The impact of clusters on twin transition: green and digital transformation

Purpose This study aims to evaluate the impact of clusters on companies’ twin transition toward digital and green transformation as investigated through the prism of companies forming clusters. Design/methodology/approach The analysis is based on survey data collected from 41 cluster initiatives and 642 member firms across various regions in Poland. A probit regression model is used to evaluate the impact of cluster-related variables, including pro-innovation services, leadership of cluster coordinators and member perceptions, on firms’ digital and green transformation outcomes. Findings Cluster membership significantly supports both digital and green transformation. Firms benefit from enhanced digital capabilities and Industry 4.0 adoption through innovation services and strong cluster leadership, while participation also fosters sustainability by promoting circular economy practices, environmental certifications and low-carbon technologies. The findings underscore the importance of cluster-based policies and management practices that integrate digital and environmental objectives, offering guidance for enhancing competitiveness while advancing sustainability goals. Originality/value This paper contributes to the literature by analyzing both dimensions of the twin transition within a single analytical framework, using data from an under-researched context of Polish industrial clusters. The study offers evidence on how clusters function as transformation enablers and identifies specific mechanisms, such as innovation services and coordinated governance, which drive digital and green transition.