Ақпарат министрлігінде тіркелген
1996 жылдан бастап шыға бастады
Тіркелу куəлігі
№7700-Ж
25.09.2006 ж. берілген
ISSN 2224 – 5561
«Т. Рысқұлов атындағы Қазақ экономикалық университеті» АҚ
«Т. РЫСҚҰЛОВ АТЫНДАҒЫ ҚАЗАҚ ЭКОНОМИКАЛЫҚ УНИВЕРСИТЕТІ» АҚ ҒЫЛЫМИ-ҚОҒАМДЫҚ ЖУРНАЛЫ (Алматы қаласы)
«Т. Рысқұлов атындағы Қазақ экономикалық университеті» АҚ
«ҚазЭУ хабаршысы» – «Вестник КазЭУ» ғылыми-редакциялық кеңесі
С.А. Святов – төраға, Т. Рысқұлов атындағы ҚазЭУ-дің ректоры, э.ғ.д., профессор С.С. Таменова – төраға орынбасары, ғылым жөніндегі проректор, э.ғ.к., профессор М.Н. Аманбаев – бірінші проректор, PhD докторы, профессор
С.С. Арыстанбаева – бірінші проректор – оқу ісі жөніндегі проректор, э.ғ.д., профессор С.А. Аханов – Қазақстан қаржыгерлері ассоциациясының төрағасы,
э.ғ.д., профессор
О.Б. Баймұратов – Т. Рысқұлов атындағы ҚазЭУ жанындағы ҚБМ ҒЗИ директоры, ҚР ҰҒА академигі, э.ғ.д., профессор
Қ.О. Оқаев – Т. Рысқұлов атындағы ҚазЭУ-дің «Экономика»
кафедрасының профессоры, э.ғ.д.
К.Б. Бердалиев – э.ғ.к., Т. Рысқұлов атындағы ҚазЭУ-дің «Менеджмент»
кафедрасының профессоры
Қ.Қ. Ілиясов – э.ғ.к., Т. Рысқұлов атындағы ҚазЭУ-дің «Қаржы»
кафедрасының профессоры
М.С. Тонкопий – г.-м.ғ.д., Т. Рысқұлов атындағы ҚазЭУ-дің «Табиғатты пайдалану экономикасы» кафедрасының профессоры
Ə.М. Жүнісов – тəрбие жəне қоғаммен байланыс жұмыстары жөніндегі проректор, п.ғ.д., профессор
Халықаралық кеңес
Ласло Ланг – Халықаралық бизнес мектебінің директоры (Будапешт), PhD, профессор Ако Ковато – Васэдо университеті (Жапония), PhD
А.В. Сидорович – Еуразиялық университеттер ассоциациясының атқарушы комитетінің төрағасы, э.ғ.д., профессор
А.И. Татаркин – Экономика институты Орал бөлімшесінің директоры, Ресей Ғылым Академиясының академигі
Редакциялық алқа
С.А. Святов – бас редактор, Т. Рысқұлов атындағы ҚазЭУ-дің ректоры, э.ғ.д., профессор
К.А. Хубиев – э.ғ.д., М.В. Ломоносов атындағы ММУ-дің «Экономика» факультетінің профессоры
Р.М. Нижегородцев – Ресей Ғылым Академиясы Басқару мəселелері институтының бас ғылыми қызметкері, э.ғ.д.
Chang Won Lee – Логос-Менеджмент Корей Ассоциациясының халықаралық қызметтер бойынша бас хатшысы
Р.С. Асейнов – МЭСИ Астрахан филиалының директоры, профессор Ласло Ваза – Szent Istvan университетінің профессоры
А.Н. Ряховская – э.ғ.д., РФ Үкіметі жанындағы Қаржы академиясының профессоры В.В. Герасименко – М.В. Ломоносов атындағы ММУ-дің «Маркетинг» кафедрасының
меңгерушісі, э.ғ.д., профессор
А.М. Сейітқазиева – Т. Рысқұлов атындағы ҚазЭУ жанындағы ХБМ директоры, э.ғ.д., профессор
С.Т. Міржақыпова – Т. Рысқұлов атындағы ҚазЭУ-дің «Бухгалтерлік есеп» кафедрасының меңгерушісі, э.ғ.д., профессор
Р.Ө. Рахметова – Т. Рысқұлов атындағы ҚазЭУ-дің «Қолданбалы математика»
кафедрасының меңгерушісі, э.ғ.д., профессор
Ұ.М. Искаков – Т. Рысқұлов атындағы ҚазЭУ-дің «Қаржы нарықтары жəне банктік бизнес»
кафедрасының профессоры, э.ғ.д.
С.Ж. Ынтықбаева – Т. Рысқұлов атындағы ҚазЭУ-дің «Қаржы» кафедрасының меңгерушісі, э.ғ.д., профессор
Т.С. Сатқалиева – Т. Рысқұлов атындағы ҚазЭУ-дің «Менеджмент» кафедрасының меңгерушісі, э.ғ.д., профессор
Е.М. Үпішев – Т. Рысқұлов атындағы ҚазЭУ-дің «Табиғатты пайдалану экономикасы»
кафедрасының профессоры, э.ғ.д.
Ұ.А. Текенов – Т. Рысқұлов атындағы ҚазЭУ-дің «Экономиканы мемлекеттік реттеу»
кафедрасының профессоры, э.ғ.д.
А.Ж. Сарсембаева – жауапты редактор, «Экономика» баспасы» ЖШС-нің бас директоры Ə.С. Биктеубаева – жауапты хатшы, ҒЗЖ ұйымдастыру бөлімінің бастығы, э.ғ.к.
в Министерстве информации Республики Казахстан
Издается с 1996 года Регистрационный
№7700-Ж Выдан 25.09.2006 г.
