The role of KIBS in the IC development of regional clusters

Abstract

PurposeThe paper seeks to introduce the concept of knowledge‐intensive business services (KIBS) in the context of regional networks and to analyze the roles of KIBS in regional development, especially from the viewpoint of regional intellectual capital.Design/methodology/approachRegional networks are presented as the networks of production, development and innovation in the region. Drawing from recent literature, the roles of KIBS in regional networks are discussed.FindingsIt is argued that networks for production emphasize explicit knowledge, networks for development emphasize tacit knowledge, and networks for innovation emphasize emergent, potential knowledge. It is further stated that KIBS provide the timely information needed in production networks, transfer best practices that support learning in development networks, and function as sources of innovation and facilitators of innovation processes in innovation networks.Practical implicationsThe paper provides an approach to reduce the complexity of regional networks into a more manageable level, and highlights the importance of knowledge‐intensive business services in regions.Originality/valueThe approach used in this paper addresses the following gaps in existing research: it argues that KIBS are important actors in the regional IC development, highlights that the roles of KIBS are different in production, development and innovation activities, and argues that a successful region needs all of these activities.