Innobarometer looks at cluster membership and innovation
One in four companies in the EU works in a cluster-like environment, according to the latest Innobarometer report, which focuses on the role of clusters in facilitating innovation in Europe. Companies were deemed to be working in a cluster-like environment on the basis of strong local linkages, relationships with other local market players, a higher industry density in the region, the existence of a cluster in the respective industry and an awareness of the cluster concept. The researchers found wide variations in cluster membership from country to country. In general, cluster membership was higher in the EU-15 (28 per cent) than in the new Member States (9 per cent). However, there were exceptions to this rule; 67 per cent of Latvian companies are involved in clusters, while in Austria the figure is just 34 per cent. The highest level of cluster membership was found in the UK, where over eight out of ten companies qualified as a cluster company. The researchers then looked at which of the companies they had identified as cluster companies were actively involved in business networks. They found that a quarter were not actively involved in any business network; half were actively involved in one; and a quarter were involved in two or more. Leading the way are the Nordic countries, where a majority of cluster companies participate actively in at least two business networks. Interestingly, Turkey shows a similar pattern. The study also looks into the perceived benefits of cluster membership. Human resources come top of the list; two thirds of cluster companies agree that their cluster is hiring skilled people. Another benefit is the regular exchange of market information within the cluster. Six out of ten believe their cluster stimulates entrepreneurial spirit, and many report that forging partnerships for specific projects is a characteristic of their cluster. Measures of innovation reveal active cluster companies to be slightly more innovative than their counterparts outside the clusters. For example, 78 per cent of companies in a cluster recently introduced a new or significantly improved product, compared to 74 per cent for all companies. A total of 24 per cent of cluster companies applied for a patent, compared to just 12 per cent of all companies. It is a widely held belief that competition is higher inside a cluster than outside. Here the survey is inconclusive; at the EU-25 level, companies are evenly split on the issue. The survey also asked companies about the role of public authorities, and found that a majority feel public authorities have an important role to play in supporting clusters. Improvements in public support desired by the companies include tax incentives (in particular for research and development, and innovation expenses) and a reduction of the bureaucratic burden. Other types of assistance highlighted by the companies include help in information transfer and help developing trans-national relations.