Clustering Policy and Its Effects on Rural Entrepreneurship Over 20 Years

This chapter examines the theoretical background of clusters and charts the history of cluster policy thinking over the previous 20 years, paying particular attention to the applicability of theory and policy to rural areas. A typology is presented that demonstrates the differing degrees that rural areas can be included in cluster policies or initiatives. We frame the concept of the cluster both as a noun (agglomerations of businesses) and as a verb (policy interventions to persuade proximate businesses to interact), which was at the forefront of policy making at the turn of the century. To bring the chapter into the current day, the concept of rural microclusters will be presented – considering how these can benefit rural businesses, entrepreneurial ecosystems and rural development more widely.