International Journal of Technology Management and Sustainable Development
Volume 6 Number 3 © 2007 Intellect Ltd
Article. English language. doi: 10.1386/ijtm6.3.193/1
Developing regional clusters in India:
The role of national laboratories
Santanu Roy Institute of Management Technology (IMT), India
Parthasarathi Banerjee National Institute of Science,
Technology and Development Studies (NISTADS), India
Abstract
This paper sets in perspectives the development of regional industrial clusters in
India and discusses issues related to technology transfer from public-funded R&D
laboratory system in India, such as the Council of Scientific and Industrial
Research (CSIR), to small and medium enterprises and the impact of such trans-
fers on the development of Indian industrial clusters. This has been done with the
help of case studies of technological and managerial intervention from three spe-
cific CSIR laboratories. The paper also discusses different aspects of regional char-
acterisation, specialisation and the role played by these national laboratories and
others in trying to resolve the technological, managerial and social problems faced
by industrial and artisan clusters.
Introduction
The process of technology transfer among different entities could be
viewed as an active and intentional process to disseminate or acquire
knowledge, experience and the related artefacts. However, the thrust on
this issue has been changing gradually towards creating partnerships or
building strategic alliances (Niosi 1999). This underlines the idea that
forms of technological cooperation are no longer one way but involve long-
term mutual benefits beyond short-term commercial success. Networks,
according to Castells (1996), could be considered as open systems of inter-
connected firms and R&D institutions with related interests. Freeman
(1991) argues that networking should primarily be explained in terms of
strategic behaviour, appropriation of knowledge, technological comple-
mentarities and sociological factors such as trusts, ethics and confidence
in the benefits deriving from cooperation with others. ‘Rather than going
it alone or sub-contracting, network firms collaborate, for example, with
their suppliers and customers in product development, pursue technologi-
cal innovation through setting up joint ventures with unrelated companies,
forge strategic alliances with their competitors to develop new markets, or
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Keywords
artisan clusters
industrial clusters
linkages
networking
R&D laboratories
technology transfer
TMSD 6 (3) 193–210 © Intellect Ltd 2007