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Does 'Clustering' really help firms'innovative activities?

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Author Info
Catherine Beaudry (Manchester Business School, University of Manchester, United Kingdom)
Stefano Breschi () (CESPRI, Universita' Bocconi, Milano, Italy)

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Abstract

This paper examines whether location in strong industrial clusters translates into a higher probability of innovating. A firm-level analysis of the UK and Italy is performed. Innovative activities of firms (European patent data for 1988-98) are related to regional employment, other cluster-specific and firm-specific variables. Clustering per se does not explain all of a firm's inno-vative performance. While location in a cluster densely populated by innovative firms positively af-fects the likelihood of innovating, strong disadvantages arise from the presence of non-innova-tive firms, both in own and other sectors industries. Firms' innovative persistence and the regional knowledge stock are also important.

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Publisher Info
Paper provided by CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy in its series CESPRI Working Papers with number 111.

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Length: 46 pages
Date of creation: Feb 2000
Date of revision: Jul 2000
Handle: RePEc:cri:cespri:wp111

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Related research
Keywords: Clusters; Innovation; Knowledge; Spillovers;

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Find related papers by JEL classification:
L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
O30 - Economic Development, Technological Change, and Growth - - Technological Change - - - General
O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
R12 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Catherine Beaudry, 2001. "Entry, Growth and Patenting in Industrial Clusters: A Study of the Aerospace Industry in the UK," International Journal of the Economics of Business, Taylor and Francis Journals, vol. 8(3), pages 405-436, November. [Downloadable!] (restricted)
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