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talents and supporting mechanisms. They share      •   Chain link cluster: This is a cluster of
               the same contiguous geographical area to do            many small-scale domestic enterprises
               business, use  efficiently,  harmonize resources       that connect, exchange and cooperate
               and generate high results. Several partners            according to their  needs. Workers
               may exist independently and compete but are            often  move  back  and  forth  between
               sufficiently communal, working together for            enterprises in the cluster.
               greater results and better output 17. In Vietnam,   •   Axle and spokes  cluster:  A sectoral
               according to the provisions of Clause 7 Article        cluster dominated by one or a few large
               3 of the Law on Support for Small and Medium           enterprises (acting as wheel axles) with
               Enterprises, the sectoral cluster is a form of         smaller suppliers or related businesses
               connectivity  between  businesses  in  the  same       around (spokes).
               industry or related companies and organizations    •   Satellite  cluster: A sectoral cluster
               to cooperate and compete.                              consists of a collection of branch
                  Although there are many different definitions,      enterprises with external organizational
               scientists and research organizations have             links or a “satellite”  for parent
               come to some common characteristics of the             enterprises abroad. In this model,
               concept of the sectoral cluster. That is the           the relations between the member
               geographic concentration  of  industries  to           enterprises of the cluster are minor,
               take advantage of opportunities through geo-           but they are clustered together in one
               linkages.  Businesses in the zone or cluster will      territory.
               share requirements and internal relationships      •   Government-led cluster: This cluster is
               with  suppliers  and customers. Internal               state-centred, i.e. nominated by public
               relationships within the industry require              organizations, government agencies
               additional services from consultants, trainers,        or non-profit operating units (research
               financial institutions, and key companies.             and  development institutes  (R&D),
               Sectoral cluster  creates  a  workforce, exports       universities, military bases, etc.)
               goods and high-quality services, connecting
               relationships  between  state  management          The role of sectoral clusters and clusters
               agencies, universities, research institutes,  in agriculture
               supporting funds and other relevant parties.
                                                                  The sectoral cluster creates a favourable

                  Classification of sectoral clusters          and synchronous investment environment
                                                               for  businesses and related organizations in
                  Sectoral clusters can be classified          specific  localities and  geographical  areas.
               according to 2 criteria :                       The cluster has the following specific roles:
                                      16
                  Classified according  to  the nature  of  the   (1)  Promote productivity and efficiency
               sector,  including the  cluster  of  high-tech     •   Increase access to specialized  inputs
               science and technology industries, the cluster         such  as raw materials, information,
               of conventional industries, and the cluster of         services,  skilled labour, institutions,
               traditional industries.                                and other “public goods”.
                  Classified by organizational model,             •   Accelerate the process,and reduce
               there are:                                             coordination and transaction costs
                                                                      between enterprises in the cluster.




               16  Associate Pro. Dr. Nguyễn Đình Tài, Writing in the Financial Newsletter, February 1, 2017


                                                                      Guidelines for the Strategy for sustainable agriculture and rural development   51
                                                                                      in the period 2021-2030, and vision to 2050
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