Economy & Business, Volume 10, 2016

Abstract: One of the aspects investigated intensively in cluster research is emergence and growth of clusters specially the successful ones. In contrast to numerous empirical research on growing and well-functioning and mostly high-tech clusters, relatively the process of cluster decline specially on a firm level has been given less attention in the literature. Considering despite the decline in clusters, some of them manage an ability to last and contribute to the regional and national economies, make the study of these clusters more important. How do firms in a declining cluster manage to survive and to be resilient toward the disruptive changes and pressure which contributes to the cluster decline? To answer this question, this study investigates the process of cluster decline and the role of firms in survival in this process based on a case study of the textile and clothing manufacturing in the East Midlands in the UK.