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Embeddedness and innovation in low and medium tech rural enterprises

Author

Listed:
  • Kevin P. Heanue

    (Rural Economy and Development Programme, Teagasc, Athenry, Co. Galway, Ireland)

  • David Jacobson

    (Dublin City University)

Abstract

This paper is based on case studies of four low- and medium-technology firms, two in the furniture industry and two in the metal products industry. The research on innovation and geographic proximity, combined with a reconceptualisation of the Granovetterian concept of embeddedness, provides the theoretical context. Among the issues addressed are whether deep, local embeddedness is essential for innovativeness and whether there is a pattern of change over time in the nature of the relationship between embeddedness and innovation. For example, is deep, local embeddedness associated with innovation in the early but not later stages of the development of the firm? The particular elements of innovation that are examined in relation to firm embeddedness are network relations, interactive learning and knowledge base. The results of close examination of the case study firms suggest that different policies may be appropriate for different firms, in different industries, at different stages in their development. Interspersed throughout is discussion of the relevance of the research to rural industrial development.

Suggested Citation

  • Kevin P. Heanue & David Jacobson, 2007. "Embeddedness and innovation in low and medium tech rural enterprises," Working Papers 0702, Rural Economy and Development Programme,Teagasc.
    • Handle: RePEc:tea:wpaper:0702
    as

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    File URL: http://www.teagasc.ie/rural-economy/downloads/workingpapers/07wpre02.pdf
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    References listed on IDEAS

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    Cited by:

    1. David Jacobson & Francesco Garibaldo, 2011. "The Role of Company Networks in Low-tech Industries," Chapters, in: Paul L. Robertson & David Jacobson (ed.), Knowledge Transfer and Technology Diffusion, chapter 4, Edward Elgar Publishing.
    2. Kevin P. Heanue, 2008. "Measuring Industrial Agglomeration in a Rural Industry: The Case of Irish Furniture Manufacturing," Working Papers 0830, Rural Economy and Development Programme,Teagasc.
    3. Paul L. Robertson & David Jacobson & Richard N. Langlois, 2009. "Innovation Processes and Industrial Districts," Chapters, in: Giacomo Becattini & Marco Bellandi & Lisa De Propis (ed.), A Handbook of Industrial Districts, chapter 21, Edward Elgar Publishing.

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