(By Joseph Ramos). It is commonly understood by cluster production complex or sectoral concentration and / or geographical performing companies in the same activities or in activities closely related - both backward to suppliers of inputs and equipment, as well as forwards and sideways, to processing industries and users as well as services and activities closely related to important and cumulative savings external agglomeration and specialization (by the presence of producers, suppliers and skilled labor and related services specific to the sector) and the possibility of carrying out joint action in pursuit of collective efficiency. The efficiency of the whole complex is higher than that of each company separately by
externalities generated by each company to the other, ie the share of each company generates profits for himself and for other companies in the complex, the following 5 reasons:
1. The concentration of firms in a region attracts more customers, thereby expanding the market for all
beyond what would the case if each were operating in isolation.
2. Strong competition leads to the concentration of companies
induces greater specialization, division of labor, and hence greater productivity.
3. The strong interaction between producers, suppliers and users easier and induces a more productive learning
, technology and marketing.
4. Repeated transactions in proximity to the same economic
generates greater trust and reputation that results in lower transaction costs.
5. The existence of complex, self-awareness, facilitates collective action of all in pursuit of common goals
(marketing international training centers and
monitoring technological development, awareness of quality standards, etc.).
See box
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