Faculty
Henrik Sornn-Friese, Martin Jes Iversen, Christine Isakson, Jan Skovgaard

Course Coordinator
Henrik Sornn-Friese

No special requirements. Prior knowledge about industry structure and evolution, the economic organization and boundaries of the firm, inter-organizational relationships, and the workings of the institutional environment is an advantage.

Research suggests that in an increasingly globalized economy industry clusters may be one of the key drivers of economic growth, innovation and international competitiveness of firms, industries and even places (local areas, cities, countries, regions). Clusters are usually defined as geographical concentrations of interdependent firms and organizations, which are connected by a system of market and non-market linkages and institutions.

The cluster perspective is concerned with competitiveness, economic growth and development in a global economy. Globalization has made knowledge the most critical factor of business today and therefore questions concerning how firms assess, share and develop new knowledge have become increasingly important. A firm can improve its access to knowledge and skills by geographically locating amongst a cluster of other firms and organizations. It can also draw upon other firms and organizations holding complementary skills to achieve results that it would not have been able to realize by itself. This way it can achieve and sustain its competitive advantage by specializing and focusing on core competencies. There are also important reputation effects in industry clusters. Knowledge and information diffuse relatively easily within a cluster, enabling investors to judge who the first-class entrepreneurs are and enabling firms to uncover who provides the better inputs and supporting services. Informal linkages to other firms and organizations can lead to the creation of new ideas and new trades, which is beneficial both to firms and to the wider economy. Furthermore, an industrial cluster may be a magnet for the investments and formation of new businesses essential to create employment and increasing income and thus lead to the improvement of living and working conditions.

The course will cover such themes as Globalization in Historical Perspective; Changing Patterns of Competition; The Organizational Evolution of Global Industries and Sectors; Varieties of Capitalism; The Structure and Dynamics of Industry Clusters; Cluster-Based Strategy for Businesses; and Cluster-Based Industrial Policy. The course themes are illustrated and challenged through company cases and policy initiatives from the international shipping industry and from local, national and cross-border maritime clusters in primarily Europe based on written sources and oral presentations by visiting “experts”. Teaching combines CBS faculty and guest lecturers with case work, classroom discussion and brief student presentations.

Course participants develop their academic skills to combine economic-institutional theories with empirical evidence to explain

globalization, industry dynamics and company strategy in a contextual (sector-specific and historical) perspective. The course provides a solid academic foundation for students interested in writing their Bachelor thesis within the topical areas of globalization, competition, and industry clusters; or within the context of the international shipping industry.

The goal of the course is to enable students to:

Identify interesting research gaps related to clusters and global competition, develop proper and interesting research questions to address these gaps, and complete the relevant research to address these research questions.

The exam is an individually written 10-pages scientific paper, with an outset in the international shipping industry or a particular maritime cluster of own choice. There are no strict requirements to the structure of the assignment. It should be written in English.

Baldwin, R. E. and P. Martin (1999). Two Waves of Globalisation: Superficial Similarities and Fundamental Differences. In H. Sierbert (ed.), Globalisation and Labour. Tübingen: Mohr Siebeck.

Blinder, A. (2006). Offshoring: The Next Industrial Revolution. Foreign Affars, 85(2): 113-128.

Doh, J. P. (2005). Offshore Outsourcing: Implications for International Business and Strategic Management Theory and Practice. Journal of Management Studies, 42(3): 695-704.

Feldman, M. P. and J. L. Francis (2004): Homegrown Solutions: Fostering Cluster Formation. Economic Development Quarterly, 18(2): 127-137.

Gordon, I. R. and P. McCann (2000). Industrial Clusters: Complexes, Agglomeration and/or Social Networks. Urban Studies, 37(3): 513-532.

Hamel, G. (1999): Bringing Silicon Valley Inside. Harvard Business Review, 77(5): 70-84.

Jacobs, D. and De Man, A.-P. (1996): Clusters, Industrial Policy and Firm Strategy: A Menu Approach. Technology Analysis & Strategic Management, 8(4): 425-437.

Jensen, J. I. (2003). Innovation, Capabilities and competitive advantage in Norwegian shipping. Maritime Policy & Management, 30(2): 93-106.

Martin, R. and P. Sunley (2003): Deconstructing Clusters: Chaotic Concepts or Policy Panacea? Journal of Economic Geography, 3(1): 5-35.

Porter, M. E. (1998): The Adam Smith Address: Location, Clusters, and the “New” Microeconomics of Competition. Business Economics, 33(1): 7-13.

Pouder, R. and C. H. St. John (1996): Hot spots and blind spots: Geographical clusters of firms and innovation. Academy of Management Review, 21(4): 1192-1225.

Raines, P. (2000): Local or National Competitive Advantage? The Tensions in Cluster Development Policy. Regional and Industrial Policy Research Paper, No 43, European Policies Research Centre, University of Strathclyde, Glasgow.

Selkou E. and M. Roe (2004). Globalisation, Policy and Shipping. Fordism, Post-Fordism and the European Union Maritime Sector. Cheltenham, UK: Edward Elgar Publishing Ltd.

Sletmo, G. K. (1989). Shipping’s fourth wave: ship management and Vernon’s trade cycles. Maritime Policy and Management, 16(4): 293-303.

Sletmo, G. K. (2001). The end of national shipping policy? A historical perspective on shipping policy in a global economy. Maritime Policy and Management, 3(4): 333-350.

Sletmo, G. K. and S. Holste (1993): Shipping and the competitive advantage of nations: the role of international ship registers. Maritime Policy & Management, 20(3): 243-255.

Sornn-Friese, H. and M. J. Iversen (2010). Incentives, Capability and Opportunity. Exploring the Sources of Danish Maritime Leadership. Unpublished manuscript.

Sornn-Friese, H. And M. J. Iversen (2010). The Making of the Danish International Ship Register (DIS) – Foreshadowing of the Danish Maritime Cluster. A History of Responsive Policy to Structural Change in International Shipping. Unpublished Manuscript.

Wijnolst, N. (2006). Dynamic European Maritime Clusters. Amsterdam: IOS Press BV.