Volume 33 Number 1 June 2008

A Functionalist Framework for Identifying Business Clusters: Applications in Far North Queensland

Adee Athiyaman and Celik Parkan

Abstract

The extant literature on industry-cluster identification recommends the use of both quantitative and qualitative data to uncover clusters. We argue for a functionalist approach to identifying clusters. The logic here is that since spatial proximity of firms is an observed fact, attempts to uncover business clusters should begin with a statistical test of the randomness of firm density in a region. Rejection of this hypothesis should lead to an inter-firm analysis that identifies the relationships among firms in the region. Data from a regional area in the state of Queensland, Australia, are employed to demonstrate the applicability of the proposed framework.


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Keywords

INDUSTRY CLUSTERS; COMPETITIVE ADVANTAGE; SPATIAL ANALYSIS; Q-METHODOLOGY; CAIRNS; AUSTRALIA

Contact Details

Adee Athiyaman
Western Illinois University, Macomb, IL 61455, USA
Celik Parkan
Long Island University, Brookville, NY 11548, USA

Email: cparkan@liu.edu



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