute for Policy Studies

Yuki Higuchi

affiliation not provided to SSRN

Keijiro Otsuka

National Graduate Institute for Policy Studies (GRIPS)

Date Written: November 1, 2012

Abstract

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.

Keywords: Labor Policies, Labor Markets, E-Business, Microfinance, Economic Theory & Research

Suggested Citation

Sonobe, Tetsushi and Higuchi, Yuki and Otsuka, Keijiro, Productivity Growth and Job Creation in the Development Process of Industrial Clusters (November 1, 2012). World Bank Policy Research Working Paper No. 6280, Available at SSRN: https://ssrn.com/abstract=2183050

Tetsushi Sonobe

National Graduate Institute for Policy Studies ( email )

7-22-1 Roppongi
Minato-ku
Tokyo, 106-8677
Japan

Yuki Higuchi

affiliation not provided to SSRN

No Address Available

Keijiro Otsuka

National Graduate Institute for Policy Studies (GRIPS) ( email )

7-22-1 Roppongi,Minato,
Tokyo 106-8677
Japan

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