ISSN 2224 – 5561
АО «Казахский экономический
университет им. Т. Рыскулова»
НАУЧНО-ОБЩЕСТВЕННЫЙ ЖУРНАЛ АО «КАЗАХСКСКИЙ ЭКОНОМИЧЕСКИЙ
УНИВЕРСИТЕТ им. Т. РЫСКУЛОВА»
(город Алматы)
Научно-редакционный совет «ҚазЭУ хабаршысы» – «Вестник КазЭУ»
АО «Казахский экономический университет им. Т. Рыскулова»
С.А. Святов – председатель, ректор КазЭУ им. Т. Рыскулова, д.э.н., профессор С.С. Таменова – зам.председателя, проректор по науке, к.э.н., профессор
М.Н. Аманбаев – первый проректор, доктор PhD, профессор
С.С. Арыстанбаева – первый проректор – проректор по учебной работе, д.э.н., профессор С.А. Аханов – председатель Ассоциации финансистов Казахстана, д.э.н., профессор О.Б. Баймуратов – директор НИИ ФБМ при КазЭУ им. Т. Рыскулова,
академик НАН РК, д.э.н., профессор
К.О. Окаев – д.э.н., профессор кафедры «Экономика» КазЭУ им. Т. Рыскулова К.Б. Бердалиев – к.э.н., профессор кафедры «Менеджмент» КазЭУ им. Т. Рыскулова К.К. Илиясов – к.э.н., профессор кафедры «Финансы» КазЭУ им. Т. Рыскулова М.С. Тонкопий – д.г.-м.н., профессор кафедры «Экономика природопользования»
КазЭУ им. Т. Рыскулова
А.М. Жунусов – проректор по воспитательной работе и связям с общественностью, д.п.н., профессор
Международный совет
Ласло Ланг – Директор Международной школы бизнеса (Будапешт), PhD, профессор
Ако Ковато – Университет Васэдо (Япония), PhD
А.В. Сидорович – председатель исполкома Евразийской Ассоциации университетов, д.э.н., профессор
А.И. Татаркин – директор Уральского отделения Института экономики, академик РАН Редакционная коллегия
С.А. Святов – главный редактор, ректор КазЭУ им. Т. Рыскулова, д.э.н., профессор
К.А. Хубиев – д.э.н., профессор экономического факультета МГУ им. М.В. Ломоносова Р.М. Нижегородцев – главный научный сотрудник Института проблем управления РАН, д.э.н.
Chang Won Lee – генеральный секретарь по международным делам Корейской Ассоциации Логос-Менеджмент
Р.С. Асейнов – директор Астраханского филиала МЭСИ, профессор Ласло Ваза – профессор университета Szent Istvan
А.Н. Ряховская – д.э.н., профессор Финансовой академии при Правительстве РФ
В.В. Герасименко – завкафедрой «Маркетинг» МГУ им. М.В. Ломоносова, д.э.н., профессор А.М. Сейтказиева – директор МБШ при КазЭУ им. Т. Рыскулова, д.э.н., профессор
С.Т. Миржакыпова – завкафедрой «Бухгалтерский учет» КазЭУ им. Т. Рыскулова, д.э.н., профессор
Р.У. Рахметова – завкафедрой «Прикладная математика» КазЭУ им. Т. Рыскулова, д.э.н., профессор
У.М. Искаков – д.э.н., профессор кафедры «Финансовые рынки и банковский бизнес»
КазЭУ им. Т.Рыскулова
С.Ж. Интыкбаева – завкафедрой «Финансы» КазЭУ им. Т. Рыскулова, д.э.н., профессор Т.С. Саткалиева – завкафедрой «Менеджмент» КазЭУ им. Т. Рыскулова, д.э.н., профессор Е.М. Упушев – д.э.н., профессор кафедры «Экономика природопользования»
КазЭУ им. Т. Рыскулова
У.А. Текенов – д.э.н., профессор кафедры «Государственное регулирование экономики»
КазЭУ им. Т. Рыскулова
А.Ж. Сарсембаева – ответственный редактор, генеральный директор ТОО«Издательство
«Экономика»
А.С. Биктеубаева – ответственный секретарь, начальник отдела организации НИР, к.э.н.
in the Ministry of Information of the Republic of Kazakhstan
The journal has been published since 1996
Registration number 7700-Zh
issued September 25, 2006
ISSN 2224–5561
JSC "T. Ryskulov Kazakh Economic University"
SCIENTIFIC-PUBLIC JOURNAL JSC «T. RYSKULOV KAZAKH ECONOMIC UNIVERSITY»
(Almaty)
Scientifi c Editorial Board of «KazEU khabarshysy» – «Vestnik KazEU»
JSC «T. Ryskulov Kazakh Economic University»
S.A. Svyatov – Chairman, Rector of T. Ryskulov KazEU, Doctor of Economic Sciences, Professor S.S. Tamenova – Vice-Chairman, Vice-Rector for science, Candidate of Economic Sciences, Professor M.N. Amanbayev – First Vice-Rector, Doctor PhD, Professor
S.S. Arystanbayeva – First Vice-Rector for Academic Affairs, Doctor of Economic Sciences, Professor S.A. Akhanov – Chairman of Kazakhstan fi nanciers Association, Doctor of Economic Sciences, Professor O.B. Baimuratov – Director of T. Ryskulov KazEU Scientifi c Research Institute
of Financial and Banking Management, Academic of the National Academy of Sciences of the Republic of Kazakhstan
K.O. Okaev – Doctor of Economic Sciences, Professor of Economics Department of T. Ryskulov KazEU K.B. Berdaliev – Candidate of Economic Sciences, Professor of
Management Department of T. Ryskulov KazEU K.K. Iliassov – Candidate of Economic Sciences, Professor of Finance
Department of T. Ryskulov KazEU
M.S. Toncopy – Doctor of geological-mineralogical sciences,
Professor of Natural Resources Economics and Environmental Protection Department of T. Ryskulov KazEU
A.M. Zhunusov – Vice-Rector for educational work and public relations of T. Ryskulov KazEU, Doctor of Political Sciences, Professor
International Board
Laszlo Lang – Director of International business school (Budapest), PhD, Professor Akio Kavato – Professor of Vaseda University (Japan), PhD
A.V. Sidorovich – Chairman of the Board of the Eurasian Association of Universities, Doctor of Economic Sciences, Professor
A.I. Tatarkin – Director of Ural Branch Economic institute, Academic of Russian Academy of Science
S.S. Tamenova – Vice-Chairman, Vice-Rector for science of T. Ryskulov KazEU, Candidate of Economic Sciences, Professor
K.A. Khubiev – Doctor of Economic Sciences, Professor of Economics Faculty of Moscow State University named after M.V. Lomonosov R.M. Nizhegorodcev – senior Researcher of Institute of Problem Management,
Russian Academy of Science, Doctor of Economic Sciences Chang Won Lee – General Secretary for International Affairs of Logos
Management Korean Association
P.A. Aseinov – Director of the Astrakhan branch of MESI, Professor Laszlo Vasa – Professor of Szent Istvan University
A.N. Ryakhovskaya – Doctor of Economic Sciences, Professor, Finance Academy under the Government of the Russian Federation
B.B. Gerasimenko – Head of Marketing Department of M.V. Lomonosov Moscow State University, Doctor of Economic Sciences, Professor
