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The Impact of Industrial District Affiliation on Firm Value Creation

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  • F. XAVIER MOLINA-MORALES
  • M. TERESA MARTÍNEZ-FERNAÁNDEZ

Abstract

This article reviews ideas from the industrial district literature. In particular, it compares industrial district members and non-members in terms of value creation capacity. We have proposed a set of explanatory factors including common reputation, intensity of exchange and combination of resources, and participation of local institutions. This model has been applied to a sample of 350 manufacturing firms in order to test the case of the Valencia region. Findings suggest a positive association between district membership, possession of competitive factors and value creation measured by innovation. Implications of the article have relevant prescriptions for regional planners and individual entrepreneurs.

Suggested Citation

  • F. Xavier Molina-Morales & M. Teresa Martínez-Fernaández, 2003. "The Impact of Industrial District Affiliation on Firm Value Creation," European Planning Studies, Taylor & Francis Journals, vol. 11(2), pages 155-170, March.
    • Handle: RePEc:taf:eurpls:v:11:y:2003:i:2:p:155-170
    DOI: 10.1080/0965431032000072855
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    Cited by:

    1. Francisco Puig & Borja Portero & Miguel González-Loureiro, 2017. "Clustering strategy and development of subsidiaries in China," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 44(2), pages 221-243, June.
    2. Eleonora Di Maria & Stefano Micelli, 2007. "District leaders as open networks: emerging business strategies in Italian industrial districts," "Marco Fanno" Working Papers 0038, Dipartimento di Scienze Economiche "Marco Fanno".
    3. José Antonio Belso-Martínez & F. Xavier Molina-Morales, 2011. "The drivers of the open district development: a social capital approach," Regional Science Policy & Practice, Wiley Blackwell, vol. 3(2), pages 49-70, June.
    4. F. Xavier Molina-Morales & Josep Capó-Vicedo & M. Teresa Martínez-Fernández & Manuel Expósito-Langa, 2013. "Social capital in industrial districts: Influence of the strength of ties and density of the network on the sense of belonging to the district," Papers in Regional Science, Wiley Blackwell, vol. 92(4), pages 773-789, November.
    5. Pla-Barber, José & Puig, Francisco, 2009. "Is the influence of the industrial district on international activities being eroded by globalization?: Evidence from a traditional manufacturing industry," International Business Review, Elsevier, vol. 18(5), pages 435-445, October.
    6. Amézquita, Juan C. & Puig, Francisco & Royo-Vela, Marcelo, 2022. "Location, market orientation, and firm performance: An analysis of the Colombian healthcare industry," TEC Empresarial, School of Business, Costa Rica Institute of Technology (ITCR), vol. 16(3), pages 34-54.
    7. Rodríguez-Victoria, Orietha E. & González-Loureiro, Miguel & Puig, Francisco, 2017. "Economic Competitiveness: Effects of Clustering, Innovation Strategy and the Moderating Role of Location in the Colombian Hotel Industry," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 39, pages 81-97.
    8. J Knoben & AT Arikan & F van Oort & O Raspe, 2016. "Agglomeration and firm performance: One firm’s medicine is another firm’s poison," Environment and Planning A, , vol. 48(1), pages 132-153, January.
    9. Pulles, Niels J. & Schiele, Holger, 2013. "Social Capital Determinants of Preferential Resource Allocation in Regional Clusters," management revue - Socio-Economic Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 24(2), pages 96-113.
    10. Hervas Oliver,Jose Luis & Gonzalez,Gregorio & Caja,Pedro, 2014. "Clusters and industrial districts: where is the literature going? Identifying emerging sub-fields of research," INGENIO (CSIC-UPV) Working Paper Series 201409, INGENIO (CSIC-UPV).

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