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Original scientific paper

https://doi.org/10.1080/1331677X.2021.1874460

Do clustered firms outperform the non-clustered? Evidence of financial performance in traditional industries

Drahomira Pavelkova
Miroslav Zizka
Lubor Homolka
Adriana Knapkova
Natalie Pelloneova


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Abstract

Previous research presented in numbers of studies strongly suggests that locating in a cluster generates valuable benefits to clustered firms. These include better access to suppliers and other
scarce inputs, superior knowledge and innovation, a better position from which to build a social network as well as proximate to
successful competitors. Yet when the positive impact of agglomeration and clustering has been questioned on the strictly financial performance of clustered firms, the results of these studies
are not so convincing and question the enthusiasm for cluster
theory shown by scholars, practitioners, and policymakers. The
aim of our research is to enrich existing knowledge concerning
the benefits of clustering, as well as to test if localisation in a natural cluster, and membership in a cluster organisation has a positive impact on financial performance. We propose to measure
that by selected financial indicators such as ROA, ROS, labour
productivity and Economic Value Added, focussing our research
on traditional industrial sectors – plastics and textiles seated in
the Czech Republic. The results of analysing firm-level data in the
period of 2009–2016 fail to confirm any significant influence of
firm localisation in natural cluster or membership in the cluster
organisation on financial performance for firms in studied sectors.
We achieved the same results by investigation of potential differences for young firms, SMEs or underperforming firms

Keywords

Cluster; natural cluster; cluster organisation; firm performance; plastics; textile industry

Hrčak ID:

301654

URI

https://hrcak.srce.hr/301654

Publication date:

31.12.2021.

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