Abstract:
Clusters have the potential to grow, but their potential in Pakistan is
rarely analyzed and examined. This study examines the knitwear cluster of Lahore
in general and the performance of enterprises in particular. Most of the literature
on clusters in Pakistan has not looked at the characteristics of the individual
enterprises that play a pivotal role in cluster development. Using primary data
collected from 59 finished-knitwear producers in Lahore, this study assesses the
role of human capital in acquiring multifaceted innovations. We find that general
human capital acquired by schooling and specific human capital acquired through
operational experience is associated with the size of the enterprise. Additionally,
specific human capital acquired through operational and marketing experience is
strongly correlated with improved marketing channels.