Cluster Definitions

Michael Porter, Professor, Harvard Business School defines clusters as “geographically proximate group of interconnected companies and associated institutions in a particular field, linked by commonalities and complementarities. The geographic scope of clusters ranges from a region, a state, or even a single city to span nearby or neighbouring countries.”

Traded industries are those that concentrate in particular regions but sell products across regions and countries (Delgado, Bryden, & Zyontz). Examples of traded industries include apparel, automotive, textiles etc. In principle they can be located anywhere. But similar traded industries tend to locate in nearby locations. And as they grow beyond the needs of the local market, they are more sophisticated and hence productive. Local industries are those that are dispersed throughout the nation. Their presence in a particular region is generally proportional to the region’s size as they primarily serve the local market (Delgado, Bryden, & Zyontz). Examples of local industries are real estate services, hospitals, etc.

Regional economies are profiled on the mix of clusters, traded clusters are formed by grouping traded industries and likewise, the groups of local industries form local clusters.

TABLE 1: TRADED CLUSTERS
Cluster Code	Cluster Name	Cluster Code	Cluster Name
1	Aerospace Vehicles and Defense	27	Lighting and Electrical Equipment
2	Agricultural Products, Inputs and Services	28	Livestock Processing
3	Apparel	29	Marketing, Design, and Publishing
4	Automotive	30	Medical Devices
5	Biopharmaceuticals	31	Metal Mining
6	Business Services	32	Metalworking Technology
7	Coal Mining	33	Music and Sound Recording
8	Communications Equipment and Services	34	Nonmetal Mining
9	Construction Products and Services	35	Oil and Gas Production and Transportation
10	Distribution and Electronic Commerce	36	Paper and Packaging
11	Downstream Chemical Products	37	Performing Arts
12	Downstream Metal Products	38	Plastics
13	Education and Knowledge Creation	39	Printing Services
14	Electric Power Generation and Transmission	40	Production Technology and Heavy Machinery
15	Environmental Services	41	Recreational and Small Electric Goods
16	Financial Services	42	Textile Manufacturing
17	Fishing and Fishing Products	43	Tobacco
18	Food Processing and Manufacturing	44	Trailers, Motor Homes, and Appliances
19	Footwear	45	Transportation and Logistics
20	Forestry	46	Upstream Chemical Products
21	Furniture	47	Upstream Metal Manufacturing
22	Hospitality and Tourism	48	Video Production and Distribution
23	Information Technology and Analytical Instruments	49	Vulcanized and Fired Materials
24	Insurance Services	50	Water Transportation
25	Jewelry and Precious Metals	51	Wood Products
26	Leather and Related Products

TABLE 2: LOCAL CLUSTERS
Cluster Code	Cluster Name
101	Local Food and Beverage Processing and Distribution
102	Local Personal Services (Non-Medical)
103	Local Health Services
104	Local Utilities
105	Local Logistical Services
106	Local Household Goods and Services
107	Local Financial Services
108	Local Motor Vehicle Products and Services
109	Local Retailing of Clothing and General Merchandise
110	Local Entertainment and Media
111	Local Hospitality Establishments
112	Local Commercial Services
113	Local Education and Training
114	Local Community and Civic Organizations
115	Local Real Estate, Construction, and Development
116	Local Industrial Products and Services