Success Factors for Internationalisation

of Clusters

Dr. Gerd Meier zu Köcker

Berlin, 18th September 2014

www.bmwi.de

If policy makers insist

If it is a mandatory part of funding rules

Only because of funding

If products or technologies are not competitive

If cluster participants do not have capacities to internationalise

If the cluster management does not have the mandate to

internationalise

If the cluster does not have any idea or strategy where and why to

internationalise

Reasons Not to Internationalise

2

Reasons Why to Internationalise

To increase growth and profit of cluster participants

If transnational cooperation provides more added value than

regional cooperation

To enter new markets or acquiring new customers

To tackle new value chains

To acquire knowledge or competences not available among

cluster participants

To share risks (R&D, projects, investments etc.)

To reduce costs (e. g. production is cheaper abroad)

To increase visibility and become more attractive

3

Internationalisation of Clusters…

… is more than business trips and trade fairs

… is more than only export promotions

… is a tool, not a target

… takes a long time to success

… varies significantly between clusters

4

Kinds of Internationalisation of Clusters

Trend scouting

Products, technologies

Markets, consumer behaviour etc.

Export promotion

R&D cooperation

Joint product development

Incl. adaptive development

Acquisition of know-how, technologies

Strategic partnerships

Joint venture

Foreign branch

Foreign production facilities

5

Geographical Priorities of Activities

of Clusters from Selected Countries

0 %

10 %

20 %

30 %

40 %

50 %

60 %

Regional

NationalInternational

Spain France Germany Norway Denmark

6

© ESCA 2013, data from 2012

Success Factors for Making

Business in Korea

7 © VDI/VDE-IT, 2011, Survey among 150 German SMEs

Higher impact on business

activities of cluster

participants when cluster

management is responsible

for internationalisation

Some Success Factors

Transnational, cross-sectoral

co-operation is still a challenge

Meier zu Köcker et al., 2011, http://www.tci-network.org/news/314

8

Failure Factors

Meier zu Köcker et al., 2011, http://www.tci-network.org/news/314

9

10 Key Success Factors

Internationalisation strategy developed with cluster participants

Cluster management is responsible for internationalisation

Competitive products, technologies (and companies)

Cluster actors are willing and able to invest

Innovative services offered by the cluster management

International experience of cluster management team

Good knowledge of international cluster landscape

Public support schemes (e. g. funding schemes)

Involvement of other key actors (export promotion agencies, Foreign

Chamber of Commerce etc.)

Patience…

10

Communication of the upcoming strategy process among the cluster

participants

Selection of stakeholders and cluster actors to be involved

SWOT analysis/analysis of the current demand status and

future expectations

Creativity workshops with cluster actors and stakeholders

Additional interviews with selected cluster actors

Deduction of strategic objectives and operational targets

Identification of main action fields

Prioritisation of actions and services

Discussion of approach with cluster actors and stakeholders

Agreement on action plan for development and implementation of services

10 Steps Towards an

Internationalisation Strategy

11

Cross-Sectoral

Cooperation is Still an Issue

Technologies and industries are more and more

converging;

Key driver: industrial transformation processes

Cluster and cluster management must cope with this

challenge

12

Prevailing Services of Cluster Organisations

in the Context of Internationalisation

0

1

2

3

4

Availability of print/webinformation in foreign languages

Participation of the clustermanagement in trade fairs /

conferences abroad with ownbooth to present the cluster and

its participants

Other activities by the clustermanagement for intensifyinginternational contacts and co-

operations with foreign partnersor clusters

Offices or other permanentrepresentations of the cluster

abroad

Acquisition of international R&Dprojects that were mainly initiated

by the cluster management

Other services/activities

Spain France Germany

Norway Denmark

© ESCA 2013, data from 2012 13

Current Trends

14

Internationalisation

– The Ideal Case –

Sustainable

strategic

partnerships

Looking for

external partners

Among cluster

actors

15

Internationalisation

– The Ideal Case –

Sources: gerber and Limmatdruck Zeiler

16

International Cleantech Network (ICN) is a global strategic cluster partnership

Alliance of 16 cluster organisations from

Africa, Asia, Europe and North America

Initiated and managed by “Clean – Connecting Danish Cleantech”

Based on a joint strategy

to enhance knowledge-sharing between businesses, knowledge institutions and local authorities,

to improve collaboration between the regions in which the clusters are located,

to increase visibility to attract talents,

to facilitate identifying of partners for R&D projects or business, and

to provide market insights and assistance for internationalisation.

From International Networking

Towards Strategic Partnerships

17

Traditional approaches and key success factors

for cluster internationalisation are not sufficient

to address upcoming industrial needs

for internationalisation.

Summary

18

Dr. Gerd Meier zu Köcker

VDI/VDE Innovation + Technik GmbH

Steinplatz 1

10623 Berlin

E-Mail: mzk@vdivde-it.de

Tel.: +49 30 310078-118

Fax: +49 30 310078-222

Contact

19