Knowledge Sharing and Business Clusters

This paper reports preliminary results from a study that examines factors influencing knowledge sharing among members of business clusters. Business clusters are local concentrations of competitive firms in related industries that do business with each other. Earthquake Engineering, Natural Hazards, Optics and Software are examples of clusters studied in this paper. Some of the companies in these clusters are direct competitors in the local arena and they are often expected to co -operate and share business knowledge with each other when they are considering bidding for international projects or contracts. This knowledge may be considered to have provided each company with a competitive advantage. Therefore, trying to successfully operate in this mixed environment of ‘co -operation’ and ‘competition’ can pose a dilemma for many members of business clusters. Focus group and individual interviews were held with representatives from seven business clusters based in Wellington, New Zealand. Analysis of the data revealed that the following factors do influence knowledge sharing in business clusters: having strong, charismatic cluster champions/leaders; developing respect and trust between cluster members; and participants believe in collaboration. These factors will be explored and the implications for practice and research will also be discussed.

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