Bridging the Knowledge and Business Ecosystems: Resources and Mechanisms for Regional Entrepreneurial Development

Abstract

This article explores a phenomenon of a regional startup ecosystem—its key elements, resources and mechanisms needed for the ecosystem development and growth. Despite famous success stories of such regional ecosystems as Silicon Valley, the literature suggests multiple problems to emerge on the ecosystem development pathway. One of the common issues is a relative disconnect between the knowledge subsystem represented by research centers or universities and a business subsystem represented by mainly large firms. The current understanding of the underlying mechanisms helping to bridge the gap between knowledge and business ecosystems in entrepreneurial regions remain limited. Studying the case of one of the oldest science and technology parks in the world, Research Triangle Park in North Carolina, usa, we explore the development of a regional ecosystem—its elements, challenges and mechanisms to address those. Our findings reveal the key elements, with entrepreneurial networks being one of the most crucial, and explain the difficulties in the elements’ interaction.