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Entry, Growth and Patenting in Industrial Clusters: A Study of the Aerospace Industry in the UK

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  • Catherine Beaudry

Abstract

This paper studies how firm performance is influenced by the strength of the industrial cluster (or industrial district) in which it is located. The paper presents estimates of firm-level employment and patent growth models for a range of '5-digit' aerospace industries in the UK. In these models, employment in the firm's own sector and employment in other sectors is taken as a measure of the strength of the cluster. Strong positive clustering effects are found in many sectors, but nevertheless some clustering effects are negative. Entry into clusters of this industry is also examined and some sectors are found to attract new entry while others are only attracted.

Suggested Citation

  • 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 & Francis Journals, vol. 8(3), pages 405-436.
  • Handle: RePEc:taf:ijecbs:v:8:y:2001:i:3:p:405-436
    DOI: 10.1080/13571510110079000
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    References listed on IDEAS

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    Cited by:

    1. Guffarth, Daniel & Barber, Michael J., 2014. "Network evolution, success, and regional development in the European aerospace industry," FZID Discussion Papers 96-2014, University of Hohenheim, Center for Research on Innovation and Services (FZID).
    2. Barak S. Aharonson & Joel A.C. Baum & Maryann P. Feldman, 2004. "Industrial Clustering and the Returns to Inventive Activity Canadian Biotechnology Firms, 1991-2000," DRUID Working Papers 04-03, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    3. Silviya Draganinska & Rudiger Wink, 2006. "Formal Knowledge Examination Institutions: Chance Or Threat to European Medium Tech-Nology SMEs? A Cognitive and Institutional Perspective," ERSA conference papers ersa06p404, European Regional Science Association.
    4. Duysters, Geert & Jacob, Jojo & Lemmens, Charmianne & Hu, Jintian, 2008. "Internationalization and Technological Catching Up of Emerging Multinationals: A Case Study of China's Haier Group," MERIT Working Papers 052, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    5. Lee, Chang-Yang, 2009. "Do firms in clusters invest in R&D more intensively? Theory and evidence from multi-country data," Research Policy, Elsevier, vol. 38(7), pages 1159-1171, September.
    6. Francesco Losurdo & Valeria Stragapede, 2011. "Could the aeronautics-aerospace industry renovate the 'poles of growth' model as a path of local development?," ERSA conference papers ersa10p1514, European Regional Science Association.
    7. Feldman, Maryann & Martin, Roger, 2005. "Constructing jurisdictional advantage," Research Policy, Elsevier, vol. 34(8), pages 1235-1249, October.
    8. Werner Bonte, 2004. "Innovation and employment growth in industrial clusters: evidence from aeronautical firms in Germany," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 11(3), pages 259-278.
    9. Daaniel Vertesy & Adam Szirmai, 2010. "Interrupted Innovation: Innovation System Dynamics in Latecomer Aerospace Industries," Globelics Working Paper Series 2010-02, Globelics - Global Network for Economics of Learning, Innovation, and Competence Building Systems, Aalborg University, Department of Business and Management.
    10. Catherine Beaudry & G. Swann, 2009. "Firm growth in industrial clusters of the United Kingdom," Small Business Economics, Springer, vol. 32(4), pages 409-424, April.
    11. Lee, Joosung J. & Yoon, Hyungseok, 2015. "A comparative study of technological learning and organizational capability development in complex products systems: Distinctive paths of three latecomers in military aircraft industry," Research Policy, Elsevier, vol. 44(7), pages 1296-1313.
    12. Biggiero, Lucio & Angelini, Pier Paolo, 2015. "Hunting scale-free properties in R&D collaboration networks: Self-organization, power-law and policy issues in the European aerospace research area," Technological Forecasting and Social Change, Elsevier, vol. 94(C), pages 21-43.
    13. Catherine Beaudry & Stefano Breschi, 2000. "Does 'Clustering' really help firms'innovative activities?," KITeS Working Papers 111, KITeS, Centre for Knowledge, Internationalization and Technology Studies, Universita' Bocconi, Milano, Italy, revised Jul 2000.
    14. repec:eee:respol:v:47:y:2018:i:6:p:1173-1184 is not listed on IDEAS
    15. Ron Martin & Peter Sunley, 2003. "Deconstructing clusters: chaotic concept or policy panacea?," Journal of Economic Geography, Oxford University Press, vol. 3(1), pages 5-35, January.
    16. Folta, Timothy B. & Cooper, Arnold C. & Baik, Yoon-suk, 2006. "Geographic cluster size and firm performance," Journal of Business Venturing, Elsevier, vol. 21(2), pages 217-242, March.
    17. Iritié, B. G. Jean Jacques, 2016. "Economic issues of innovation clusters-based industrial policy : a critical overview," EconStor Preprints 142746, ZBW - German National Library of Economics.
    18. Aharonson, Barak S. & Baum, Joel A.C. & Plunket, Anne, 2008. "Inventive and uninventive clusters: The case of Canadian biotechnology," Research Policy, Elsevier, vol. 37(6-7), pages 1108-1131, July.
    19. Arianna Miglietta, 2004. "Some Theoretical Topics on the Diffusion of Innovation within Industrial Districts: The case of ICT," CERIS Working Paper 200408, Institute for Economic Research on Firms and Growth - Moncalieri (TO) ITALY -NOW- Research Institute on Sustainable Economic Growth - Moncalieri (TO) ITALY.
    20. Kolympiris, Christos & Kalaitzandonakes, Nicholas & Miller, Douglas, 2011. "Spatial collocation and venture capital in the US biotechnology industry," Research Policy, Elsevier, vol. 40(9), pages 1188-1199.
    21. Javier Martínez Romero, 2010. "The development of aerospace clusters in Mexico," Globelics Working Paper Series 2010-03, Globelics - Global Network for Economics of Learning, Innovation, and Competence Building Systems, Aalborg University, Department of Business and Management.

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