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Network externalities of the innovation network in China’s five urban agglomerations: based on “buzz-and-pipeline” theory

Author

Listed:
  • Yushan Wang

    (Zhaoqing University)

  • Guanghui Wang

    (Institute of Geographic Sciences and Natural Resources Research, Chinese Academy of Sciences)

  • Gang Chen

    (Jiangxi University of Finance and Economics)

Abstract

In the era of the knowledge economy, innovation networks have emerged as crucial drivers in shaping urban economic development patterns. Network externalities represent a key mechanism for understanding the economic impact dynamics of innovation networks. This paper constructs a three-dimensional innovation network integrating knowledge, technology, and innovation. By applying social network analysis and GIS-based spatial analysis, it explores the spatiotemporal evolution of innovation networks in China’s five major urban agglomerations from 2011 to 2020. The dual-weight spatial econometric model is further employed to empirically examine the network externalities of intra- and inter-agglomeration innovation networks. The main findings are as follows: (1) From 2011 to 2020, intra-agglomeration networks displayed an uneven spatial distribution and a clear hierarchical structure. Inter-agglomeration networks evolved from a hub-and-spoke pattern to a diamond-shaped spatial structure. (2) Innovation networks generate significant externalities for urban economic development. The intra-agglomeration “buzz” effect produces stronger positive externalities, complementing the inter-agglomeration “pipeline” effect. Knowledge networks and technology networks interact, reinforcing these externalities. (3) Industrial upgrading moderates network externalities, but this effect remains confined to intra-agglomeration networks and has not yet overcome the inter-agglomeration threshold. (4) Network externalities vary across urban agglomerations and depend on the degree of network embeddedness, exhibiting clear heterogeneity. At the theoretical level, this paper constructs a multidimensional spatial model of urban innovation networks, integrating knowledge and technology flows. Drawing on “buzz-and-pipeline” theory, this paper proposes a framework that combines intra- and inter-agglomeration perspectives, offering new insights for the study of innovation network and network externalities.

Suggested Citation

  • Yushan Wang & Guanghui Wang & Gang Chen, 2025. "Network externalities of the innovation network in China’s five urban agglomerations: based on “buzz-and-pipeline” theory," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 12(1), pages 1-20, December.
    • Handle: RePEc:pal:palcom:v:12:y:2025:i:1:d:10.1057_s41599-025-05191-2
    DOI: 10.1057/s41599-025-05191-2
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