tci2013 cluster initiatives to promote competitiveness now

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Cluster initiatives to promote competitiveness nowEmiliano Duch

Cluster Development in Times of Change

5 September 2013

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Cluster Initiatives to Promote Competitiveness Now

TCI Conference – Kolding, DK

Emiliano DuchCompetitive Industries Global Practice

September 5, 2013

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• The World Bank new goals• Shared value, clusters and cluster initiatives• Managing cluster initiatives professionally• The role of the World Bank

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• The World Bank new goals• Shared value, clusters and cluster initiatives• Managing cluster initiatives professionally• The role of the World Bank

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• The World Bank Group has two ambitious goals: end extreme poverty within a generation and boost shared prosperity.– Reduce extreme poverty at 3% in 2030– Foster income growth of the bottom 40%

• Focusing on enriching livelihoods through economic growth, inclusion, and sustainability

The World Bank new goals

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• The World Bank new goals• Shared value, clusters and cluster initiatives• Managing cluster initiatives professionally• The role of multilaterals

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• Companies can create shared value by:–Re-conceiving products and markets–Redefining productivity in the value chain–Building supportive industry clusters at the

company's locationsM.E.Porter, HBR, January 2011

Shared value, clusters and cluster initiatives

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• Clusters: What were they supposed to be–Geographic concentrations of

interconnected companies and institutions in a particular field. Clusters encompass and array of linked industries and other entities important for competition.

M.E. Porter, HBR,1998

Shared value, clusters and cluster initiatives

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• Clusters: What they have ended up being– « Le regroupement sur un même territoire

d'entreprises, d'établissements d'enseignement supérieur et d'organismes de recherche publics ou privés qui ont vocation à travailler en synergie pour mettre en œuvre des projets de développement économique pour l'innovation. »

DGCIS-DATAR, 2011

Shared value, clusters and cluster initiatives

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• Clusters: What they have ended up being– « The grouping in a territory of companies,

universities and research institutions, public or private, that have a vocation to work in sinergy to perform economic development projects on innovation».

DGCIS-DATAR, 2011

Shared value, clusters and cluster initiatives

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• “People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices…”

Adam Smith, The Wealth Of Nations, 1776

Shared value, clusters and cluster initiatives

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• After almost twenty years of experience …, the results are mixed, ... While there have been many examples of value creation in clusters that have brought productivity increases and prosperity to their regions, there are also many instances of publicly funded structures that have not created any value.

Public-Private Dialogue for Sector Competitiveness and Local Economic Development, World Bank, 2011

Shared value, clusters and cluster initiatives

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“Cluster initiatives are organized efforts to increase the growth and competitiveness of clusters within a region, involving cluster firms, governments and/or the research community.”

The Cluster Initiative Greenbook, 2003

Shared value, clusters and cluster initiatives

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• Companies can create shared value by:–Re-conceiving products and markets–Redefining productivity in the value chain–Building supportive industry clusters at the

company's locationsM.E.Porter, HBR, January 2011

Shared value, clusters and cluster initiatives

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“As more and more resources are devoted to efforts to foster cluster development, the need to understand best practice has become urgent”.

M.E. Porter foreword to Greenbook, 2003

Shared value, clusters and cluster initiatives

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• The World Bank new goals• Shared value, clusters and cluster initiatives• Managing cluster initiatives professionally• The role of the World Bank

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Collective efforts to improve cluster initiatives:• 2003 TCI conference Greenbook and “learning

sessions”.• 2003 Cluster Competitiveness Report• 2004 USAID Evaluation report• 2007 EU Cluster Mapping Case Studies• 2007 Barcelona/Washington Clusters Summer School• 2009 USAID Case studies• 2009-12 European Cluster Excellence Initiative

Managing cluster initiatives professionally

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Managing cluster initiatives professionally

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Managing cluster initiatives professionally

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Managing cluster initiatives professionally

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Managing cluster initiatives professionally

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• The World Bank new goals• Shared value, clusters and cluster initiatives• Managing cluster initiatives professionally• The role of the World Bank

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• Dialogue and action on ongoing and emerging development challenges, bringing the perspective of developing countries to global issues.

• Support clients in delivering customized development solutions by packaging finance, knowledge, and convening services.

• Help advance knowledge about what works.

The role of the World Bank

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One example of “what does not work”

Link to Groupe de Travail Sur la Competitivite in Haiti

http://www.nytimes.com/slideshow/2012/07/05/world/americas/20120706-HAITI.html

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Thank you for your attention!

For slides contact:Emiliano Duc

educh@worldbank.org