Innovation in the Periphery: A Critical Survey and Research Agenda

Jakob Eder

doi:10.1177/0160017618764279

Abstract

Scholars of the geography of innovation have produced an impressive body of literature over the last decades. However, until recently this research focused on successful core regions, implicitly assuming that there is no innovation in peripheral areas. This view is being increasingly questioned, which is reflected by a rising number of papers, special issues, and edited volumes on innovation outside of agglomerations. Hence, this rapidly emerging field calls for a critical survey. In order to identify a future research agenda, this article conducts a systematic literature review of the work on innovation in the periphery (1960–2016). As such, it explores the recurring themes and key issues of the field and discusses the various periphery concepts applied, ranging from a geographic to a functional perspective on various scales. In doing so, it outlines options for policy makers and suggests avenues for future research: first, the periphery concept needs more refinement. Second, future studies should include systematic comparisons of regions. Third, an evolutionary perspective might provide new insights. Fourth, future work could explore the benefits peripheries offer for certain kinds of innovation. Fifth, urban–rural linkages might be of higher relevance than assumed. Sixth, research should go beyond the well-known examples. Finally, the analysis could be extended by applying a broader understanding of innovation.

Highlights

The relation between geographical proximity and economic development is a key aspect in economic geography (Simmie 2005; Howells and Bessant 2012)
As territorial innovation models (TIMs) assume that spatial proximity and urbanization economies are beneficial or even mandatory for innovation, this would mean that firms in peripheral settings could not innovate
The literature review provided a detailed picture of the status quo of the research on innovation in peripheral regions

Summary

Introduction

The relation between geographical proximity and economic development is a key aspect in economic geography (Simmie 2005; Howells and Bessant 2012). Since Jacobs (1969), there is little doubt that urbanization economies are beneficial and that they might be even more important. This is underlined by the recent debate on the related variety (Frenken, Van Oort, and Verburg 2007), which argues that Jacobs’ externalities (i.e., related variety within sectors) are crucial for economic development and innovation. Following the ideas of Marshall (1919) and Jacobs (1969), territorial innovation models (TIMs; Moulaert and Sekia 2003, 291) have become influential within economic geography and in policy-making but have hardly ever yielded the expected results (Martin and Sunley 2003). The dominance of TIMs might have been a reason why there has not been much interest in innovation processes and potentials of peripheral regions

Objectives

Findings

Conclusion