Five Hundred Years of Textile and Apparel Clusters' History in Ecuador: Location and Evolution of Its Firms

The theory of industrial clusters highlights how geographic agglomeration enhances firm competitiveness within specific locations. However, the formation and evolution of clusters often result from historical, political, and economic factors. This study delimits the location of Ecuadorian textile and apparel (T&A) clusters and examines the historical and political events between the 15th and 21st centuries that influenced their development. Using a mixed methodology, our findings identify 17 T&A clusters: 13 in the highlands and 4 in the coastal region. Highland clusters originate from the Inca Empire's skilled indigenous workforce and the Spanish Colonial textile mills (Obrajes). The Transandine Railway of Ecuador in the 20th century facilitated cluster expansion, connecting inland regions to coastal areas. By the 21st century, cluster initiatives from international and national organizations aimed to enhance competitiveness. Despite shared origins, clusters display diverse geographic, structural, and policy characteristics, underscoring the role of historical legacies and public interventions in their evolution.