The Effects of Cluster Agglomeration and Boundary Spanning on Firms’ Dynamic Competitive Advantage: Mediation of Knowledge Renewal and Moderation of Coopetition Relationship

Existing research has highlighted knowledge sharing and performance outcomes within industrial clusters but provides limited insight into how firms leverage internal capabilities to transform external knowledge, as well as the coopetitive conditions under which this transformation is most effective. This study proposes an intermediary mechanism for knowledge renewal, illustrating how enterprises restructure cluster knowledge to enhance their dynamic competitive advantage. It further examines the moderating role of coopetition relationships to reveal how varying intensities of these relationships influence knowledge conversion and the formation of competitive advantage. Data from 469 enterprises across multiple industrial clusters in China were collected and analyzed using structural equation modeling. The findings indicate that cluster agglomeration and boundary spanning significantly enhance a firm’s dynamic competitive advantage through knowledge renewal, with coopetition relationship further amplifying this effect. This study contributes to bridging theoretical gaps in research on cluster agglomeration, knowledge renewal, and coopetition relationship. It offers a significant contribution to cluster studies by elucidating the knowledge transformation process and clarifying when coopetition relationship can enhance capability development.