A.M. Seitkaziyeva – Director of T. Ryskulov KazEU IBS, doctor of Economic Sciences, Professor S.T. Mirzhakipova – Head of Accounting and audit Department of T. Ryskulov KazEU,
Doctor of Economic Sciences, Professor
R.U. Rakhmetova – Head of Accounting mathematics Department of T. Ryskulov KazEU, Doctor of Economic Sciences, Professor
U.M. Iskakov – Doctor of Economic Sciences, Professor of Financial Markets and Banking business Department of T. Ryskulov KazEU
S.Zh. Intykbayeva – Head of Finance Department of T. Ryskulov KazEU, Doctor of Economic Sciences, Professor
T.A. Satkalieva – Head of Management Department of T. Ryskulov KazEU, Doctor of Economic Sciences, Professor
E.M. Upushev – Doctor of Economic Sciences, Professor of Natural Resources Economics and Environmental Protection Department of T. Ryskulov KazEU
U.A. Tekenov – Doctor of Economic Sciences, Professor of State regulation of the economy
Department of T. Ryskulov KazEU
A.Zh. Sarsembayeva – Executive editor, Director of LLP “Publishing house “Economics”
A.S. Bikteubaeva – Head of the organization of scientifi c research Department of T. Ryskulov KazEU, Candidate of Economic Sciences
СОДЕРЖАНИЕ ТЕОРИЯ ЖƏНЕ ƏДІСНАМА ТЕОРИЯ И МЕТОДОЛОГИЯ OĞUZ KORKMAZ, TUNÇ MEDENI, ERDAL AKDEVE
Clustering sector for innovation and competitiveness: case of textile
and clothing industries in Turkey and the world ... 9 А.Д. ҮМБЕТƏЛИЕВ
Аграрлық секторды дамытуда маркетингтің рөлін арттыру жолдары ... 23 А.Т. КОЙБАКОВА Современное состояние инновационного развития в Казахстане:
теоретическо-методологический аспект ... 32 К.И. НУРОВ
Общая теория управления как способ разрешения проблемы
теоре тических «джунглей менеджмента» ... 41 ИННОВАЦИЯЛЫҚ ЭКОНОМИКА
ИННОВАЦИОННАЯ ЭКОНОМИКА Ж.Б. РАХМЕТУЛИНА, Ш.Б. КУНАНБАЕВА
Өндірістік кəсіпорынның маркетингтік стратегиясын əзірлеу ... 48 А. МОЛЖИГИТОВА
Алматы облысында ауыл шаруашылық жерлерін пайдаланудың аймақтық ерекшеліктері ... 56 БИЗНЕС ЖƏНЕ КОРПОРАТИВТІК БАСҚАРУ
БИЗНЕС И КОРПОРАТИВНОЕ УПРАВЛЕНИЕ Н. КАБИЖАН
Интеграция личности в группу как фактор повышения эффективности совместной деятельности ... 67 Т. БОЛАТЖАНУЛЫ
Обзор современных подходов к управлению развитием компании ... 80 ҚАРЖЫ ЖƏНЕ ТАЛДАУ
ФИНАНСЫ И АНАЛИЗ А.Е. ИБРАШЕВА
Определяющие факторы формирования структуры капитала в системе финансового менеджмента ... 90 ҒАЛАМДАНДЫРУ ЖƏНЕ ҚАЗАҚСТАН
ГЛОБАЛИЗАЦИЯ И КАЗАХСТАН М.С. ТОНКОПИЙ, Б.Н. ДОСЖАН
Проблемы и перспективы прикаспийского нефтегазового комплекса ... 99 Е.М. УПУШЕВ
«Зелёная экономика» – будущее развитие Казахстана ... 107 ҒЫЛЫМИ ӨМІР
НАУЧНАЯ ЖИЗНЬ НАУЧНО-ПРАКТИЧЕСКАЯ КОНФЕРЕНЦИЯ
«Повышение производительности труда – основа благосостояния нации» ... 117 КРУГЛЫЙ СТОЛ
«Риск-менеджмент и внутренний контроль в финансовых организациях: проблемы и новые подходы» ... 118
CONTENT
THEORY AND METHODOLOGY OĞUZ KORKMAZ, TUNÇ MEDENI, ERDAL AKDEVE
Clustering sector for innovation and competitiveness: case of textile and
clothing industries in Turkey and the world ... 9 UMBITALIEV A.D.
The ways to increase the role of marketing in the development of agricultural sector ... 23 KOIBAKOVA А.Т.
The modern condition of innovate development in Kazakhstan: theoretical and methodological aspect ... 32 NUROV K.I.
The general theory of management as a tool to solve the problem of theoretical “jungles of management” ... 41
INNOVATIVE ECONOMY RAKHMETULINA ZH.B., KUNANBAYEVА SH.B.
Development of a marketing strategy for industrial enterprise ... 48 MOLZIGITOVA A.
Regional features of using the agricultural lands in almaty region ... 56
BUSINESS AND CORPORATE MANAGEMENT KABIZHAN N.
Individual integration into the group as a factor of joint activity effi ciency ... 67 BOLATJANULY T.
Review of modern approaches to management of company development ... 80
FINANCE AND ANALYSIS IBRASHEVA A.E.
Factors determining capital structure in fi nancial management system ... 90
GLOBALIZATION AND KAZAKHSTAN TONKOPIY M.S., DOSZHAN B.N.
The problems and prospects of the caspian oil and gas sector ... 99 UPUSHEV E.M.
“Green” economy this is the future development of Kazakhstan ... 107
SCIENTIFIC LIFE THE SCIENTIFIC AND PRACTICAL CONFERENCE
on “Improving productivity is a basis of nation well-being” ... 117 ROUND TABLE DISCUSSION
on “Risk management and internal control in the fi nancial institutions: Problems and New Approaches” ... 118
JEL classifi cation: O1: Economic Development U.D.C. 330.3(1-67); 338.1(1-67); 339.97(1-67)
Oğuz Korkmaz, Dış Ticaret Müsteşarlığı,
METU, Turkey Tunç Medeni,
Yıldırım Beyazıt University, METU, Turkey Erdal Akdeve, Yıldırım Beyazıt University,
Turkey
CLUSTERING SECTOR FOR INNOVATION AND COMPETITIVENESS:
CASE OF TEXTILE AND CLOTHING INDUSTRIES IN TURKEY AND THE WORLD
Abstract
Purpose – to investigate the effects of clusters on competitiveness level in textile and clothing industries through carry out the evaluation throughout the world.
Methodology – statistical method, cause-and-effect analysis, a systematic approach, deduction, experiment.
Originality/value – brings fi rst and second hand data together to analyze the textile and clothing industries, underlying the increasing importance of clusters and new directions for innovation and competitiveness.
Findings – in research is underlined that technology intensity is playing a key role in terms of innova- tion and competitiveness of textile and clothing industries. Competitiveness, however, depends on not only investing in technology, research and development, but also performance of other industries such as chemical and machinery industries. This leads to the important role clusters play in terms of their contributions to the networking and technology transfer that lead to innovation and competitiveness.
Keywords – cluster, textile and clothing industries, technical textile, technology, innovation, networking.
