This monthly selection of articles is been carried out by Philippe Gugler and Basile de Raemy, from the Center for Competitiveness, University of Fribourg. The entire selection, carried out since 2013, can be consulted on the academic articles page of our web.

Industrial clusters as drivers of  revealed technological advantages of regions: the case of the Swiss chemical  and pharmaceutical industries

By: C. Cudré-Mauroux, P. Gugler. European Journal of International Management, DOI: 10.1504/EJIM.2023.133961, September 2023.

Abstract: “Clusters, since Marshall, have been identified as drivers of productivity because of the specialisation of the companies that form these clusters. Given that the productivity and competitiveness of firms is strongly dependent on their innovative capabilities, particular attention has been devoted to the role of clusters as facilitators of innovation. Our hypothesis states that industrial clusters, reflecting labour specialisation, induce regional technological advantages reflecting innovation specialisation. Cluster mapping is mainly reliant on the Location Quotient (LQ), as an indicator of relative specialisation based on employment data. The Revealed Technological Advantage (RTA) reflects the innovative specialisation of industries located in a specific region. The objective of this paper is to compare the LQ with the RTA in the chemical and pharmaceutical industries within the Swiss territory. The correlation analysis reveals a strong positive relationship between the two indicators. However, when considering only the chemical industry, the result is not statistically significant.” [ABSTRACT FROM AUTHORS]

Is ambidexterity crucial for cluster  resilience? Conceptional consideration and empirical evidence

By: M. Rothgang, B. Lageman. Competitiveness Review, DOI: 10.1108/CR-08-2022-0118, October 2023.

Abstract: “Purpose – This study, a conceptual paper, aims an answer the question, how significant cluster ambidexterity is for the resilience of individual clusters. Design/methodology/approach – The authors draw up an abductive synopsis of empirical information and relevant theoretical sources. A case study is used to illustrate some of the findings. Findings – The results of the analysis show that the ambidexterity of a cluster can contribute to its resilience when adverse external developments arise. Ambidexterity proves to be simultaneously a common strategy of key cluster actors and a mechanism for coping with critical situations and developments that can be activated by the cluster actors and may – eventually – lead to cluster resilience. While ambidexterity does not guarantee cluster survival, it can contribute significantly to their economic resilience under adverse conditions. Research limitations/implications – The concept is developed on a limited empirical basis and would need to be tested and deepened by comparing a wide range of case studies from different clusters. Practical implications – A better understanding of the importance of ambidexterity for the development of industrial clusters contributes to a better fine-tuning of cluster support policies. Originality/value – Ambidexterity as a concept originating from business administration has so far only

been rudimentarily tapped for empirical and theoretical cluster research. The paper identifies and develops a path how this could be accomplished to a greater extent in the future.” [ABSTRACT FROM AUTHORS]

Social capital, cooperation and innovation in the energy sector clusters

By: E. Sánchez-García, B. Marco-Lajara, P. Seva-Larrosa, J. Martínez-Falcó. Regional Studies, DOI: 10.1080/00343404.2023.2249062, September 2023.

Abstract: “This paper analyses the relationship between the location of companies in specialised environments, social capital, cooperation and firms’ performance in terms of innovation. After calculating the degree to which the Spanish energy sector is agglomerated at the provincial level, the research hypotheses are tested using the partial least squares structural equation modelling (PLS-SEM) technique. The results show a positive and significant relationship between industrial agglomeration in territorial clusters and the firms’ innovative performance, besides the mediating effect of social capital and cooperation in this relationship. It is concluded that business location in specialised environments is of strategic importance for companies, especially in terms of innovation.” [ABSTRACT FROM AUTHORS]

Inter-firm coopetition and innovation in industrial clusters: the role  of institutional support

By: R. Xu, X. Zhu, Y. Wang, J. Gu, C. Felzensztein. Journal of Business & Industrial Marketing, DOI: 10.1108/JBIM-07-2022-0339, September 2023.

