IDEAS home Printed from https://ideas.repec.org/p/egu/wpaper/1416.html
   My bibliography  Save this paper

Spinoff and Clustering: a return to the Marshallian district

Author

Listed:
  • Lucia Cusmano
  • Andrea Morrison
  • Enrico Pandolfo

Abstract

The origin and growth of industrial clusters have attracted the attention of scholars and policy makers since the early era of industrialisation. The seminal work by Alfred Marshall has represented the foundation for a rich strand of literature, whose late expansion and refinement were inspired by the experiences of localised development in emerging regions. This is the case of Italian industrial districts, which have emerged as a territorial model of industrial agglomeration, decentralised production and flexible specialisation. Recently, the traditional explananda of the emergence of clusters have been reconsidered. The evidence about the growth of clusters in areas that did not have obvious natural advantages, nor the first comers’ benefits of early agglomeration economies, has inspired a different conceptualisation, which draws consistently from the evolutionary perspective on industrial dynamics. Klepper (2001, 2010) shows that more successful firms have higher spin-off rates and their spin-offs tend to outperform competitors. Organizational reproduction and heredity are thus identified as the primary forces underlying clustering. The present paper investigates the emergence and evolution of an Italian industrial district, the Sassuolo tile district, one of the largest and most successful ceramic districts in the world, and a paradigmatic example of Italian Marshallian district. Overall, our findings confirm that organizational reproduction and heredity represent primary mechanisms of clustering. However, our results also show that spin-offs do not perform better than non-spin-offs. It appears that, in dense industrial environments and social networks, competitive advantages can also be acquired or built through other channels.

Suggested Citation

  • Lucia Cusmano & Andrea Morrison & Enrico Pandolfo, 2014. "Spinoff and Clustering: a return to the Marshallian district," Papers in Evolutionary Economic Geography (PEEG) 1416, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jul 2014.
  • Handle: RePEc:egu:wpaper:1416
    as