1. Introduction
This paper is an attempt to examine the effects of clusters on competitiveness of textile and clothing indust- ries. To this end, fi rst of all, defi nitions, main characteristics and advantages of clusters will be mentioned so as to comprehend the frame of cluster. Secondly, after a brief account of cluster, international textile and clothing trade will be demonstrated extending to years in order to observe the trend of these sectors. Then, main chal- lenges of these industries that encountered will also be explained basically the effects of Agreement of Textile and Clothing. One reason is that this agreement conduces to transformation of these sectors expeditiously in terms of restructuring, modernization and technological progress. In this regard, terms of technology and innovation are playing crucial role in order to retain and/or enhance competitiveness. So as to comprehend this issue, role of technology and innovation in textile and clothing industries will be analysed by exploring technical textile and its application areas. On the other hand, because of the fact that textile and clothing industries have strong relations with other industries, competitiveness of textile and clothing industries depends on performance of other related sectors. In this frame, importance of clusters on textile and clothing industries will be discussed and what ways of textile and clothing clusters can contribute the competitiveness and performance of these sectors. Finally, some textile and clothing clusters will be selected to carry out the comparison throughout the world and some policy recommendations will be shared by using these clusters’ weaknesses and strengths.
Our research is based upon review of available literature on clusters, benefi ting from co-authors’ academic knowledge, as well as sector analysis of available data such as on foreign trade and specifi c cases, relying upon some of co-authors’ practical expertise in the fi eld. The paper reaches interesting outcomes such as showing textile and
clothing industries that are conventionally known as to be labour-intensive are increasingly becoming technology- intensive to remain innovative and competitive. More importantly, it is shown that, competitiveness relies not only on investing in technology, research and development, but also on performance of other industries from a cluster- ing point of view, underlying the important roles clusters play in terms of their contributions to the networking, technology transferring, dissemination and diffusion of knowledge, leading to innovation and competitiveness.
2. Literature Review 2.1. Clustering Review
Speeding up since 1990s, globalization has infl uenced the world economy in different ways such as the integration of production process across international borders thanks to dissemination of knowledge and tech- nological developments in communication (Edgar 2000) In the changing world, together with the globaliza- tion initiatives, regionalization initiatives that support globalization has also emerged. Especially, in recent years the increase in regional clusters and innovation systems, which start to hold an important place in world economy, is an essential indicator for regionalization. (Isaksen, 2001)
Region-specifi c characteristics, defi ned as rare and region-specifi c productive resources and assets, and emphasized one century ago by Marshall (1920) have a rising impact on economy literature and regional de- velopment. . (Piore and Sabel, 1984; Cooke, 2001; Scott, 1992; Storper, 1997). New concepts such as clusters, technologic regions, innovative environment, learning regions, regional innovation systems defi ne the newly de- veloped theoretical and empirical constructs for industrial development and regional economies. (Doloreux, 2002).
Porter (1990) makes the cluster concept more comprehensible and benefi ts from clusters to explain com- petitiveness of countries. Cluster provides a new organizational structure thanks to development of competi- tiveness and collaboration, accordingly integration of collaboration and competition in different scale and with different actors is its most important feature. These actors, companies and institutions consist of expert ven- dors, specialised infrastructure, other input and service providers, customers, universities, regulatory agencies, think-tanks, education providers, commerce unions, specialised training, research, knowledge and technical support institutions, among others. (Porter 1998a)
After Porter’s (1998a) defi nition, researches tried to adopt more descriptive and comprised defi nition for cluster. For instance, Hill and Brennan’s (2000) defi nition summarizes some critical characteristics of cluster, defi ning it as a geographic concentration of competitive fi rms or establishments in the same industry that have either have close buy-sell relationships with other industries in the region, use common technology or share a specialized labour pool. As another example, Roelandt and Hertog (1999) defi ne the cluster as networks of production of strongly interdependent fi rms related to each other in a value-adding production chain, empha- sizing the value-adding production chain.
Moreover, Morosini (2004) highlights the importance of social dimension of cluster as a socio economic entity characterized by a social community of people and a population of economic agents localized in close proximity in a specifi c geographic region. Its natural quality and strength to integrate the social community and the economic agents in economically linked activities is the most signifi cant feature of cluster. Cluster actors share and nurture a common stock of product, technology and organizational knowledge in order to generate superior products and services in the marketplace. Morosini (2004) then clarifi es the economic activities of cluster based on three broad factors.
− First group of factors are mostly shaped by the external characteristic of fi rms, such as customers, product markets and also the macro-level demographical and legal framework, which governed these customers and markets.
− Second group of factors generally are shaped by the internal characteristics of fi rms, such as, resources, processes and capabilities.
− Third group of factors are governed by social approaches to learning, accumulating knowledge, creating a sense of identity and cultural behaviour.
Cooke (2001) adopts more descriptive and comprised defi nition for clusters. Accordingly, cluster is geo- graphically proximate fi rms in vertical and horizontal relationships involving a localized enterprise support infrastructure with a shared developmental vision for business growth, based on competition and cooperation
in a specifi c market fi eld. Cooke’s (2001) defi nition is an integration of Porter’s (1998a) inclusion of vertical relationships and horizontal relationships between fi rms and institutions, and the importance and inclusion of common identity (Forsman and Solidanter, 2003).
While literature displays a wide variety of cluster defi nitions, Öz (2004) suggests that in many of the defi - nitions provided in the literature, clusters are implicitly seen as dynamic, successful and competitive. Bekar and Lipsey (2001) then summarize the characteristics that are common in most defi nitions of clusters such as
− having a geographic element, often taking the form of an urban agglomeration, while some extend beyond urban areas and regions, sometimes spreading over national boundaries,
− being concentrations of fi rms with strong formal and informal linkages among themselves and to other institutions such as local universities, government research labs and other units in the supporting tech- nological and business infrastructures.
− being the larger the cluster is, the more it is able to supply its own demand for critical intermediate inputs.
2.2. Competitive Advantages of Clusters
In today’s more dynamic competition, businesses can compensate for disadvantages with respect to the costs of factors of production, using global procurement. Meanwhile the age-old idea of competitive capacity loses its importance (Arndt and Sternberg, 2000). From another perspective, competitive capacity is now based on the effective use of inputs, which requires constant innovation. Regional clusters of inter- dependent businesses and institutions create new knowledge, technologies and investments in physically as well as socially-specialized infrastructures, which support continual improvement in business competitiveness (Arndt and Stenberg, 2000). Moreover, Porter (1998a) suggests that in the last two decades the meaning of competition has been dramatically changed. Due to development of modern and fl exible technologies, which are less sensitive to scale than previous ones, the infl uence of economies of scale as a main measurement for competition per se diminishes. Modern competition depends on productivity, not on access to inputs or the scale of individual enterprises (Porter, 1998a).
Geographical, cultural or institutional proximity let to form closer relationships, special access, transfe- rable information and powerful incentives for productivity and innovation that are diffi cult to tap from a dis- tance, serving to generate many of the productivity and innovation benefi ts that result from clustering. Reduc- tion of transaction costs, improvement of information creation and separation, effective form for local institu- tions, generation of cooperation and competition are among these benefi ts, as summarized by Porter (1998b).
The other point mentioned by Porter (1998b) is that clusters not only account for a major share of economy of a geographic area, they also have an overwhelming share of the economic activity that is “exported” to other locations. Clusters also contribute to competition between fi rms located in the same cluster. Competition oc- curs as a result of geographical concentration, because spatial proximity facilitates monitoring the other fi rms.
