Tradition, Innovation, and Family Business as Factors of Sustainable Development of Industry Clusters

Abstract

The chapter deals with the research of selected development factors in three traditional industries of North Bohemia—glass, the manufacture of bijouterie, and the textile industry. The authors point out the importance of hereditary skills and the role of continuity and technological innovation in building a competitive advantage in these industries. In addition to traditional factors of competitiveness, they also examine the influence of family on the success of companies in industry clusters. The results of the survey show some differences between industries. Companies in the glass industry and the manufacture of bijouterie tend to be smaller, often the owner works in them alone. Textile companies are larger on average and operate as corporations. More than two-thirds of the companies surveyed are considered family businesses. Companies in the glass and bijouterie industry invested mainly in product innovations, whilst textile companies spent money on process innovations. Traditional handicraft production proves to be the main competitive advantage of the glass and bijouterie industry. The textile industry has gone through a severe phase of decline in the region described. However, the focus on the specific production of technical textiles has enabled textile companies to find a competitive advantage and remain in business.