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This article looks at networking activities among entrepreneurs of small‐scale enterprises in an industrial district in Ghana. The purpose of the study is to identify the type of inter‐firm interaction that takes place, and to determine the effect it has on die productive capabilities of die firms and die industrialization process. The study is set in the context of research on industrial districts and inter‐firm networks which have been associated with technological change and competitive success for firms in advanced economies. While some believe that were may be little about industrial districts in places such as Third Italy or Silicon Valley which can be transferred to developing countries, die fact remains that small firms everywhere are more similar than different. Therefore, an understanding of die process of networking in Ghana may provide insights on die nature of these activities and their effectiveness in contributing to enterprise growth and die thickening of die industrial base in developing economies.

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