Comptetitive Cities in the 21st Century: Cluster-Based Local Economic Development

any theories and ideas have shaped the development of cities (hall 1998, Mumford 1961, howard 1946), yet no one can claim that the ideal design, economic size, or development pattern exists for any single city. The characteristics of cities are shaped by complex sets of historical, geographic, economic, social, physical, governance, technological, and chance factors. The economies of cities also differ depending on their history and functions. Cities change, often in short periods of time, while others develop into mega cities. Cities are complex systems (Alexander 1965, Allen 1997), which makes it difficult to study them and understand how they function. Nevertheless, the hope is that exploring the factors that shape city development will lead to a better understanding of how to design and develop cities that are more livable and sustainable. This book explores ways to foster the development of more competitive and sustainable urban economies in Asia. In particular, it explores ways of Preface xix fostering the development of industry clusters to increase the competitiveness of Asian cities through an analytical methodology and structured approach toward CCED. CCED has been developed and tested in three South Asian countries: Bangladesh, India, and Sri Lanka. It draws upon an extensive body of knowledge and experience of industry cluster development in Asia and elsewhere. Detailed studies of selected industry clusters have been undertaken to identify and understand what is necessary to make cities more competitive, and to formulate cluster development strategy for inclusive economic growth. This book also seeks to address important questions concerning ways to make the economic development of Asian cities more sustainable. It is an important—and timely—investigation into the competitiveness of Asian cities in the context of a rapidly changing global economy and searching questions related to the environmental sustainability of these cities. The book seeks to identify significant risks that affect the sustainable development of urban economies, explain the nature of industry clusters in three Asian cities, and outline critical elements of enabling environments needed to support city clusters in these cities. The evidence uncovered by the investigations described in this book, and reinforced by other research, suggests that enhancing the competitiveness of cities can lead to increased productivity and efficiency gains, especially if the governance and strategic architecture that shapes the economic development of cities is improved.