Competitiveness Through Export Clusters: a Brazilian Experience

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United Nations Industrial Development Organization

COMPETITIVENESS THROUGH EXPORT CLUSTERING: STRATEGIC CONSIDERATIONS

BRAZIL

Competitiveness through Export Clusters: A Brazilian Experience

Prepared by ADALBERTO DURAU BUENO NETTO,
Consultant of SEBRAE – The Brazilian Service for Small and Micro Enterprise, Brazil, and Member of the Board of Directors of the Parana Network for APL Clusters Support (an official governmental and private permanent work group to build capacity and design policies to support the development of LPA Clusters in the State of Parana Brazil)

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--------------2005 Consultative Cycle Tirupur, India 11-13 April 2005

Summary 1. Introduction...................................................................................................................................3 Overall business environment for SME and clusters in Brazil .........................................................3 2. Small Business in Brazil .................................................................................................................4 a. Behind the clusters: SME business................................................................................................4 b. SME profile in Brazil ...................................................................................................................4 c. Current barriers to SME exports success........................................................................................4 d. The Brazilian Domestic Market....................................................................................................6 e. Dynamic versus under-performing SME........................................................................................6 f. SME role in exports in Brazil........................................................................................................6 3. Clusters: an effective path for international competitiveness?........................................................7 a. SEBRAE’s background: from Local Forums to APL......................................................................7 b. The APL Concept ........................................................................................................................7 c. Goals, Core Actors and Strategy Orientation..................................................................................8 d. Identification and selection of APL...............................................................................................8 e. Exports through APL...................................................................................................................9 f. Exports Consortias and Clusters: is there a link? .......................................................................... 10 g. Export Responses from APL:...................................................................................................... 11 i.The case of Wooden Furniture APL from Ubá, Minas Gerais, Brazil ........................................... 11 4. Conclusions: the essence of the success.........................................................................................15 a. Lessons learned......................................................................................................................... 15 b. The monitoring and evaluation of the APL effort ......................................................................... 16 c. Final considerations on export clustering models ......................................................................... 16 Bibliography: .................................................................................................................................... 18 a.

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1. Introduction Increased globalization and market integration trough the reduction of trade barriers, faster pace on technical change and increased...
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