Local clusters and global value chains

The chapter discusses the co-evolution of clusters and global value chains (GVCs) and proposes an integrated analysis of the organization of economic activities between the global and local levels. It explores the evolutionary characteristics of local clusters from theoretical perspectives rooted in management, economic geography and innovation studies. Connections between the cluster and GVC literatures focus on three key analytical dimensions: economic activities, key actors and relationships. The chapter discusses how GVC studies can incorporate the dynamics of clusters, and it offers new insights on how to interpret, measure and capture the changes occurring at the cluster level with an emphasis on co-evolutionary trajectories of change. Cluster research can provide inputs for the GVC framework, taking into account links between manufacturing and innovation in the emerging landscape.