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The Role of Location in Knowledge Creation and Diffusion: Evidence of Centripetal and Centrifugal Forces in the City of London Financial Services Agglomeration

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  • Gary A S Cook

    (Management School, University of Liverpool, Liverpool L69 7ZH, England)

  • Naresh R Pandit

    (Norwich Business School, University of East Anglia, Norwich NR4 7TJ, England)

  • Jonathan V Beaverstock
  • Peter J Taylor
  • Kathy Pain

    (The Young Foundation, 18 Victoria Park Square, London E2 9PF, England)

Abstract

In this paper we report on a major empirical study of centripetal and centrifugal forces in the City of London financial services agglomeration. The study sheds light on (1) the manner and magnitude of firm interaction in the agglomeration; (2) the characteristics of the agglomeration that aid the competitiveness of incumbent firms; and (3) the problems associated with agglomeration. In addressing these issues, we use the data to (1) test emerging theory that explains the high productivity and innovation of agglomerations in terms of their ability to generate and diffuse knowledge; and (2) evaluate the ‘end of geography’ thesis.

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  • Gary A S Cook & Naresh R Pandit & Jonathan V Beaverstock & Peter J Taylor & Kathy Pain, 2007. "The Role of Location in Knowledge Creation and Diffusion: Evidence of Centripetal and Centrifugal Forces in the City of London Financial Services Agglomeration," Environment and Planning A, , vol. 39(6), pages 1325-1345, June.
    • Handle: RePEc:sae:envira:v:39:y:2007:i:6:p:1325-1345
    DOI: 10.1068/a37380
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    References listed on IDEAS

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    Cited by:

    1. Naresh R. Pandit & Gary A. S. Cook & Feng Wan & Jonathan V. Beaverstock & Pervez N. Ghauri, 2018. "The Economies and Diseconomies of Industrial Clustering: Multinational Enterprises versus Uninational Enterprises," Management International Review, Springer, vol. 58(6), pages 935-967, December.
    2. Shuai Shi & Kathy Pain, 2020. "Investigating China’s Mid-Yangtze River economic growth region using a spatial network growth model," Urban Studies, Urban Studies Journal Limited, vol. 57(14), pages 2973-2993, November.
    3. Chong, Zhaohui & Wei, Xiaolin, 2023. "Exploring the spatial linkage network of peer-to-peer lending in China," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 630(C).
    4. Fenghua Pan & Bofei Yang, 2019. "Financial development and the geographies of startup cities: evidence from China," Small Business Economics, Springer, vol. 52(3), pages 743-758, March.
    5. Kalaitzake, Manolis, 2020. "Resilience or relocation? Expectations and reality in the city of London since the Brexit referendum," MPIfG Discussion Paper 20/14, Max Planck Institute for the Study of Societies.
    6. Margaret Cowell, 2010. "Polycentric Regions: Comparing Complementarity and Institutional Governance in the San Francisco Bay Area, the Randstad and Emilia-Romagna," Urban Studies, Urban Studies Journal Limited, vol. 47(5), pages 945-965, May.
    7. Colin Lizieri, 2011. "Global Cities, Office Markets and Capital Flows," Chapters, in: Ben Derudder & Michael Hoyler & Peter J. Taylor & Frank Witlox (ed.), International Handbook of Globalization and World Cities, chapter 15, Edward Elgar Publishing.
    8. Dongmei Li & Renai Jiang & Zheyuan Lu & Shanghong Sun & Longguo Wang, 2023. "Does the Construction of High-Speed Rail Change the Development of Regional Finance?," Sustainability, MDPI, vol. 15(13), pages 1-27, July.
    9. Shijun Chai & Yang Chen & Bihong Huang & Dezhu Ye, 2019. "Social networks and informal financial inclusion in China," Asia Pacific Journal of Management, Springer, vol. 36(2), pages 529-563, June.
    10. Palmberg, Johanna, 2012. "Spatial Concentration in the Financial Industry," Ratio Working Papers 188, The Ratio Institute.
    11. Vladimír Pažitka & Michael Urban & Dariusz Wójcik, 2021. "Connectivity and growth: Financial centres in investment banking networks," Environment and Planning A, , vol. 53(7), pages 1789-1809, October.
    12. Berger, Helge & Ehrmann, Michael & Fratzscher, Marcel, 2009. "Forecasting ECB monetary policy: Accuracy is a matter of geography," European Economic Review, Elsevier, vol. 53(8), pages 1028-1041, November.
    13. Jonathan Beaverstock & Adam Leaver & Daniel Tischer, 2023. "How financial products organize spatial networks: Analyzing collateralized debt obligations and collateralized loan obligations as “networked productsâ€," Environment and Planning A, , vol. 55(4), pages 969-996, June.
    14. Wenzlhuemer Roland, 2009. "London in the Global Telecommunication Network of the Nineteenth Century," New Global Studies, De Gruyter, vol. 3(1), pages 1-34, April.
    15. Chai, Shijun & Chen, Yang & Huang, Bihong & Ye, Dezhu, 2018. "Social Networks and Informal Financial Inclusion in the People’s Republic of China," ADBI Working Papers 802, Asian Development Bank Institute.
    16. David Bassens & Laura Gutierrez & Reijer Hendrikse & Deborah Lambert & Maëlys Waiengnier, 2021. "Unpacking the advanced producer services complex in world cities: Charting professional networks, localisation economies and markets," Urban Studies, Urban Studies Journal Limited, vol. 58(6), pages 1286-1302, May.

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