Matthias Kiese and Julian Kahl
This paper aims to examine a cluster-based strategy implemented in the German federal state of North Rhine-Westphalia under the 2007-2013 “Regional Competitiveness and Employment”…
Abstract
Purpose
This paper aims to examine a cluster-based strategy implemented in the German federal state of North Rhine-Westphalia under the 2007-2013 “Regional Competitiveness and Employment” programme. Departing from traditional discretionary approaches, a substantial share of the funds was now allocated on a competitive basis. The authors analyse the resulting distribution of funds across stakeholders and sub-regions and try to assess the pros and cons of this process, which constitutes a novel delivery system for cluster policies.
Design/methodology/approach
Following a literature review, the paper applies two sets of regression models to explain the distribution of funds under the new policy delivery system. Interviews with stakeholders provide evidence on the efficacy and efficiency of the competitive funding process.
Findings
The changes introduced in the 2007-2013 funding period benefit universities and research organisations, as well as intermediary organisations, whereas the private sector and especially small firms capture a rather small piece of the pie. Contrary to the “innovation paradox” hypothesis, structurally weak sub-regions did not lose out in state-wide funding contests. The presence of universities with an overall high volume of third-party funding is the key variable explaining the spatial distribution of funds. This interview evidence identifies the duration of the selection process and its administrative complexity as main weaknesses, which the authors attribute to bureaucratic rationality on different levels.
Originality/value
This is the first analysis of a competitive funding scheme at the sub-national level, using the German federal state of North Rhine-Westphalia as a case study. It sheds light on the mechanisms of funding allocation in the 2007-2013 funding period of the European Union’s cohesion policy, which was reoriented towards supporting regional competitiveness and employment in response to the Lisbon Agenda. While competitive funding is still seen as mobilising regional stakeholders and improving the quality of projects and the selection process, these findings highlight administrative complexity as a main deficiency, which has partly been addressed in the 2014-2020 funding period.
Details
Keywords
Ibrahim M. Awad and Sahar Mohammad Thwaib
The aim of this study is to provide an empirical investigation of the agricultural cluster’s economic, social and environmental values. By doing so, the authors aim to offer…
Abstract
Purpose
The aim of this study is to provide an empirical investigation of the agricultural cluster’s economic, social and environmental values. By doing so, the authors aim to offer policymakers and decision-makers a strategic approach that promotes competitiveness and economic development through shared value.
Design/methodology/approach
The authors used AMOS software and applied structural equation modeling to achieve the study’s objectives. The study used this approach with path analysis through the Analysis of Moment Structures software.
Findings
The empirical results indicate that creating shared value (CSV) can enhance the agricultural sector’s competitiveness through clustering. Rather than enhancing competitiveness directly, CSV plays a crucial role in improving the relationship between clustering and competitiveness. The authors also examined Porter’s diamond of competitiveness and evaluated factors for creating a shared value strategy, such as factor conditions, demand conditions, related and supporting industries, strategy, structure, rivalry and the role of government.
Research limitations/implications
This study focuses solely on the agricultural cluster in Qalqilya governorate and cannot be applied to other regions without additional research.
Practical implications
Ensuring that stakeholders in the agricultural sector are kept informed about the activities of the cluster and the benefits of their participation is crucial. Empirical findings and conclusions have demonstrated that a shared value strategy can enhance the competitiveness of this sector. To achieve this, institutions involved in developing the agricultural cluster must increase their efficiency and capacity. Consulting experts in this field and drawing on experiences from other countries can aid in achieving this goal. Additionally, enhancing farmers’ productivity should be a priority, and the Ministry of Agriculture can provide training and workshops to improve their skills and expertise.
Originality/value
This study suggests that Palestinian policymakers should establish effective partnerships between the government and the agricultural sector’s firms in Qalqilya to reinforce the cluster’s competitiveness. This strategy can stimulate competitiveness and promote economic and social development in Palestine.
Details
Keywords
Fatih Celebioglu and Thomas Brenner
The purpose of this paper is to explain the effects of innovation, specialisation, qualifications and sectoral structure on the resilience of German regions (municipal level…
Abstract
Purpose
The purpose of this paper is to explain the effects of innovation, specialisation, qualifications and sectoral structure on the resilience of German regions (municipal level) facing the Great Recession in 2008/2009.
Design/methodology/approach
To calculate the effects of various variables on the resilience of German regions against the Great Recession, the authors use quantile regressions. To measure resilience, the authors create a number of indexes representing different parts of the economy: resistance performance index, recovery performance index, shift-share resistance index, shift-share recovery index, manufacturing resistance index, manufacturing recovery index, service resistance index and service recovery index.
Findings
The results of this study confirm that locations with employment growth before the crisis and with a good industry structure show better employment dynamics during and after the crisis. The authors find evidence for positive relationship between innovativeness, qualification, the share of the service sector, specialisation and resistance. The authors obtain positive results for related variety and both resistance and recovery. The share of the manufacturing sector only shows a positive relationship with recovery.
Originality/value
The authors expand the existing literature in three aspects: First, instead of using regions as observation units, the authors conduct the analyses on the basis of municipalities and their surroundings. By doing so, the authors reduce the modifiable area unit problem because the authors do not rely on regions defined for administrative reasons. Second, the authors apply quantile regressions to detect nonlinear effects. Third, in addition to the resilience of the whole economy, the authors also study the resilience of the manufacturing and service sectors separately and examine the resilience of the local shift effect.