tartUp Jerusalem employs the proven "cluster methodology," developed by Professor Michael Porter to encourage cooperation among all members of a particular industry cluster - from private sector firms in the industry, to suppliers, supporting and related industries, government, and specialist service providers such as educational and research institutions. This cooperation stimulates innovation, facilitates the creation of joint ventures, increases efficiency and improves access to specialized inputs. Typical cluster activities might include joint marketing or research & development activities, cooperation to provide training schemes for new employees or working together with academia to provide internship opportunities for students in local businesses.

After identifying and exploring the potential for 18 possible business clusters in Jerusalem, three were prioritized by SUJ for immediate development: