“…Scholars conclude that the innovation and diffusion within the cluster are not solely the result of incidental synergies, the "industrial atmosphere, " but are fostered by policy networks of public and private institutions (Amin & Thrift, 1992;Bellandi, 1996;De Propris & Lazzeretti, 2009;Humphrey & Schmitz, 2000;Markusen, 1996). The literature concerned with technological development moved from a focus on the individual firm towards a greater concern with learning-by-interaction, leading to the studies of innovations systems which concerning more with the knowledge system, the importance of knowledge enhancing organizations, political ties and the creation of a region's material and institutional infrastructure (Gorzelany-Dziadkowiec et al, 2019;Jensen et al, 2007;Jurowetzki et al, 2018;Lundvall et al, 2002;Yu et al, 2019). Both sets of literature have been used to analyze local industrial innovation in developing countries.…”