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Alpha Clusters: Creative Innovation in Local Economies

Author

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  • John Schoales

    (Ontario Ministry of Economic Development and Trade)

Abstract

This article examines a set of industries including financial investment, fashion, and culture that tend to predominate in certain cities such as New York and London. Using data on business establishments and wages for the United States and Canada, the author shows that these industries exhibit a very high level of spatial concentration and a related high level of wage variation among metropolitan areas. The author proposes that these industries are very cluster dependent because of an inherently rapid pace of product innovation. The implications of this for economic development analysis are considered in the context of cluster and innovation policy. The author suggests that fostering innovation in these industries requires a substantially different approach from that commonly being deployed for technology industries.

Suggested Citation

  • John Schoales, 2006. "Alpha Clusters: Creative Innovation in Local Economies," Economic Development Quarterly, , vol. 20(2), pages 162-177, May.
    • Handle: RePEc:sae:ecdequ:v:20:y:2006:i:2:p:162-177
    DOI: 10.1177/0891242405285932
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    References listed on IDEAS

    as
    1. Peter Maskell & Mark Lorenzen, 2003. "The Cluster as Market Organization," DRUID Working Papers 03-14, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    2. Michael Porter, 2003. "The Economic Performance of Regions," Regional Studies, Taylor & Francis Journals, vol. 37(6-7), pages 549-578.
    3. Allen J. Scott, 1997. "The Cultural Economy of Cities," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 21(2), pages 323-339, June.
    4. Baptista, Rui & Swann, Peter, 1998. "Do firms in clusters innovate more?," Research Policy, Elsevier, vol. 27(5), pages 525-540, September.
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    Citations

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    Cited by:

    1. Theresia Gunawan & Jojo Jacob & Geert Duysters, 2016. "Network ties and entrepreneurial orientation: Innovative performance of SMEs in a developing country," International Entrepreneurship and Management Journal, Springer, vol. 12(2), pages 575-599, June.
    2. Sébastien Breau & Dieter F. Kogler & Kenyon C. Bolton, 2014. "On the Relationship between Innovation and Wage Inequality: New Evidence from Canadian Cities," Economic Geography, Taylor & Francis Journals, vol. 90(4), pages 351-373, October.
    3. Lily Kiminami & Shinichi Furuzawa & Akira Kiminami, 2019. "Impacts of multi-functionality of urban agriculture on the creative classes in global mega city: focusing on Shanghai in China," Asia-Pacific Journal of Regional Science, Springer, vol. 3(2), pages 487-515, June.
    4. Hatcher, William & Oyer, Matt & Gallardo, Roberto, 2011. "The Creative Class and Economic Development as Practiced in the Rural U.S. South: An Exploratory Survey of Economic Development Professionals," The Review of Regional Studies, Southern Regional Science Association, vol. 41(2,3), pages 139-159, Fall, Win.
    5. Michael C. Ewers & Edward J. Malecki, 2010. "Leapfrogging Into The Knowledge Economy: Assessing The Economic Development Strategies Of The Arab Gulf States," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 101(5), pages 494-508, December.
    6. Rahel Falk & Hasan Bakhshi & Martin Falk & Wilhelm Geiger & Susanne Karr & Catherine Keppel & Hannes Leo & Roland Spitzlinger, 2011. "Innovation and Competitiveness of the Creative Industries," WIFO Studies, WIFO, number 41510, April.
    7. Lily Kiminami & Akira Kiminami & Shinichi Furuzawa, 2018. "Impacts of multi-functionality of urban agriculture on the CCs in Japan," Asia-Pacific Journal of Regional Science, Springer, vol. 2(2), pages 507-527, August.
    8. Theresia Gunawan & Jojo Jacob & Geert Duysters, 2013. "Entrepreneurial Orientation and Network Ties: Innovative Performance of SMEs in an Emerging-Economy Manufacturing Cluster," Working Papers 2013/28, Maastricht School of Management.

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