    Download full text from publisher

    File URL: http://econ.geo.uu.nl/peeg/peeg1416.pdf
    File Function: Version July 2014
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Klepper, Steven, 2010. "The origin and growth of industry clusters: The making of Silicon Valley and Detroit," Journal of Urban Economics, Elsevier, vol. 67(1), pages 15-32, January.
    2. Ron A. Boschma & Rik Wenting, 2007. "The spatial evolution of the British automobile industry: Does location matter?," Industrial and Corporate Change, Oxford University Press, vol. 16(2), pages 213-238, April.
    3. Fiorenza Belussi & Silvia Rita Sedita, 2008. "Life Cycle vs. Multiple Path Dependency in Industrial Districts," European Planning Studies, Taylor & Francis Journals, vol. 17(4), pages 505-528, November.
    4. Lazerson, Mark H & Lorenzoni, Gianni, 1999. "The Firms That Feed Industrial Districts: A Return to the Italian," Industrial and Corporate Change, Oxford University Press, vol. 8(2), pages 235-266, June.
    5. Roberta Rabellotti & Anna Carabelli & Giovanna Hirsch, 2007. "Italian Industrial Districts on the Move: Where Are They Going?," European Planning Studies, Taylor & Francis Journals, vol. 17(1), pages 19-41, July.
    6. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-499, June.
    7. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-1152, December.
      • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
      • Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
    8. Klepper, Steven & Thompson, Peter, 2010. "Disagreements and intra-industry spinoffs," International Journal of Industrial Organization, Elsevier, vol. 28(5), pages 526-538, September.
    9. Russo, Margherita, 1985. "Technical change and the industrial district: The role of interfirm relations in the growth and transformation of ceramic tile production in Italy," Research Policy, Elsevier, vol. 14(6), pages 329-343, December.
    10. Brusco, Sebastiano, 1982. "The Emilian Model: Productive Decentralisation and Social Integration," Cambridge Journal of Economics, Oxford University Press, vol. 6(2), pages 167-184, June.
    11. Ron Boschma & Dirk Fornahl, 2011. "Cluster Evolution and a Roadmap for Future Research," Regional Studies, Taylor & Francis Journals, vol. 45(10), pages 1295-1298, November.
    12. Gerben van der Panne & Cees van Beers, 2006. "On the Marshall--Jacobs controversy: it takes two to tango," Industrial and Corporate Change, Oxford University Press, vol. 15(5), pages 877-890, October.
    13. Klepper, Steven, 2001. "Employee Startups in High-Tech Industries," Industrial and Corporate Change, Oxford University Press, vol. 10(3), pages 639-674, September.
    14. Iammarino, Simona & McCann, Philip, 2006. "The structure and evolution of industrial clusters: Transactions, technology and knowledge spillovers," Research Policy, Elsevier, vol. 35(7), pages 1018-1036, September.
    15. Max-Peter Menzel & Dirk Fornahl, 2010. "Cluster life cycles--dimensions and rationales of cluster evolution," Industrial and Corporate Change, Oxford University Press, vol. 19(1), pages 205-238, February.
    16. Maskell, Peter & Malmberg, Anders, 1999. "Localised Learning and Industrial Competitiveness," Cambridge Journal of Economics, Oxford University Press, vol. 23(2), pages 167-185, March.
    17. Lucia Cusmano & Maria Luisa Mancusi & Andrea Morrison, 2010. "Globalization of Production and Innovation: How Outsourcing is Reshaping an Advanced Manufacturing Area," Regional Studies, Taylor & Francis Journals, vol. 44(3), pages 235-252.
    18. David, Paul A. & Rosenbloom, Joshua L., 1990. "Marshallian factor market externalities and the dynamics of industrial localization," Journal of Urban Economics, Elsevier, vol. 28(3), pages 349-370, November.
    19. von Hippel, Eric, 1987. "Cooperation between rivals: Informal know-how trading," Research Policy, Elsevier, vol. 16(6), pages 291-302, December.
    20. Rachel Hilliard & David Jacobson, 2011. "Cluster versus Firm-specific Factors in the Development of Dynamic Capabilities in the Pharmaceutical Industry in Ireland: A Study of Responses to Changes in Environmental Protection Regulations," Regional Studies, Taylor & Francis Journals, vol. 45(10), pages 1319-1328, November.
    21. Gerben van der Panne & Cees van Beers, 2006. "On the Marshall - Jacobs Controversy It takes two to tango," DRUID Working Papers 06-23, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hervas-Oliver, Jose-Luis & Lleo, María & Cervello, Roberto, 2017. "The dynamics of cluster entrepreneurship: Knowledge legacy from parents or agglomeration effects? The case of the Castellon ceramic tile district," Research Policy, Elsevier, vol. 46(1), pages 73-92.
    2. Trippl , Michaela & Grillitsch , Markus & Isaksen , Arne & Sinozic , Tanja, 2015. "Understanding Cluster Evolution," Papers in Innovation Studies 2015/46, Lund University, CIRCLE - Center for Innovation, Research and Competences in the Learning Economy.
    3. Giulio Carli & Andrea Morrison, 2018. "On the evolution of the Castel Goffredo hosiery cluster: A life cycle perspective," Papers in Evolutionary Economic Geography (PEEG) 1811, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Mar 2018.
    4. repec:eee:respol:v:47:y:2018:i:3:p:663-673 is not listed on IDEAS
    5. Arne Isaksen & Franz Tödtling & Michaela Trippl, 2016. "Innovation policies for regional structural change: Combining actor-based and system-based strategies," SRE-Disc sre-disc-2016_05, Institute for Multilevel Governance and Development, Department of Socioeconomics, Vienna University of Economics and Business.
    6. Andrea Morrison & Ron Boschma, 2017. "The spatial evolution of the Italian motorcycle industry (1893-1993): KlepperÕs heritage theory revisited," Papers in Evolutionary Economic Geography (PEEG) 1707, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Mar 2017.
    7. Paolo Di Martino & Emanuele Felice & Michelangelo Vasta, 2017. "The curious case of the coexistence of two “access-orders”: Explaining the Italian regional divide," Department of Economics University of Siena 758, Department of Economics, University of Siena.
    8. Ron Boschma, 2015. "Do spinoff dynamics or agglomeration externalities drive industry clustering? A reappraisal of Steven Klepper’s work," Industrial and Corporate Change, Oxford University Press, vol. 24(4), pages 859-873.
    9. Sue Konzelmann & Frank Wilkinson, 2016. "Co-operation in Production, the Organization of Industry & Productive Systems: A Critical Survey of the 'District' Form of Industrial Organisation & Development," Working Papers wp481, Centre for Business Research, University of Cambridge.
    10. Andrea Furlan & Roberto Grandinetti, 2018. "Can routines be inherited? A microfoundational approach to spinoffs," "Marco Fanno" Working Papers 0217, Dipartimento di Scienze Economiche "Marco Fanno".

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:egu:wpaper:1416. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: http://edirc.repec.org/data/deguunl.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.