Cluster Development for Inclusive and Sustainable Economic Growth
Abdin, M.J. (December 2014); Cluster Development for Inclusive and Sustainable Economic Growth, Professionals Center for Business Research, Volume 1 - December 2014(12)
7 Pages Posted: 19 Feb 2015
Date Written: December 1, 2014
Cluster is a concentration of a large number of similar manufacturing units sharing common opportunities, threats, strengths and weaknesses in a particular area. It is easier to ensure all industrial support into a particular location for industrial development of a country. Least developed countries like Bangladesh could go for cluster based small and medium enterprise development approach to foster economic growth, generate employment, and finally alleviate poverty. Hundreds of enterprises share few common problems in a cluster and it is worthwhile to take a hand to solve a problem for hundred enterprises than that of a smaller group or few scattered entity. A group of capable entrepreneurs could be trained up to create a leadership/mentorship group for the entire cluster. Creating machine operators, trouble shooters, and skilled workers in a particular trade is comparatively less costly and feasible in terms of sustainability in a cluster. A common financial/technical/technological/marketing support could help the whole community equally. A country could ensure balanced development by developing different clusters located all over the states. Smaller investment could be sufficient for establishing an assembling unit in a cluster where all backward as well as forward linkage industries are available. Therefore cluster development could be a powerful tool for inclusive and sustainable growth of a country.
Keywords: Cluster Development, Model for Cluster Development, Steps of Cluster Development, Clustering
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