Lopez (2000), furthermore, states that the competitiveness is a dynamic process rather than being static.
Accordingly, because of the changes in economic conditions, knowledge production, distribution and acquisition became key resources in order to create competitiveness. Porter (1998a) emphasizes the same dynamic feature of competition and he adds that fi rms can decrease many input cost’s disadvantages through global sourcing, but competitive advantage rests on making more productive inputs, which requires continual innovation.
Newland (2003) also distinguishes the competition as weak competition and strong competition. Weak competition involves the search for lower costs means of producing existing good with existing technology.
Strong competition is a strategy that involves the creation of new goods of new technologies to produce existing goods. Strong competition facilitates the innovative activity of economic actors
According to Carbonara (2004), the competitiveness of geographical clusters can then be considered to be the outcome of their innovative capabilities. In industrial districts, economic actors’ individual actions infl uence the outcomes for all parties involved, information is easily dispersed and social trust mechanisms play an important role in ensuring cooperative behaviour (Oba and Semerciöz, 2005).
The sophistication with which companies compete in a particular location, however, is strongly infl uenced by the quality of the local business environment. Companies cannot employ advanced logistical techniques, for example, without a high-quality transportation infrastructure. Nor can companies effectively compete on sophisticated service without well educated employees (Porter, 1998a).
According to Schmitz (2000), Porter (1990, 1998a) gives little attention to cooperation. However, Feser and Bergman (1999) state that one of the predominant themes in the cluster literature is “cooperative compe- tition”. The notion that the most competitive fi rms fi nd ways to work together even they goes head to head in the development of new products. The interaction of competitive and cooperative attitudes in cluster has been identifi ed as an important element of cluster dynamics (Schmitz, 2000; Pyke et al., 1992; Altenburg and Meyer-Stamer, 1999; Scott, 1988). Firms minimize risks and maximize their competitive position by regulating their cooperation that is based on trust and similar interests (Feser and Bergman, 1999). Schmitz (2000) claims that the clustering enterprises have stepped up local cooperation in response to the new competition pressure and also enterprises, which have increased cooperation, are performing better than those, which have not.
If a fi rm is integrated into a network consisting of customers, suppliers, competitors, service providers and research institutions, fi rm would feel a competitive pressure. Furthermore, integration into such a network provides the resources necessary for development, production. Therefore, the inter-fi rm relationships that are derived from cooperation and competition of geographically concentrated fi rms have to be analyzed extensively.
3. Textile and Clothing Industries in the World and Turkey
It has been observed that competitive textile and clothing industries are basically clustered throughout the world. Since the textile and clothing industries have been experiencing in terms of technological changes, emergence of new important competitors and the termination of import quotas, clustering policy within textile and clothing sectors has gained more importance from the last decade. On the other hand, exploring the textile and clothing producing and exporting countries and their positions perspective from characteristics of them and their global trade data is to lead us valuing signifi cance of these sectors and their future.
In general, textile and clothing industries get involved with each other. Yet, contrary to common belief, textile sector is much more capital intensive than the clothing sector. And, textile industry is highly automated especially in developed countries. In this regard, when the most leading textile exporters are analyzed, three developed countries are observed in the fi rst fi ve countries namely USA, Germany and Italy. On the other hand, in clothing industry just two developed countries rank among top fi ve. (Table 1-2) [2].
On the other hand, the textile and clothing industries in Turkish economy are being taken a signifi cant place. These sectors contribute substantially to country’s GDP, exports as well as employment. Yet, when comparing these industries with other sectors, textile and clothing exports share have been decreasing be- cause of the fact that other more value added sectors have more dramatically grown for last years. In fact, due to the quality, fashion and value added products in textile and clothing industries have come to forefront and Turkey’s specifi c advantages like geographic location in other words proximity to Europe market and emer g ing countries, and know how, Turkish textile and clothing industries have been transforming its produc- tion characteristics and trying to advance its stage. As a consequence of that, these sectors are playing key role for Turkish economy even if their market share has lessened.
As can be seen in below table 1, Turkey’s textile export increased to 9,5 billion dollars in 2010, with the share of 3,2 percent in global textile market.
Table 1 – Leading textile exporters (1000 $)
Country 2009 2010 2010/09 Change % 2010 Share %
1 CHINA 60.850.105 78.461.898 28,9 26,6
2 USA 14.841.747 19.603.913 32,1 6,6
3 INDIA 10.600.906 16.523.735 55,9 5,6
4 GERMANY 14.911.886 15.951.670 7,0 5,4
5 ITALY 12.260.916 13.374.305 9,1 4,5
6 S. KOREA 10.159.978 12.297.811 21,0 4,2
7 H.KONG 10.069.782 11.417.529 13,4 3,9
8 TAIWAN 8.625.521 10.478.927 21,5 3,5
9 TURKEY 8.096.967 9.462.278 16,9 3,2
10 JAPAN 7.050.872 8.225.585 16,7 2,8
OTHER 83.501.728 99.651.602 19,3 33,7
TOTAL 240.970.408 295.449.253 22,6 100,0
Source: un, Trademap
International textile trade has a market share, representing 295,5 billion US dollars in 2010. China is the fi rst leading textile exporter in the world, and its share constitute more than quarter of total trade volume.
Another important point that can be seen that developed countries have still important role and impact on this industry due to huge productivity gains through innovations [3].
Table 2 – Leading clothing exporters (1000 $)
Country 2009
1 CHINA 100.479.290 121.072.411 20,5 34,2
2 H. KONG 21.796.434 22.883.525 5,0 6,5
3 ITALY 18.479.834 18.504.669 0,1 5,2
4 GERMANY 16.438.899 16.944.095 3,1 4,8
5 BANGLADESH 14.197.010 16.559.132 16,6 4,7
6 TURKEY 11.222.803 12.381.644 10,3 3,5
7 VIETNAM 8.329.058 11.042.764 32,6 3,1
8 INDIA 11.312.016 10.604.029 -6,3 3,0
9 FRANCE 9.316.949 9.220.747 -1,0 2,6
10 SPAIN 7.346.016 7.449.752 1,4 2,1
OTHER 98.278.037 107.139.219 9,0 30,3
TOTAL 317.196.346 353.801.987 11,5 100,0
Source: un, Trademap
International clothing trade has increased by 11,5% to 353,8 billion US dollars in 2009. China is again the fi rst leading clothing exporter, representing 34,2% of total world clothing export. On the other hand, contrary to textile trade, developing and less developed countries come to forefront as a result of structure of this sector which is characterized by mainly labour intensive processes. And when clothing exports of Turkey analyzed, Turkey is the 6th leading exporter in 2010 with the share of 3.5 in global clothing market.
To sum up, textile and clothing industries have a crucial role in the international trade (Table 3) and employment. But, it is diffi cult to obtain the employment data due to high level of informality in these sectors.
