Clustering potential of agriculture in Lviv region

Abstract

The paper emphasizes the need to stimulate the development of integration processes in agro-industrial complex of Ukraine. The advantages of the cluster model of integration are shown: along with the growth of competitiveness of agricultural products, it helps to increase the efficiency of inventory management of material flows, as well as to expand opportunities to attract investment and to implement innovation in agricultural production. Clusters also help to reduce transaction costs by establishing an optimal cooperation between the contracting parties. The theoretical essentiality of agro-industrial clusters is studied and a conceptual model of that kind of clusters is shown. The preconditions of clustering of agriculture in Lviv region are analyzed and feasibility of specific methods of statistical analysis to identify localization areas of the potential members of cluster-forming blocks of regional food clusters is verified. Cluster analysis is carried out to identify potential cluster-forming areas in the region in various sectors of agricultural production.

Keywords

• potential
• regional food cluster
• cluster analysis
• agriculture