Building clusters without trust: Government as a relational architect in industrial cluster formation

Al‐Tabbaa, Omar ORCID: https://orcid.org/0000-0003-2669-4576, Saadatyar, Fahime Sadat, Choksy, Umair ORCID: https://orcid.org/0000-0001-9862-533X, Koghut, Maksym ORCID: https://orcid.org/0000-0002-6837-7969 and Vazife, Zahra (2025) Building clusters without trust: Government as a relational architect in industrial cluster formation. European Management Review. ISSN 1740-4754

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Abstract

Industrial clusters in developing economies often confront a paradox: engineered by state policy yet lacking the pre‐trust and shared norms that drive organic networks. Drawing on two industrial clusters in Iran, we unpack how government actors become “relational architects,” scaffolding structural and cognitive dimensions of social capital to seed collaboration where trust is absent. However, our study also warns that heavy‐handed, top‐down site selections and mandated partner mixes can fracture the nascent bonds they intend to forge. In contrast, well‐placed intermediaries and collaboratively crafted capacity‐building forums can repair those fractures, allowing genuine trust to emerge—though only after sustained, state‐mediated interaction. By questioning the long‐held belief that trust must precede collective action, we demonstrate a reversed sequence: structural links and cognitive alignment can give rise to relational capital over time. These insights offer cautionary implications for policy: instead of simply transplanting blueprints, policymakers must blend directive measures with authentic, context‐sensitive facilitation if they hope to build resilient, trust‐based clusters.