After a small municipality in Sweden was hit not only by the closure of the major industry in the town but also by the dismantling of the air force base which was another major source of local employment, a strategic network (cluster initiative) was set up involving 15 local companies in order to market their skills and know-how. The purpose was counterbalance the loss of the big employers by strengthening cooperation between local small and middle-sized companies. Based on interviews in 2004 and 2010 the relationships between the member companies are mapped out prior to the formation of the strategic network and five years later. The findings illustrate the difficulty to support cluster building for short term commercial success through a top-down approach, but also that such an initiative may create positive effects on social capital and in the end bring about long-term gains for the community.