Abstract:
The role of collaborative relations in geographical pro)(ffnity helps in creating innovation process of small and medium enterprises. The advantages to be gained from collective learning from local clusters help MSMEsto increase their efficiency. The regional innovation plays an important role for institutional context of developing innovation. Innovation will emerge through collaboration and shared learning with similar enterprises that leads to mature the idea for proper conceptualization. This paper reviews and summarizes the most important ideas and initiatives of theorizing the evolving of process of innovation through collaboration and learning in regional cluster