Knowledge creation and knowledge acquisition in the software industry in Slovakia: the case study of Košice region

Abstract

AbstractThis paper examines the software industry in the Slovakian Košice region and explains the knowledge creation and acquisition processes in the area. On the basis of the conceptual framework of territorial pattern of innovation, the paper shows that the creation and acquisition of knowledge external to the region plays an important role in different stages of sector and regional development and innovation performance. The software industry is, at present, one of the most dynamic industries in the Slovak economy as the progressive growth of both the number of firms and employment attest. In particular, the development of the software sector in Košice is interconnected with the establishment of a steel company, which had an important influence on the industrial structure of the region, as well as on the its technology profile. Currently, Košice presents a successful case in Slovakia in terms of the localization of the innovative software industry, where knowledge acquired via linkages with other regions shaped the innovation pattern of the region. Namely, whereas process innovation is mostly developed outside the region, product innovation is locally developed and linked to specific ICT product niches.