Abstract: “Purpose – Innovativeness is crucial for industrial cluster firms to gain sustained competitive advantage. This study aims to investigate the effects of inter-firm coopetition on firm innovativeness within a cluster and examines the moderating role of institutional support. Design/methodology/approach – This research adopts an empirical survey method using multi-source data from 181 industrial cluster firms. Regression is used to test the hypotheses of this study. Findings – The results show that cooperation and constructive conflict promote firm innovativeness, while destructive conflict is detrimental to firm innovativeness. Moreover, the study also finds that cooperation interacts with both types of conflict to affect firm innovativeness, where cooperation and constructive conflict interact negatively on firm innovativeness, while cooperation and destructive conflict interact positively on firm innovativeness. In addition, institutional support weakens the effects of cooperation and destructive conflict on innovativeness, respectively, but has no significant moderating effect on the relationship between constructive conflict and innovativeness. Originality/value – These findings enrich the current research on coopetition. The interaction effects of cooperation and both types of conflict on innovativeness deepen the concept of coopetition and responds to the call to further explore the interaction effects within coopetition. The moderating role of institutional support fills a gap in the empirical research on the role of institutional factors affecting coopetition on innovation and also provides valuable suggestions for firm managers and governments in industrial clusters.” [ABSTRACT FROM AUTHORS]

Regional innovation networks & high-growth entrepreneurship

By: M. E. Araki, D. L. Bennett, G. A. Wagner. Research Policy, DOI: 10.1016/j.respol.2023.104900, October 2023.

Abstract: “We investigate the influence of regional innovation networks (RINs) on high-growth entrepreneurship within the framework of the knowledge spillover theory of entrepreneurship (KSTE). While previous studies have separately examined RINs’ role in knowledge diffusion and the geographical characteristics of high-growth firms, the connection between these two areas remains unexplored. To address this gap, we develop a conceptual model that highlights the positive impact of RINs on high-growth entrepreneurship, moderated by regional entrepreneurial capital. Using a unique longitudinal dataset at the metropolitan statistical area (MSA) level, we employ two-way fixed effects and instrumental variables regressions to analyze the data. Our findings support the conceptual model, revealing that robust RINs facilitate high-growth entrepreneurship. Additionally, we conduct post-hoc exploratory analyses to investigate potential moderating factors, including the influence of the public policy environment.” [ABSTRACT FROM AUTHORS]

Industry diversification in industrial districts: is it  about embedded regional or firm-level capabilities? 

By: J. L. Hervas-Oliver, C. Boronat-Moll, F. Sempere-Ripoll, J. M. Dahoui-Obon. Regional Studies, DOI: 10.1080/00343404.2023.2244527, September 2023.

Abstract: “We analyse whether regionally embedded or firm-level capabilities drive regional diversification in industrial districts, examining the relationship between relatedness and Marshallian agglomerations. We argue that regional diversification lacks an explicit mechanism to explain branching into new products, positing that the origin of regional product branching is based on firm-level heterogeneity of capabilities and diversification, which is overlooked. Using mixed methods and patent analysis (1895–2019; 3592 patents and utility models), product diversification in the Toy Valley district in Alicante (Spain) is analysed, showing that firm-level related diversification with extensive local search explains the mechanism of the regional relatedness diversification.” [ABSTRACT FROM AUTHORS]

Proximity and its impact on the formation of product and  process innovation networks among producer firms

By: O. Anwar Golra, A. Rosiello, R. T. Harrison. Regional Studies, DOI: 10.1080/00343404.2023.2249029, September 2023.

Abstract: “Informal networks among manufacturing firms play an important role in the transfer of knowledge in industrial clusters. Proximity facilitates the networking process; however, empirical evidence on the relationship between multiple proximity dimensions and different kinds of innovation networks is scarce, especially in developing economies. Using multiple regression quadratic assignment procedures (MRQAP), this paper studies the relationship between four proximity dimensions and innovation networks for new product and new process innovations in the Lahore textile cluster in Pakistan. Our findings suggest that both geographical and non-geographical proximity dimensions show a distinct impact on product and process innovations networks.” [ABSTRACT FROM AUTHORS]

Creative industries spatial policy in the United Kingdom,  1995-present

By: J. Swords, R. Prescott. Local Economy, DOI: 10.1177/02690942231202213, September 2023.

Abstract: “The aim of this article is to explore the construction of spatial policy for the creative industries in the UK over the last three decades. The nature of much creative work benefits from, and therefore leads to co-location of firms, practitioners, supporting organisations and infrastructure. Since the advantages of a buoyant creative economy were recognised by policymakers in the 1990s, developing spatial policy to enhance these benefits has been a focus for governments at various scales across the world. These policies have been prompted by changing motivations, with different aims and using different interventions. This article traces UK’s central government interventions in the creative industries since the mid-1990s. UK creative industries policy has been incredibly influential and exported around the world, and this influence has led to a great deal of examination and critique, meaning there is plenty of literature for us to review. We begin by tracing the development of creative industries spatial policy in the UK through three time periods: mid-1990s–2009, 2010–2020, and 2020–present day. In so doing, we identify the interplay of policy and academic work, highlight key ideological drivers for policy development and offer critique of prevailing policy discourses.” [ABSTRACT FROM AUTHORS]