Footwear Clusters In Addis Ababa

Course ID
Ethiopian Economics Association (EEA)
Tegenne Gebre-Egziabher


This paper examines the footwear cluster in AA and hopes to derive policy implication for cluster-oriented SME development policy. The basic premise of the paper is that clusters, rather than individual firms, have potential for growth. Qualitative case study design and quantitative approaches based on a survey were used to generate data. Six cases, three from micro-enterprises and three from small an medium enterprises were selected. ln addition, a total of 96 enterprises (66 micro-enterprises and 30 small- and medium-enterprises) were randomly selected from a census of enterprises conducted in three kebeles of AA. Un – structured and structured questionnaires were used to elicit information from the enterprises. The study found out that the cluster is characterized by low availability of skilled labor, high labor turnover, poor training and upgrading capability. The cluster, however, provides intermediate inputs for producers in the form of special services. Inter-firm cooperation among firms is mainly limited to information exchange, sub-contracting of production cycle and output is limited as most firms have internalized the production cycle vertically in an integrated manner. The institutional support and the business environment the footwear cluster face are not conducive.The study proposes that in order to bring a cluster-oriented development, there is a need to facilitate the development of external economies, promoting linkages between firms, strengthening external network and shoe producers associations, promoting existing and potential market linkages and improving the institutional and business support systems.

Corporate Author: Getnet Alemu and Getachew Yoseph (Editor) & Ethiopian Economic Association/Ethiopian Economic Policy Research Institute
Publisher: Ethiopian Economic Association (EEA)
ISBN/ISSN: 978-9994-54-03-7
Primary Descriptors:

Production – Footwear

Secondary Descriptor:

Industry – Footwear

Geographic Descriptors: Ethiopia, Addis Ababa
Cataloge Date: 02/27/2013
Broad Subject heading: INDUSTRY
Call Number: 330.963 PRO 2007
Serial Key Title: Proceedings of the Fourth International Conference on the Ethiopian Economy
Publication catagory: International Conference
Content type: EEA Publication
Volume: I
Publication date: 2013-05-27 00:00:00
Forum or Discussion date: 2013-02-27 00:00:00
PDF file:  Tegenne G_Footwear Clusters in Addis Ababa.pdf
Place of publication: Addis Ababa, Ethiopia
Type of material: Book
Current frequency: Annualy
Author: Tegenne Gebre-Egziabher