As a consequence of that, international trade data which is the most dependable source of these sectors has been displayed for this study, as well.
Table 3 – World exports of textile and clothing, 2004-10
2004 2005 2006 2007 2008 2009 2010
Textiles and clothing export values (US$) billion 481,0 511,6 561,6 623,6 650,8 558,2 649,3
Percentage of world exports 5.29 4,92 4.66 4.5 4.07 4.53 4,32
Percentage change from previous year 6.36 9.77 11.04 4.36 -14.23 16,32
Source: un, Trademap
3.1. The Agreement of Textile and Clothing
The Agreement of Textile and Clothing (ATC) was one of the signifi cant issues for textile and cloth- ing industries. All restrictions terminated on 1 January 2005. The expiry of the ten-year transition period of ATC implementation means that trade in textile and clothing products cannot be implemented under a special regime or any quotas [4]. Due to the abolition of the quota system, structures of these sectors began to change. Especially, export of countries such as China has increased by 21%, as the largest increase among the suppliers. Also textile and clothing export from India, Indonesia, Turkey and Thailand increased by 19%, 12%, 7% and 5% respectively in 2005. In the following two years fi rst two countries that including Turkey the growth rate of exports slowed down, in the last two countries rate of exports reached 17% and 7% respectively in 2007 [5].
Figure 1, 2, 3, 4 – textile and clothing market shares of countries between 2004 and 2010
Source: own calculations based on Trademap
When the difference between the market shares of these two sectors between 2004 (before ATC) and 2010, China is seen the most benefi ciary country thanks to elimination of quotas. Textile and clothing producers have moved their companies and establishments to low cost countries in order to increase their profi tability and enhance their competitiveness.
Less developed countries have an advantage as a result of low wages. Since labour cost can account for up to 60% of total production cost, these countries can increase their production and export volume without R&D or innovation [6]. On the other hand, this is not sustainable advantage for developing and developed countries in order to maintain their trade performance of these sectors.
New competitors have emerged due to this agreement (ATC). And, enhancing competition has made other countries having diffi culties in terms of trade performance and had to found alternative ways in order to protect or increase their market share. In this regard the importance of quality, R&D, technology, innovation, as well as de- sign and fashion is unquestionable reality to enable fi nding new alternative ways which will be elaborated further.
4. Clustering Effect and Role of Technological Innovation in Textile and Clothing Industries:
Technological improvement has had different impacts on textile and clothing industries. While enormous productivity gains have been accomplished in terms of technology and innovation in textile sector, clothing sector has acquired diversifi ed improvements. The competitiveness of clothing industry is linked to mostly low labour costs which still enable countries a competitive edge in this industry. On the other hand, the situa- tion is becoming more sophisticated; since time factors now play a far more signifi cant role in determining competitiveness in these fashion-oriented and time sensitive markets. In fact, minimizing time to market and replenishment lead times is crucial factor for particularly among brand owners and retailers who have a fast fashion philosophy and offer collections with short product life cycles.
For instance, typical lead times for shipping by sea from China to Europe range from around six to eight weeks. But delivery lead times from Turkey or North Africa to Europe are typically only eight to ten days, depending on how much of the route is by sea and how much is by truck. Furthermore, lead times to Western Europe from East European countries, such as Romania, are typically six to eight days [7].
Therefore, demand for high fashion clothing tends to be more unstable and unpredictable, and thus the supply chain must be more fl exible to enable producers to respond on the basis of shorter lead times. Fashion clothing is characterized by greater volatility and uncertainty in demand. An agile supply chain is better able to ensure high levels of availability for fashion clothing [8].
In this regard, western textile and clothing manufacturers started to recognize that competitiveness is dri- ven by technology, innovation, design, marketing and logistic capabilities. Therefore, they have transformed their business model into ones focused on investing in technology and innovation and developing the brand in terms of design, innovation and marketing [9].
However, so as to enhance or remain competitiveness in textile industry, developing and developed count- ries have to invest in technology through either product and process innovations. In this regard, technical tex- tile is playing a key role to satisfy this demand from the various perspectives.
It is widely accepted the defi nition of technical textile adopted following defi nition by The Textile Insti- tute: “technical textiles are those textile materials and products manufactured primarily for their technical and performance properties rather than their aesthetic or decorative characteristics” [10].
DEFINITIONS APPLICATION AREAS
Agrotech Agriculture, forestry, horticulture and landscape gardening
Buildtech Membrane and road construction, solid structure, earthworks, hydraulic eng.
Clothtech Shoe and clothing manufacture
Geotech Road, dam and waste site construction, civil engineering Hometech Manufacture of furniture, upholstery, fl oor coverings and carpets Indutech Mechanical engineering and for the chemical and electrical industries Medtech Medical and hygiene products
Mobiltech Ship and aircraft construction, automobile, railway and space travel Pachtech Packaging, covering and transportation
Protech Personal and property protection Sportech World of sport and leisure
Ecotech Environmental protection, waste disposal and recycling
Messe Frankfurt, which is fair organization company, classifi ed the technical textiles in terms of their areas of application. And also it is the most comprehensible and accepted classifi cation throughout the world.
Following is the table that provides these application areas based classifi cation:
As can be seen above, application areas of technical textile is defi nitely comprehensible and its content has been broadening constantly as a result of exploring new types of usages. Technical textiles have started to constitute great market share of textile and clothing industries with high level of growth rate in the last years.
It is seen that the technical textiles is the most dynamic and the most promising areas of the textile industry.
As the days go on, new products, new processes, new tools are presented to markets. And this sector has various application areas in terms of usage. Also, technical textiles have huge potential due to exploring of new products, meeting new demands and substituting conventional products. As a result of that, it is expected that this market will grow faster than ordinary textile products in point of both totally and sub groups.
On the other hand, technical textile is accordingly more known as an intermediate sector. Therefore, de- velopment of this sector depends on development and demands of construction, transportation, agriculture, medical, automobile industries, etc. In this respect, technical textile is expected to grow at approximately twice the rate of textiles for the clothing industry [3].
When the countries that produce and consume technical textile are analyzed, North America, Western Europe come to the forefront. In these countries, share of the technical textile in textile and clothing industries is very high and its share increases exponentially. Meanwhile, thanks to the low level labour cost within total expenditure, the necessity of high level research and development and the requirement of capital intensive, less developed and developing countries receive fewer shares in technical textile market than in textile and clothing industries. Due to investing in research and development, new products, new processes, developed countries are still leading exporters in textile and clothing sectors. Furthermore, because of the fact that textile industry is related other industries, it is not suffi cient that textile industry remain competitive but also other related industries have to cooperate with textile and clothing sectors.
4.1. Importance of Clusters on Technology Intensive Textile and Clothing Industries:
It is emphasized that technology intensity is playing a key role in terms of competitiveness of textile and clothing industries. However, competitiveness not only depends on investing in technology, research and development, but also depends on performance of other industries, basically chemical and machinery indus- tries. As a consequence of that, new materials are mainly developed in the chemical industry, and new pro- cesses are developed in the machinery industry [3].
