Enhancing industrial cluster formation through the realistic export opportunities of the TRADE-DSM
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Wiley
Abstract
This paper explores the natural synergies between industrial cluster formation and the identification
of realistic export opportunities (REOs), using the TRADE-DSM1 for a resource-dependent
region, the North West Province of South Africa. The structural path analysis and power of pull
methods were applied to a provincial social accounting matrix to identify the top industrial clusters.
Ten industrial clusters were identified and matched to the results of the TRADE-DSM. Six
of the industrial clusters analysed had REOs. These results provide a basis for focused export
market development and for the formalisation of the cluster initiative as a strategy for sustained
economic and export growth.
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Pisa, N., Viviers, W. & Rossouw, R. 2017. Enhancing industrial cluster formation through the realistic export opportunities of the TRADE-DSM. South African journal of economics, 85(3):386-404. [https://doi.org/10.1111/saje.12138]