A Study on the Cluster Formation of Socks Industry

- Company D and Socks Industry in Northwest Region of Nara Prefecture -

Abstract

As is well known, in recent years, the decline of the domestic textile industry is accelerating. The increase of imported products is taken as the biggest factor, and it has begun to affect to national market after early 1980's. Since then Government has repeatedly promoted the consolidation of regional companies however, the policies has not worked well and consolidation has not proceeded enough. We have researched the socks industry in Nara Prefecture and focused on the cases of clusters formation lead by companies that maintain and develop the regional industry. In this report we analyze the problems of regional consolidation policies of Government, based on the result of company D's activities.