Paradoxically, the enduring competitive advantages in a global economy lie increasingly in local things - knowledge, relationships, and motivation that distant rivals cannot match. In this article from Harvard Business Review
, Michael E. Porter untangles the paradox of location in a global economy, while defining a cluster and explaining why clusters are critical to competition. Porter also describes the birth, evolution, and decline of a cluster, the implications for companies, what's wrong with industrial policy, and new public-private responsibilities. This article, which originally appeared in the November-December 1998 Harvard Business Review
, is offered in audio form exclusively through Audible.
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©1998 by the President and Fellows of Harvard College, All Rights Reserved; (P)1998 Audible Inc.