Cluster initiative development process in Malaysian policy-led cluster

Cloning of successful clusters like Silicon Valley with the anticipation that externalities produced will make firms competitive and create a buzz for the whole cluster, resulted in an outbreak of clusters throughout Asia. However, the literature has not adequately addressed whether and how cluster...

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Main Author:	Hassan, Ibn E.
Format:	Thesis
Language:	English
Published:	2013
Subjects:	HD28 Management Industrial Management
Online Access:	http://eprints.utm.my/id/eprint/38990/5/Ibn-E-HassanPFPPSM2013.pdf
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id	my-utm-ep.38990
record_format	uketd_dc
spelling	my-utm-ep.389902017-06-29T05:58:47Z Cluster initiative development process in Malaysian policy-led cluster 2013-08 Hassan, Ibn E. HD28 Management. Industrial Management Cloning of successful clusters like Silicon Valley with the anticipation that externalities produced will make firms competitive and create a buzz for the whole cluster, resulted in an outbreak of clusters throughout Asia. However, the literature has not adequately addressed whether and how cluster initiatives or cluster programs are developed in policy–led clusters, a cluster built from the scratch by the government. Traditionally, the cluster literature has focused on the spontaneous cluster rather than policy-led clusters. In fact, cluster initiatives, which are the organized actions to enhance the competitiveness of clusters, have recently gained the attention of researchers. The eminent researchers recommend that the success of initiatives depends on the effective cluster organization, public-private collaboration and firms‘ active role in the cluster governance. In response to the scarcity of cluster literature on these dimensions and dearth of scholarly work about the policy-led clusters, this research attempts to generate fresh insights into how cluster initiatives are developed in policy-led clusters. Multimedia Super Corridor (MSC), as a case study was selected for two key reasons. Firstly, it fits in the definition of a policy-led industrial cluster, and secondly, a plethora of initiatives is offered to the firms located in this cluster. An interpretivist paradigm with an embedded single-case study using Modified Delphi method and in-depth interviews were conducted to get the views of 13 experts and 17 informants from MSC firms and Multimedia Development Corporation (MDeC). The data analyzed generated qualitative themes. It was found that the cluster faced a myriad of challenges namely: firm‘s dependence on government support, bureaucracy, talent mobility, lack of interest of venture capitalists, lack of inter-firm collaborations and knowledge sharing, lack of trust, as well as absence of clusterpreneur and quality workforce. Moreover, the developmental state model of governance practiced in Malaysia over the years had been instrumental at the beginning of the cluster‘s life cycle. Admittedly, but at this stage of the cluster life cycle, there is a need to activate social cohesion and innovation related collaboration among the firms. This research recommends that MDeC must adopt administrative decentralization because of the diminished capacity of the bureaucrats in the face of high-end technology development, and to effectively utilize the strategic knowledge through collaboration and sharing as well as engagement with companies located in the MSC. The originality of the research lies in the proposed framework of a collaborative regime based on negotiated and synergistic public–private alliance for cluster initiative development 2013-08 Thesis http://eprints.utm.my/id/eprint/38990/ http://eprints.utm.my/id/eprint/38990/5/Ibn-E-HassanPFPPSM2013.pdf application/pdf en public phd doctoral Universiti Teknologi Malaysia, Faculty of Management Faculty of Management
institution	Universiti Teknologi Malaysia
collection	UTM Institutional Repository
language	English
topic	HD28 Management Industrial Management
spellingShingle	HD28 Management Industrial Management Hassan, Ibn E. Cluster initiative development process in Malaysian policy-led cluster
description	Cloning of successful clusters like Silicon Valley with the anticipation that externalities produced will make firms competitive and create a buzz for the whole cluster, resulted in an outbreak of clusters throughout Asia. However, the literature has not adequately addressed whether and how cluster initiatives or cluster programs are developed in policy–led clusters, a cluster built from the scratch by the government. Traditionally, the cluster literature has focused on the spontaneous cluster rather than policy-led clusters. In fact, cluster initiatives, which are the organized actions to enhance the competitiveness of clusters, have recently gained the attention of researchers. The eminent researchers recommend that the success of initiatives depends on the effective cluster organization, public-private collaboration and firms‘ active role in the cluster governance. In response to the scarcity of cluster literature on these dimensions and dearth of scholarly work about the policy-led clusters, this research attempts to generate fresh insights into how cluster initiatives are developed in policy-led clusters. Multimedia Super Corridor (MSC), as a case study was selected for two key reasons. Firstly, it fits in the definition of a policy-led industrial cluster, and secondly, a plethora of initiatives is offered to the firms located in this cluster. An interpretivist paradigm with an embedded single-case study using Modified Delphi method and in-depth interviews were conducted to get the views of 13 experts and 17 informants from MSC firms and Multimedia Development Corporation (MDeC). The data analyzed generated qualitative themes. It was found that the cluster faced a myriad of challenges namely: firm‘s dependence on government support, bureaucracy, talent mobility, lack of interest of venture capitalists, lack of inter-firm collaborations and knowledge sharing, lack of trust, as well as absence of clusterpreneur and quality workforce. Moreover, the developmental state model of governance practiced in Malaysia over the years had been instrumental at the beginning of the cluster‘s life cycle. Admittedly, but at this stage of the cluster life cycle, there is a need to activate social cohesion and innovation related collaboration among the firms. This research recommends that MDeC must adopt administrative decentralization because of the diminished capacity of the bureaucrats in the face of high-end technology development, and to effectively utilize the strategic knowledge through collaboration and sharing as well as engagement with companies located in the MSC. The originality of the research lies in the proposed framework of a collaborative regime based on negotiated and synergistic public–private alliance for cluster initiative development
format	Thesis
qualification_name	Doctor of Philosophy (PhD.)
qualification_level	Doctorate
author	Hassan, Ibn E.
author_facet	Hassan, Ibn E.
author_sort	Hassan, Ibn E.
title	Cluster initiative development process in Malaysian policy-led cluster
title_short	Cluster initiative development process in Malaysian policy-led cluster
title_full	Cluster initiative development process in Malaysian policy-led cluster
title_fullStr	Cluster initiative development process in Malaysian policy-led cluster
title_full_unstemmed	Cluster initiative development process in Malaysian policy-led cluster
title_sort	cluster initiative development process in malaysian policy-led cluster
granting_institution	Universiti Teknologi Malaysia, Faculty of Management
granting_department	Faculty of Management
publishDate	2013
url	http://eprints.utm.my/id/eprint/38990/5/Ibn-E-HassanPFPPSM2013.pdf
_version_	1747816536298487808

Cluster initiative development process in Malaysian policy-led cluster

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