Global Network signs JV with US-based OTF Group

The Ahmedabad-based Global Network has signed a Memorandum of Understanding (MoU) with the US-based OTF Group to form a joint venture company in India.

The venture will use the expertise and cluster development models of the US partner and replicate similar models in the Indian small and medium enterprise (SME) sector. Promoted by Michael Porter and Michael Fairbanks, OTF Group specialises in providing frameworks and technology for building competitive clusters.

Apart from providing integrated frameworks for building competitive clusters, the JV will also provide technology for cluster development, including analysis, foreign marketing research and cluster selection and integration of data.

"We will help the group to communicate with the government and identify the clusters and the areas to be developed," said Jagat Shah, CEO, Global Network.

Global Network has promoted an NGO 'Cluster Pulse' for cluster development initiatives. Cluster Pulse handholds developing regions, nations and SMEs, and has so far worked in 66 clusters in nine countries.

Under cluster development, the JV will try to create global and regional markets, instead of protected markets, with micro-economic focus, flexible and meritocratic organisations and informed investment choices with support from development partners.

Both companies have worked as partners on the Afghanistan Competitiveness Project, a 2-year USAID-funded project designed to enhance the competitiveness of key export clusters in the Afghanistan.