Overcoming the barriers to e-cluster development in a low product complexity business sector

Purpose ‐ The purpose of this paper is to investigate the issues that impact negatively on e-cluster development in a low product complexity industry and identification of key factors to overcome the barriers. Design/methodology/approach ‐ Structured interviews were used to identify perceived value and user expectations from e-clusters. Workshops involving assessment of a prototype e-cluster validated user expectations. A mapping study and best practice review provided a basis for e-cluster application development and assessing potential industry uptake. Findings ‐ Interest and perceived value of e-clusters varied according to size of organisation with smaller organisations primarily interested in e-connectivity to retailers and e-business development. Organisations of all sizes, however, indicated a willingness to learn from each other and partner although level of e-connectivity was average and overall level of sophistication was low. Practical implications ‐ Industrial review and acceptance of a prototype e-cluster that would enable organisations manage several critical aspects of their operations from a single interface. Originality/value ‐ The paper provides new understanding of key issues that impact the operational benefits of e-clusters and, in particular, factors that would underpin the success of e-cluster success in a competitive, insular, low product complexity industry. This presents an informed basis for e-cluster managers and members to successfully manage their initiative.