About Economic Development Strategy, Innovation & Industry Clusters
Industry Cluster Analysis
Clusters of innovation are defined as geographically
proximate groups of interconnected companies and associated institutions in
a particular field, linked by commonalities and complementaries. (Professor
Michael E. Porter, “Clusters of Innovation: Regional Foundations of U.S.
Competitiveness,” Council on Competitiveness, Washington, D.C.) They are
normally contained within a geographic area where ease of communication,
logistics and personal interaction is possible. Clusters typically include
end product or service companies, suppliers or specialized inputs,
components, machinery, specialized services, financial institutions and
firms in related industries. Many clusters also include universities and
other institutions providing specialized training, education and research as
well as trade associations. It is important to reemphasize clusters cut
across traditional industry classifications.
Clusters enhance competitiveness, productivity gain and
economic growth by:
- Improving productivity via efficient access to suppliers, information and
training.
- Promoting innovation by increasing the ability to envision opportunities
for new products, services and process for meeting new nee.
- Assisting the commercialization process by facilitating the creation of
spin-offs, new businesses and new product lines in established firms.
Click here to view a copy of the 2003 Industry Cluster Analysis of Alabama.
The Alabama Innovation Index
The Alabama Innovation Index
uses recent data to set benchmarks and assess historical trends for a number
of indicators of innovation.
Innovation is critically important for Alabama. Many traditional, low-wage
industries such as textiles, apparel and even lumber products are leaving
the state in search of ever-lower costs. These lost jobs must be replaced;
innovation has a fundamental role in creating future jobs for Alabamians.
Innovation not only creates new products and services, it also creates new
industries, which creates new jobs.
Innovation creates an edge for Alabama firms that increasingly compete with firms all over the world.
Click here
for a copy of the 2003 Alabama Innovation Index.
