Possibilities of creating clusters in the weaving industry of the Republic of Azerbaijan

Abstract

The formation of industrial clusters is a form of a systematic approach to the development of industry and related fields and is of high relevance as one of the directions of economic development at the current stage. The study aims to determine the possibilities of creating clusters in the weaving industry of Azerbaijan and to present proposals for their realization. To achieve the goal, methods of comparative and statistical analysis, competitive rhombus and logical conclusion were used. The article emphasizes the need to establish cooperation with foreign companies to form and develop clusters, notes the prevention of illegal interference in business activities and addresses the importance of integrating the weaving industry and clothing production. To form clusters, it is proposed to create a more favourable business environment in specific territories and provide favourable conditions for doing business, create clusters to produce profitable imported products, and further increase the preferential opportunities provided to cluster products in government procurement. The importance of establishing business connections between cluster participants and government authorities, forming on a reasonable basis the state’s attitude towards business and the role of its guardian is emphasized. The practical value of the study lies in the recommendations provided to protect the domestic market from imported products and to strengthen customs control over the importation of imported products, as well as to stimulate the export of finished products