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The Influence of Geographic Clusters and Knowledge Spillovers on the Product Innovation Activities of New Ventures

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  • Brett Anitra Gilbert
  • Mika Tatum Kusar

Abstract

Geographic clusters have an impressive track record for producing innovative firms. In this research, we examine whether a geographic cluster location and the knowledge spillovers new ventures assimilate influence both their explorative and exploitative innovation activities. We hypothesize a stronger relationship of industry clustering on exploitative innovations but a stronger relationship of knowledge spillovers on explorative innovations. We expect the interaction will result in more exploitative innovations than explorative innovations. The data support most hypotheses.

Suggested Citation

  • Brett Anitra Gilbert & Mika Tatum Kusar, 2006. "The Influence of Geographic Clusters and Knowledge Spillovers on the Product Innovation Activities of New Ventures," Papers on Entrepreneurship, Growth and Public Policy 2006-16, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
  • Handle: RePEc:esi:egpdis:2006-16
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    File URL: ftp://papers.econ.mpg.de/egp/discussionpapers/2006-16.pdf
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    References listed on IDEAS

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    1. 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.
    2. Brett Anitra Gilbert & David B. Audretsch & Patricia P. McDougall, 2004. "The Emergence of Entrepreneurship Policy," Small Business Economics, Springer, vol. 22(3_4), pages 313-323, April.
    3. Jongseok Lee & Jeho Lee & Habin Lee, 2003. "Exploration and Exploitation in the Presence of Network Externalities," Management Science, INFORMS, vol. 49(4), pages 553-570, April.
    4. Dietmar Harhoff, 1996. "Strategic Spillovers and Incentives for Research and Development," Management Science, INFORMS, vol. 42(6), pages 907-925, June.
    5. Bresnahan, Timothy F & Gambardella, Alfonso & Saxenian, AnnaLee, 2001. "'Old Economy' Inputs for 'New Economy' Outcomes: Cluster Formation in the New Silicon Valleys," Industrial and Corporate Change, Oxford University Press, vol. 10(4), pages 835-860, December.
    6. Julian Birkinshaw & Neil Hood, 2000. "Characteristics of Foreign Subsidiaries in Industry Clusters," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 31(1), pages 141-154, March.
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    Cited by:

    1. Mendonça, Joana & Heitor, Manuel, 2016. "The changing patterns of industrial production: How does it play for the Iberian Peninsula?," Technological Forecasting and Social Change, Elsevier, vol. 113(PB), pages 293-307.

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