From Mass to Motion: Conceptualizing and Measuring the Dynamics of Industry Clusters

Min Jung Kim, Myles Shaver, and Russell Funk. Forthcoming. "From Mass to Motion: Conceptualizing and Measuring the Dynamics of Industry Clusters," Strategic Management Journal

Posted: 15 Jun 2019 Last revised: 2 Nov 2021

See all articles by Min Jung Kim

Min Jung Kim

University of Minnesota - Twin Cities, Carlson School of Management

Myles Shaver

University of Minnesota - Twin Cities - Carlson School of Management

Russell Funk

University of Minnesota

Date Written: May 1, 2019

Abstract

An extensive body of research examines concentration levels (i.e., “mass”) of industry clusters; however, little attention is paid to their dynamics (i.e., “motion”). Understanding cluster dynamics is important because how clusters change over time may have implications for firm strategies and outcomes that are not attributable to cluster mass alone. To advance scholarship, we derive a theoretically grounded measure of cluster motion. Applying this measure to data on establishments in the U.S. computer and semiconductor industries, we document the dynamic nature of clusters both within and across regions. We demonstrate that our measure of cluster motion is distinct from cluster mass. Furthermore, we document that regions rarely follow stylized descriptions of cluster life cycles, which underscores the importance of measuring and investigating cluster dynamics.

Keywords: industry clusters; dynamics; measurement; agglomeration; life cycle

JEL Classification: M21; R12; O32

Suggested Citation

Kim, Min Jung and Shaver, J Myles and Funk, Russell, From Mass to Motion: Conceptualizing and Measuring the Dynamics of Industry Clusters (May 1, 2019). Min Jung Kim, Myles Shaver, and Russell Funk. Forthcoming. "From Mass to Motion: Conceptualizing and Measuring the Dynamics of Industry Clusters," Strategic Management Journal, Available at SSRN: https://ssrn.com/abstract=3392465 or http://dx.doi.org/10.2139/ssrn.3392465

Min Jung Kim (Contact Author)

University of Minnesota - Twin Cities, Carlson School of Management ( email )

Minneapolis, MN
United States

J Myles Shaver

University of Minnesota - Twin Cities - Carlson School of Management ( email )

19th Avenue South
Minneapolis, MN 55455
United States

Russell Funk

University of Minnesota

MN 55455
United States

HOME PAGE: http://www.russellfunk.org

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