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Innovation and Peripherality: An Empirical Comparative Study of SMEs in Six European Union Member Countries

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  • Andrew Copus
  • Dimitris Skuras
  • Kyriaki Tsegenidi

Abstract

This article examines the rates of innovative activity of small and medium-sized enterprises (SMEs) in central areas and equally developed but less accessible areas in six European Union member states. The probability of innovating is well predicted by the observable characteristics of firms, entrepreneurial characteristics, and business networks. More accessible areas consistently present higher rates of innovative activity than do their peripheral counterparts. The difference in the rates of peripheral and central areas is decomposed into observable and non-observable factors. The entire innovation gap is attributed to nonobservable factors that constitute a combination of behavior and environment. Innovation policy for SMEs should aim to meet businesses’ specific needs (firm-specific factors) and to sustain and improve the innovative environment.

Suggested Citation

  • Andrew Copus & Dimitris Skuras & Kyriaki Tsegenidi, 2008. "Innovation and Peripherality: An Empirical Comparative Study of SMEs in Six European Union Member Countries," Economic Geography, Taylor & Francis Journals, vol. 84(1), pages 51-82, January.
    • Handle: RePEc:taf:recgxx:v:84:y:2008:i:1:p:51-82
    DOI: 10.1111/j.1944-8287.2008.tb00391.x
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    Cited by:

    1. Sandra Buercher, Antoine Habersetzer, Heike Mayer, 2015. "Entrepreneurship in Peripheral Regions: A Relational Perspective," Diskussionsschriften credresearchpaper06, Universitaet Bern, Departement Volkswirtschaft - CRED.
    2. Fascia, Michael & fascia, sonny, 2019. "Creativity as a Competitive Entrepreneurial Enabler," OSF Preprints wqtvh, Center for Open Science.
    3. Fascia, Michael, 2019. "Evaluation of knowledge transfer practices from a Leibniz Perspective," OSF Preprints 37kd2, Center for Open Science.
    4. Jakob Eder, 2019. "Innovation in the Periphery: A Critical Survey and Research Agenda," International Regional Science Review, , vol. 42(2), pages 119-146, March.
    5. Navarro Francisco & Labianca Marilena & Cejudo Eugenio & de Rubertis Stefano & Salento Angelo & Maroto Juan Carlos & Belliggiano Angelo, 2018. "Interpretations of Innovation in Rural Development. The Cases of Leader Projects in Lecce (Italy) and Granada (Spain) in 2007–2013 Period," European Countryside, Sciendo, vol. 10(1), pages 107-126, March.
    6. Jose‐Maria Garcia‐Alvarez‐Coque & Francisco Mas‐Verdu & Mercedes Sanchez García, 2015. "Determinants of Agri‐food Firms’ Participation in Public Funded Research and Development," Agribusiness, John Wiley & Sons, Ltd., vol. 31(3), pages 314-329, June.
    7. DAUTEL Vincent & WALTHER Olivier, 2011. "The geography of innovation in the Luxembourg metropolitan region: an intra-regional approach," LISER Working Paper Series 2011-38, Luxembourg Institute of Socio-Economic Research (LISER).
    8. Manuel Ahedo, 2010. "Exploring the innovative potential of SMEs in Spain," Transfer: European Review of Labour and Research, , vol. 16(2), pages 197-209, May.
    9. Jakob Eder & Michaela Trippl, 2019. "Innovation in the periphery: compensation and exploitation strategies," PEGIS geo-disc-2019_07, Institute for Economic Geography and GIScience, Department of Socioeconomics, Vienna University of Economics and Business.
    10. Meir Russ & Jeannette K. Jones, 2012. "International Virtual Industry Clusters and SMEs: Early Process Policy Recommendations," Chapters, in: Knut Ingar Westeren (ed.), Foundations of the Knowledge Economy, chapter 13, Edward Elgar Publishing.
    11. Annie Royer & Josée St-Pierre, 2020. "Facteurs qui entravent ou facilitent l’expansion des PME en croissance rapide de l’industrie bioalimentaire," CIRANO Project Reports 2020rp-37, CIRANO.
    12. Harry Jeong & Kwangsoo Shin & Seunghyun Kim & Eungdo Kim, 2021. "What Types of Government Support on Food SMEs Improve Innovation Performance?," Sustainability, MDPI, vol. 13(16), pages 1-23, August.
    13. Patrycjusz Zarębski & Małgorzata Czerwińska-Jaśkiewicz & Maria Klonowska-Matynia, 2022. "Innovation in Peripheral Regions from a Multidimensional Perspective: Evidence from the Middle Pomerania Region in Poland," Sustainability, MDPI, vol. 14(14), pages 1-18, July.
    14. Mieczysław Adamowicz, 2021. "The Potential for Innovative and Smart Rural Development in the Peripheral Regions of Eastern Poland," Agriculture, MDPI, vol. 11(3), pages 1-28, February.
    15. Manuel Fernández-Esquinas & María Isabel Sánchez-Rodríguez & José Antonio Pedraza-Rodríguez & Rocío Muñoz-Benito, 2021. "The use of QCA in science, technology and innovation studies: a review of the literature and an empirical application to knowledge transfer," Scientometrics, Springer;Akadémiai Kiadó, vol. 126(8), pages 6349-6382, August.
    16. Patrick Nunn & Roselyn Kumar, 2019. "Measuring Peripherality as a Proxy for Autonomous Community Coping Capacity: A Case Study from Bua Province, Fiji Islands, for Improving Climate Change Adaptation," Social Sciences, MDPI, vol. 8(8), pages 1-26, July.
    17. James Foreman-Peck & Tom Nicholls, 2015. "Inter-regional mobility of entrepreneurial SMEs," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(1), pages 57-87, January.
    18. Camilleri, Silvio John & Falzon, Joseph, 2013. "The Challenges of Productivity Growth in the Small Island States of Europe: A Critical Look of Malta and Cyprus," MPRA Paper 62489, University Library of Munich, Germany.

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