Abstract: The idea that ‘institutional thickness’ is a prerequisite for sustainable local economies has attracted attention in recent years. In the City of Whittlesea, in Melbourne’s northern suburbs, the food and beverage manufacturing sector has recently seen considerable job growth and the arrival of a number of small and medium sized firms. Coinciding with this trend is the emergence of two regionally based and one local economic development body, the later managed by the City of Whittlesea. This body, in particular, has as its objective the development of local collaboration between firms. The question is whether these bodies have influenced the location decisions of firms and the jobs they have brought with them. Results from interviews with firm managers show that such bodies have a negligible influence. Rather, it is more ‘conventional’ factors that predominate, such as transport infrastructure and proximity of a manager’s residence. This ‘business as usual’ scenario suggests the explanation for the location of firms in this particular industrial cluster lies elsewhere and that the influence of local economic development strategies such as these have their limitations.