Clustering Kayseri
“the growth of both SMEs and the economy in Kayseri through leading furniture, metal and automotive industries”
Due to the growing importance of business networks and therefore the economy adopting this phenomenon as an attribute, it is a necessity to adopt networking approach.
The essence of business enterprise is of course tied to constant interactions and trade exchange with other entities on the market and, SMEs should not be seen in isolation but as being connected in business systems.
In the leading and successful industries, one of the most popular forms of cooperation and type of network are defined as clusters. By Definition the cluster is: “Geographic concentrations of interconnected companies, specialized suppliers, service providers, firms operating in related industries and associated institutions such as universities, standards bodies and industry associations in different areas, competing among themselves, but also cooperating.”
Innovation is an open process for competition, in which many different actors such as companies, customers, investors, universities, and other organizations all cooperate in a complex ways to develop and implement new ideas in order to solve problems. Clusters encompass an array of linked industries and other entities important to competition.
Some researchers suggest that firms in the cluster have potential to be more innovative than others because they benefit from agglomeration economies such as nearby suppliers attaining efficient scale, direct observation of competitors, and ability to exploit collective knowledge.
That’s the vision of Clustering Kayseri group of activities to increase the interaction between customers, competing companies, suppliers, knowledge environments and service institutions in an innovation system have great influence on localized economic development by creating;
- Reduced cost,
- Increased productivity,
- Eenhancing the ability to innovate
- Give a better market adaption.
Thus the main motivation for the cluster organisations in Kayseri is to generate a “reduced scale innovation systems”.
SMEs in clusters also benefit from network-based effects, especially enhanced social interaction and have more opportunities to get in touch with customers and be aware of new customers’ needs more clearly and more quickly.
The cluster initiative of Kayseri supports building actions for critical success factors of SMES in Furniture, Metal and Automotive industiries through critical success factors that are:
- Boosting existing networks, partnerships and linkages,
- A strong base of supporting innovative R&D,
- The existence of a strong skills base,
- Adequate technical infrastructure,
- A strong corporate culture,
- Access to finance
