The Performance of Seaport Clusters - RePub - Erasmus Universiteit ...

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The Performance of Seaport Clusters
Such tacit knowledge can be acquired by ‘learning by doing’, but this is costly. Alternatively,
this tacit knowledge can be acquired through ‘learning by interaction’. This learning
mechanism depends on the willingness of actors with local tacit knowledge to transfer this
knowledge. This willingness differs between clusters. A low willingness to share local tacit
knowledge can be regarded as a barrier to entry (see Silverberg, Dosi and Orsinigo, 1988).
The access to networks depends on the legitimacy of entrants (Hannan and Carrol, 1992).
Clusters with inaccessible networks have high entry barriers.
Thus, clusters can range from ‘entry prone’ to ‘entry-adverse’. In entry prone clusters,
cultural entry barriers are low (entrants have easy access to local tacit knowledge and
networks). In entry adverse clusters, the cluster is ‘closed’ for outsiders and cultural entry
barriers are substantial.
5.3.2 Start up barriers
With regard to start-up barriers, two barriers are widely recognized: administrative barriers
and the availability of venture capital 24 (Schenk, 1998). Administrative barriers are
predominantly influenced by national legislation and therefore not taken into account. The
availability of venture capital can differ between clusters, because of the presence of ‘local
capital’ in clusters (Dei Ottate, 1994). Venture capital for start-ups (especially small ones) is
to a large extent provided by ‘informal investors’ instead of banks or formal investment
companies. The presence of such informal investors in a cluster lowers start-up barriers.
5.3.3 Exit barriers
For exit barriers the issue is more complex than for entry and start-up barriers (see Clarke
and Wrighly, 1997). When applied to clusters, the term exit barriers might be misleading, this
term is associated with barriers to leave a certain industry. Cluster exit barriers are barriers
to move (leave the cluster). The term footloose is used to indicate the level of barriers to
move. Examples of footloose firms include many service firms, such as consultants. Other
24 The distinction between start-ups and ‘spin-offs’ is relevant in this respect. Spin-offs in general
do not face the problems that start-ups face, because they benefit from the networks (and in
some case financial support) of the firm that spins them off. The role of leader firms in creating
dynamism by encouraging spin-offs is discussed in the next chapter.