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Location, collocation and R&D alliances in the European ICT industry

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  • Narula, Rajneesh
  • Santangelo, Grazia D.

Abstract

This paper argues that spatial proximity plays a role in determining the propensity of firms to engage in R&D alliances. Drawing from economic geography, network theory and innovation theory, we discuss how prior collocation can affect the propensity to engage in R&D alliances, arguing that alliances can act both as a substitute and as a complement to collocation. Using a novel dataset matching alliances and patent data for the European ICT industry, we show that alliances are complementary to prior collocation (at both national and sub-national regional level) of firm's R&D labs. In such an intra-industry, oligopolistic scenario, firms strategically use R&D alliances as a means to limit knowledge flows and protect competences, rather than to promote knowledge flows. Furthermore, while a common institutional context is important to promote collaboration, because of the high level of R&D internationalisation as well as the complex social networks within an oligopolistic industry, national institutional contexts are less relevant.

Suggested Citation

  • Narula, Rajneesh & Santangelo, Grazia D., 2009. "Location, collocation and R&D alliances in the European ICT industry," Research Policy, Elsevier, vol. 38(2), pages 393-403, March.
  • Handle: RePEc:eee:respol:v:38:y:2009:i:2:p:393-403
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    2. repec:eee:tefoso:v:122:y:2017:i:c:p:12-23 is not listed on IDEAS
    3. Belderbos, Rene & Gilsing, Victor & Jacob, Jojo, 2011. "Technology alliances in emerging economies: Persistence and interrelation in European firms' alliance formation," MERIT Working Papers 026, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    4. Ana Paula Faria & Natália Barbosa & Vasco Eiriz, 2013. "Firms’ innovation across regions: an exploratory study," NIPE Working Papers 12/2013, NIPE - Universidade do Minho.
    5. Sheila Puffer & Daniel McCarthy & Alfred Jaeger & Denise Dunlap, 2013. "The use of favors by emerging market managers: Facilitator or inhibitor of international expansion?," Asia Pacific Journal of Management, Springer, vol. 30(2), pages 327-349, June.
    6. Ana Paula Faria & Natália Barbosa & Vasco Eiriz, 2015. "Firm Innovation and Co-Location in Portugal," Growth and Change, Wiley Blackwell, vol. 46(4), pages 574-592, December.
    7. repec:eco:journ2:2018-02-2 is not listed on IDEAS
    8. Chia Sun, 2014. "A conceptual framework for R&D strategic alliance assessment for Taiwan’s biotechnology industry," Quality & Quantity: International Journal of Methodology, Springer, vol. 48(1), pages 259-279, January.
    9. Livanis, Grigorios & Lamin, Anna, 2016. "Knowledge, Proximity and R&D Exodus," Research Policy, Elsevier, vol. 45(1), pages 8-26.
    10. repec:eee:wdevel:v:102:y:2018:i:c:p:111-123 is not listed on IDEAS
    11. Koschatzky, Knut & Baier, Elisabeth & Kroll, Henning & Stahlecker, Thomas, 2009. "The spatial multidimensionality of sectoral innovation: the case of information and communication technologies," Working Papers "Firms and Region" R4/2009, Fraunhofer Institute for Systems and Innovation Research (ISI).
    12. Santangelo, Grazia Domenica, 2012. "The tension of information sharing: Effects on subsidiary embeddedness," International Business Review, Elsevier, vol. 21(2), pages 180-195.
    13. Andrea Filippetti & Marion Frenz & Grazia Ietto-Gillies, 2013. "The Role Of Internationalization As A Determinant Of Innovation Performance. An Analysis Of 42 Countries," Working Papers 10, Birkbeck Centre for Innovation Management Research, revised Jan 2013.
    14. Maaß, Frank & Schröder, Christian & Wolter, Hans-Jürgen, 2013. "Kleine und mittlere Unternehmen der Informations- und Kommunikationswirtschaft in Nordrhein-Westfalen," IfM-Materialien 224, Institut für Mittelstandsforschung (IfM) Bonn.
    15. Brian T. McCann & Jeffrey J. Reuer & Nandini Lahiri, 2016. "Agglomeration and the choice between acquisitions and alliances: An information economics perspective," Strategic Management Journal, Wiley Blackwell, vol. 37(6), pages 1085-1106, June.
    16. Murmann, Johann Peter & Ozdemir, Salih Zeki & Sardana, Deepak, 2015. "The role of home country demand in the internationalization of new ventures," Research Policy, Elsevier, vol. 44(6), pages 1207-1225.
    17. Anupama Phene & Stephen Tallman, 2014. "Knowledge Spillovers and Alliance Formation," Journal of Management Studies, Wiley Blackwell, vol. 51(7), pages 1058-1090, November.
    18. Knut Koschatzky & Elisabeth Baier, 2012. "The Impact of Regional Institutional Characteristics on the Location of MNCs – a European Perspective," Chapters,in: Innovation and Institutional Embeddedness of Multinational Companies, chapter 9 Edward Elgar Publishing.
    19. repec:eee:iburev:v:27:y:2018:i:3:p:514-527 is not listed on IDEAS
    20. Venturini, Francesco, 2015. "The modern drivers of productivity," Research Policy, Elsevier, vol. 44(2), pages 357-369.

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