Creating Clustering and Open Innovation in new Technology Industry Sectors through Mini-C

Many of the companies in the newer technology industry sectors exhibit less well formed clustering behaviours then the more established or traditional industries. This occurs even in places where there are relatively high densities and significant numbers of the new technology sectors. This lack of proper clustering behaviour reduces the overall competitiveness of these businesses as compared to those businesses that have the advantages of effective clustering. An STP can relatively easily foster collaborative behaviour within and amongst their in-house tenant base, but this is not the same nor as effective as establishing industry clustering behaviours across a recognisable geography. This paper outlines what clusters are and exemplifies the traditional methods of stimulating clustering behaviour before going on to define and explain the novel concept of Mini-Clusters as applied to the ICT industry and how it was successfully applied by one UK STP. Multiple use of this methodology proved to be more relevant and more cost effective than the traditional techniques and as a surprise outcome led to open-innovation becoming used within the cluster as a means of creating products and improved processes. Subsequent work on this methodology suggests that it will also be effective in other new technology sectors.