Table 4 – R&D specialization and trade performance of textile and clothing
R&D specialization Change in comparative advantage
Belgium 1,44 4
Canada Denmark Finland France Germany Ireland Japan Korea Netherlands Norway Spain Sweden United Kingdom United States
1,21 1,6 1,17 2,25 1,21 1,15 1,26 1,73 1,79 2,5 5,71 0,52 1,29 0,85
50 -13 -22 -17 -5 -61 -65 -4 -2 -11
23 28 -47 -45
Notes: The R&D specialization is the ratio of percentage change in t&c R&D intensity shares between 2000 and 1999 to same ratio for total manufacturing. Change in comparative advantages is measures by the difference between the RCA coeffi cient of 2001 and 1991.
Source: OECD
According to research done by OECD, presented refer in table 4 above, Spain has increased R&D spe- cialization and also enhanced its trade performance in textile and clothing industries measured by Revealed Comparative Advantage (RCA) model. However, despite of the fact that Sweden has increased its trade per- formance, the R&D intensity of textile and clothing has lessened. While, Norway and France have improved their R&D specialization, their trade performance has declined. In this regard, there is no important correlation between the increase in R&D and trade performance for countries included in this research. In connection with that, the increase in R&D specialization does not always result in the improvement of competitiveness on textile and clothing industry throughout the world.
The main reason of this weak relationship between R&D specialization and trade performance is the fact that most innovations in textile and clothing are generated in other industries. As mentioned above, chemical and machinery industries are playing the key role in order to stimulate innovation in textile and cloth- ing industries. As a consequence of that, competitiveness of textile and clothing sectors is subject to develop- ing new products and processes that are created in elsewhere. Hence, technology transfer is the driving force of innovative activities within textile and clothing industries.
In this regard, clusters should also be emphasized in terms of their contributions to the technology transfer- ring. Networking plays a key role so as to establish an effi cient cluster; in fact clusters differ from geographic agglomerations as a result of networking. Also, networking among cluster fi rms increases the dissemination and diffusion of knowledge that leads to innovation.
On the other hand, clusters have vast amount of participants that are engaged in textile and clothing indust- ries that are involved in other industries as well. Actually, textile and clothing clusters are effective when their fi rms have strong interactions between both textile and clothing industries and other related industries. With respect to this, a sample textile and clothing cluster is shown below fi gure 5.
As can be seen in below fi gure 5, this map of cluster concept meets demands for textile and clothing industries in terms of networking. Actually, it can be transformed in conjunction with backward and forward links of country or region with regards to textile and clothing industries. Yet, networking is especially essential for these industries. Hence, in the past, textile and clothing industries were continuing their lives without any relation between other sectors. But, today, the emergence of new types of tools, of new processing methods for new construction of textile and clothing products and also of new technologies for complex textile and multi- material products enable these industries to generate textile consumer goods as well as textiles for industrial and technical uses for new markets. Innovation activities, typically cross other, non-textile sectors, or target previously non-textile markets and increasingly lead to the establishment of cross-sector and cross-border networks and clusters [11].
Figure 5 – Map of South African Textile/Apparel Cluster Source: Porter, M. 2009; Textiles & Apparel Cluster in South Africa
Another feature of textile and clothing industries is that sector is dominated by Small and Medium Enterprises (SMEs). As a result of that, research and innovation activities do not have suffi cient resources in terms of human and knowledge, continuity and strategic direction. It fact, most textile and clothing fi rms do not employ R&D personnel or departments and do not allocate resources for R&D budgets. In this regard, the lack of fi nancial resources is a barrier against textile innovation. Hence, SMEs basically access to fi nance for innovation should be essentially stimulated. In order to meet these demands, clusters are playing the key role in order to enable SMEs needed support and access, while they can focus on their core business. Otherwise these fi rms are not able accomplish their goals on their own.
Clusters also enhance networking among SMES in textile and clothing industries at regional, national and international levels through strengthening the linkages and cooperation between fi rms and improving com- petitiveness level of SMEs. Thanks to strong networking, SMEs fi nd collaborative solutions for common prob- lems promptly. Hence, clusters enable SMEs to improve their productivity and fl exibility through reducing transaction costs and accessing to specialized workers. In this regard, fi rms within a cluster can reduce transaction costs thanks to proximity of related institutions and can shorten reaction times in order to respond demands.
Textile and clothing clusters for specialized, high value added textile products are an emerging trend in res ponse to the growing complexity of today’s market requirements for product design and development.
Members of such clusters combine their complementary core competencies, including highly specialized know ledge about new materials and new processing procedures and technologies, the detailed requirements of niche markets, privileged access to specialized distribution channels or the end user in order to develop, produce and market sophisticated products [12].
4.2. Selected Clustering Cases:
In order to comprehend what ways of textile and clothing clusters can contribute the competitiveness and performance of these sectors, some sector clusters selected to carry out the comparison throughout the world and some policy recommendations shared by using these clusters’ weaknesses and strengths.
The South Carolina Textile and Apparel Cluster, USA:
The Textile and Apparel Cluster is defi ned by a group of industries that include: the traditional textile and apparel sectors, direct supporting supply chain industries that provide key raw material suppliers and equipment, related wholesaling margin activities, and two emerging producers of textile/fi bre products. Indust- ries in this cluster are [13]:
Traditional Textiles and Apparel industries:
1. Textile Mills
2. Textile Mill Products 3. Apparel
Key raw material suppliers and equipment:
4. Cotton Farms 5. Cotton Gins
6. Noncellulosic Organic Fiber Manufacturing 7. Cellulosic Organic Fiber Manufacturing 8. Inorganic Dye and Pigment Manufacturing
9. Synthetic Organic Dye and Pigment Manufacturing 10. Textile Machinery
Wholesaling (margin activities only):
11. Piece Goods, Notions, and Other Dry Goods Merchant Wholesalers 12. Home Furnishings Merchant Wholesalers
13. Men’s and Boys’ Clothing and Furnishings Merchant Wholesalers
14. Women’s, Children’s, and Infants’ Clothing and Accessories Merchant Wholesalers and, Emerging producers of textile/fi ber products:
15. Surgical Appliances and Supplies Manufacturing 16. Motor Vehicle Seating and Interior Manufacturing
Some of these industries have been successful whereas others have experienced dramatic decreasing in exports, sales and employment. Yet, it is known that South Carolina appears to have a competitive advantage relative to the U.S. in fi ve subsectors of textile and apparel manufacturing and fi ve supporting sectors to the industry. These sectors are:
Textile and Apparel:
− Broad woven Fabric Mills
− Nonwoven Fabric Mills
− Knit Fabric mills
− Fabric Coating Mills
− Hosiery and Sock Mills Supporting Industries:
− Synthetic Dye and Pigment Manufacturing
− Motor Vehicle Seating and Interior Manufacturing
− Surgical Appliances and Supplies Manufacturing
− Home Furnishing Wholesalers
− Women’s Children’s Infants’ Clothing Wholesalers
When these competitive sectors analysed, it is obvious that technical textiles, complex textile and multi- material products come to forefront. And as a consequence of that the production of cross-sector products enables these sectors more competitive. On the other hand, traditional textile and apparel industries those depend on labour have to transform their sector structures. Because, low skill jobs have been better suited for low skill/low wage labour overseas and basically the elimination of quotas under the Agreement of Textile and Clothing in 2005 has accelerated the declining share of U.S. basic textile and apparel products in the market of The South Carolina Textile and Apparel Cluster goods [14].
