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When Does Co-location of Manufacturing and R&D Matter?

  • Ketokivi, Mikko

While both manufacturing and R&D location decisions have received considerable theoretical and empirical attention from economists and organization scientists, theories and evidence regarding the co-location of the two are scarce. The goal of this article is to lay the theoretical foundation for R&D-manufacturing co-location. Theories of functional integration along with qualitative and preliminary quantitative empirical data are used to examine the question : when is co-location of R&D and manufacturing necessary?

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Paper provided by The Research Institute of the Finnish Economy in its series Discussion Papers with number 1051.

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Length: 22 pages
Date of creation: 2006
Date of revision:
Handle: RePEc:rif:dpaper:1051
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  1. Howells, Jeremy R., 1995. "Going global: The use of ICT networks in research and development," Research Policy, Elsevier, vol. 24(2), pages 169-184, March.
  2. Stephen Appold, 2005. "Location Patterns of US Industrial Research: Mimetic Isomorphism and the Emergence of Geographic Charisma," Regional Studies, Taylor & Francis Journals, vol. 39(1), pages 17-39.
  3. Myriam Mariani, 2002. "Next to Production or to Technological Clusters? The Economics and Management of R&D Location," Journal of Management and Governance, Springer, vol. 6(2), pages 131-152, May.
  4. Rafii, Farshad, 1995. "How important is physical collocation to product development success?," Business Horizons, Elsevier, vol. 38(1), pages 78-84.
  5. Audretsch, David B & Feldman, Maryann P, 1996. "R&D Spillovers and the Geography of Innovation and Production," American Economic Review, American Economic Association, vol. 86(3), pages 630-40, June.
  6. Xavier, CASTANER & Mikko, KETOKIVI, 2003. "Planning as an integrative device," Les Cahiers de Recherche 775, HEC Paris.
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