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Knowledge Spillovers and Reasons for the Concentration of Innovative SMEs

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  • James Simmie

    (School of Planning, Oxford Brookes University, Gipsy Lane Campus, Hecidington, Oxford, OX3 0BP, UK, jsimmie@brookes.ac.uk)

Abstract

This paper reports the findings of a survey of innovative firms in the South East of England undertaken during 1999/2000. It is argued that in order to explain the observed concentration of innovation in a limited number of cities both in the US and in Europe it is necessary to consider both local knowledge spillovers and international knowledge transfers. Knowledge and experience are argued to be important in overcoming the uncertainties that characterise the innovation process. The survey reported here shows that two main categories of knowledge are important for SMEs. These are first mainly supply-side local knowledge spillovers from suppliers, collaborators and HEIs. Secondly, they are often demand-side national and international knowledge transfers from clients, customers and their international distributors. Cities rich in both local capacity and international connections are usually the locations for high levels of innovation among the firms based in them.

Suggested Citation

  • James Simmie, 2002. "Knowledge Spillovers and Reasons for the Concentration of Innovative SMEs," Urban Studies, Urban Studies Journal Limited, vol. 39(5-6), pages 885-902, May.
    • Handle: RePEc:sae:urbstu:v:39:y:2002:i:5-6:p:885-902
    DOI: 10.1080/00420980220128363
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    Cited by:

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    2. Kaufmann, A. & Lehner, P. & Todtling, F., 2003. "Effects of the Internet on the spatial structure of innovation networks," Information Economics and Policy, Elsevier, vol. 15(3), pages 402-424, September.
    3. Franz, Peter, 2010. "Knowledge Spillovers as a Central Element in Theories about Knowledge-Based Regional Development: Advancement in Theory and Obstacles for Empirical Research," IWH Discussion Papers 5/2010, Halle Institute for Economic Research (IWH).
    4. Bo Liu & Desheng Xue & Yiming Tan, 2019. "Deciphering the Manufacturing Production Space in Global City-Regions of Developing Countries—a Case of Pearl River Delta, China," Sustainability, MDPI, vol. 11(23), pages 1-26, December.
    5. Abubakar, Yazid Abdullahi & Hand, Chris & Smallbone, David & Saridakis, George, 2019. "What specific modes of internationalization influence SME innovation in Sub-Saharan least developed countries (LDCs)?," Technovation, Elsevier, vol. 79(C), pages 56-70.
    6. Richard Kneller, 2007. "Exporters and International Knowledge Transfer: Evidence From UK Firms," Discussion Papers 07/07, University of Nottingham, GEP.
    7. Peter Karl Kresl, 2014. "A development officer's guide to clusters," Chapters, in: Pengfei Ni & Zheng Qiongjie (ed.), Urban Competitiveness and Innovation, chapter 12, pages 203-217, Edward Elgar Publishing.
    8. William F. Lever, 2013. "Evaluating the urban milieu of an individual city," Chapters, in: Peter Karl Kresl & Jaime Sobrino (ed.), Handbook of Research Methods and Applications in Urban Economies, chapter 15, pages 372-395, Edward Elgar Publishing.
    9. Michael Bentlage & Matthias Dorner & Alain Thierstein, 2015. "The knowledge economy and the economic crisis in Germany. Regional development, structural change and labor market regions," ERSA conference papers ersa15p978, European Regional Science Association.
    10. Zhao, Juanjuan & Bentlage, Michael & Thierstein, Alain, 2017. "Residence, workplace and commute: Interrelated spatial choices of knowledge workers in the metropolitan region of Munich," Journal of Transport Geography, Elsevier, vol. 62(C), pages 197-212.
    11. Vania Sena & Dolores Anon Higon, 2014. "Productivity, R&D Spillovers and Educational Attainment," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 76(1), pages 1-23, February.

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