The Cape Clothing and Textile Cluster, South Africa:
The Cape Clothing and Textile Cluster Initiative began in 2004, by coordinating national government, fi rms, and institutions for collaborations, the design industry, and universities. The main purposes of the cluster initiative are:
− to develop joint action among clothing companies to accomplish economies of scale not possible when they are in isolated, individually
− to enable knowledge improvement within the exchange of fi rm level specialization [15].
The initiative has established its activities in several areas: value chain alignment, human resource deve- lopment, and upgrading manufacturing. Through cooperation with retailers, companies can enhance the speed and quality of production. Through the cluster initiative, companies are also promotes to rise the value chain by working closely and interchangeably with research and development, fashion and design industry and develop- ing strategies to export value added products to developing countries.
Companies that are still active in this cluster have survived the tough competition in the domestic and foreign markets. Their aims to improve or stand competitive can be categorized into the following three types:
− Price competition: These low end companies compete mainly in cost minimization. They com- pete with cheap imported products in the domestic market by vertically integrating with modern containing products and mobilizing modern equipment [16]. They face severe challenges, however, given the relatively higher cost of labor in South Africa.
− Exporting high end product: These companies market high end products in international markets in developing and developed countries.
− Diversify to value added products: These companies diversify their goods and intensify innovative segments of the market. They collaborate with related industries, including chemical, machinery and medical industries, in South Africa to create value added innovative products.
On the other hand, due to the high labour cost in South Africa, it is very diffi cult to compete with low cost exporting countries on price. In spite of the fact that the government has started to generate cluster initia- tives, the coordination between suppliers, industries, competitors, employers, public and private sector has
not been suffi ciently effective. Yet, successful fi rms in this cluster have achieved to fi nd their niche markets and to produce value added goods. In this regard, The Cape Textile and Clothing Cluster should enhance its competitiveness by transforming the cluster to focus on high value added, niche segments.
So as to accomplish these purposes, this cluster and its actors should establish strong interrelations between each other and help different industry associations, research institutions, and government to coor- dinate more effectively. Since the lack of coordination is a problem in many aspects of the cluster-between suppliers, competitors, consumers, universities, research institutions, among others. Each actor in the cluster should enhance the coordination through joint initiatives. Companies should promote their relations between each other, so that they can collaborate more effectively to transform the cluster.
Tirupur Knitwear Cluster Tamil Nadu, India:
Tirupur Cluster map is being shown below Figure 6. The centre of this cluster is the production, which comprise approximately 6.250 fi rms specializing in clothing making, knitting, dyeing, fabric printing and other activities. As clearly shown in the map, the cluster has strong relations of institutions for collaboration. There are over 23 Trade and Industry Associations, 16 educational institutions, and 38 banks supporting the cluster.
Finally, the cluster is intervened by both the Central and State Government policies, such as environmental, manufacturing and trade policies [17].
On the other hand, there should be some recommendations to this cluster’s actors in order to enhance com- petitiveness of Tirupur textile and clothing fi rms. First of all, it is crucial that the central and state governments help to promote power, road and port infrastructures around Tirupur. Secondly, companies ought to diversify themselves in the quota free world, where international buyers have more choices to obtain knitwear products. It is recommended that companies should transform theirstrategies by competing on cost and instead focus on [18]:
− high value product design and development for international brand building,
− local branding for better outreach into domestic markets,
− greater customization,
− and higher product quality.
Firms need to focus on process innovation to manage these purposes without increasing cost.
While the cluster has a vast number of and specialized institutions for collaboration, these institutions should purpose to foster their effect on the functioning of the cluster. These institutions ought to help to generate a partnership between local universities, local companies to improve human capital and enhance specialization in high value added product design and development.
Figure 6 – Tirupur Knitwear Cluster Map [17]
5. Conclusion:
Textile and clothing industries are the important sectors thanks to their contribution to gross domestic product and employment especially for developing countries. On the other hand, it is widely accepted that the importance of these industries are known also by the developed countries. Yet, owing to the technological changes, emergence of new important competitors and the elimination of import quotas, to remain competitive in these industries is quite challenging. In order to cope with these challenges, structures and needs of this sec- tor must be determined correctly and comprehensively.
Low cost competitive strategy is not sustainable through years within textile and clothing industries due to the emergence of new low cost countries continuingly. In this regard, terms of technology and innovation are playing crucial role in order to retain and/or enhance competitiveness. Yet, it is not enough that only these industries do R&D or invest in innovation and technology. Because of the fact that textile and clothing in- dustries have strong relations with other industries, especially chemical and machinery industries. Therefore, competitiveness not only depends on investing in technology, research and development, but also performance of other these industries.
And although the textile and clothing industries can be considered to be mature, they both use techno- logical innovations that are largely generated in other industries, in chemicals and machinery. At this point, technology transfer between machinery and chemical suppliers and their users plays a crucial role in the per- formance of textile and clothing industries.
In this regard, clusters are playing signifi cant role for textile and clothing industries, due to the increasing productivity, effi ciency and fl exibility, facilitating commercialization, stimulating innovation, reaching economies of scale and strengthening the cooperation with other industries. In particular, because of the fact that these industries are dominated by SMEs and the necessity of collaboration and networking with other industries, the need of cluster is emerging more distinctly. To achieve this goal, governments ought to promote the process of technology transfer by using more effectively the opportunities provided by modern information and communication technologies for the dissemination of advanced technological knowledge.
References
1 Porter, M. (1990), The Competitive Advantage of Nations. Free Press.
2 Trademap, Trade statistics for international business development http://www.trademap.org/ [Ac- cessed 12.04.2012]
3 OECD (2004), A new world map in textiles and clothing.
4 Ofi ccial web-site of WTO: http://www.wto.org/english/tratop_e/texti_e/texti_e.htm 5 WTO, (2010) Report from the director general on trade related developments.
6 International competitiveness of Asian economies in the global apparel chain, International Journal 7 “Business and market analyses for global textile and clothing industri
![Figure 6 – Tirupur Knitwear Cluster Map [17]](https://thumb-ap.123doks.com/thumbv2/azdokorg/11407857.0/20.892.240.651.769.1095/figure-6-tirupur-knitwear-cluster-map-17.webp)
