A cluster is a close association of mutually interconnected companies, specialised suppliers, service providers, relevant institutions and companies in related fields located in close geographical proximity, in a concrete field, which compete with one another but also cooperate, which have similar features and also compliment one another.

A cluster is a group of regionally interconnected companies (entrepreneurs) and auxiliary institutions and organisations, namely tertiary education institutions (Universities, Technical Colleges) - their connection has the potential to solidity and increase their competitiveness.

Basic types of clusters

Clusters based on a value chain
Clusters based on a value chain are generally defined as a network of supply connections. For example an automotive cluster is usually constructed around a backbone of a value chain connecting the car manufacturer with his suppliers, who may be further connected to the manufacturers of specialised industry equipment, electronics, plastics, rubber and textiles.

Clusters based on competencies
Clusters based on competencies focus on a concrete area of technical expertise or competence in a region, like for example research or education abilities. An example of such a cluster could be information technologies and software, whose geographical concentration may be obvious, however the applications and the clients of these abilities may vary significantly.

Cluster creation (clustering)
Clustering is a process, whereby organisations active in the same or related field cooperate on joint projects, develop cooperation with tertiary institutions, research institutions and the private sector so as to increase the competitiveness and economic growth in the given sector and region.