Local Innovation Networks Research Articles

Investigating the Factors Fostering Sustainable Collaboration between Japanese Companies and UK Universities

Under fierce global competition in a knowledge-based economy, Japanese companies based in the UK have intensified research and development (R&D) collaboration and have been expanding their networks with excellent local universities and research institutes. Through administering questionnaires and interviews, this study attempts to clarify how Japanese companies absorb capacities by carrying out advanced R&D with local universities and what benefits and spillover affect the UK academics. The results indicate that the Japanese companies located geographically close to excellent research environments are more satisfied with the outcomes of their collaborative R&D with UK universities. Further, those companies have developed their organisational capacity by embedding themselves into the local innovation network. Moreover, UK academics have gained funding opportunities as well as research capabilities with an entrepreneurial mind-set through the intensifying collaboration with Japanese companies.

Research on Collective Learning Mechanism and Influencing Factors of Industrial Cluster Innovation Network

This study attempts to contribute to the cluster innovation literature by adding the collective learning perspective and propose an analytical framework on collective learning of cluster. Industrial cluster is viewed as a prevalent mode for technology innovation in knowledge-based economy. Collective learning outlines how local innovation network and spatial proximity between actors influence the sharing and creation of skills and knowledge in cluster. Firstly, this study discusses the structure and character of innovation network within industrial cluster. Secondly, it analyzes the collective learning mechanism of industrial cluster, which is involves in three dimensions: horizontal learning, vertical learning and multi-angle learning. Then, it focuses on some influencing factors of collective learning within innovation network. Finally, this study analyzes the role of global-local linkages in the dynamic capability of cluster innovation network.

Relationships and evolving networks of rural manufacturing clusters: A case study in Yucheng County, Henan Province of China

The evolution of networks in rural industrial clusters, in particular in the context of China has been paid more attention to in the world. Applying the theory and techniques of social network analysis (SNA), this study is with particular regard to the business network relationships and their evolutionary dynamics of steel measuring tape manufacturing clustered in Nanzhuang Village, Yucheng County of Henan Province, China, which is important for better understanding the industrial and regional development in less developed rural areas. From data collected by comprehensive questionnaire survey in 2002 and mass interviews with 60 enterprises and assembling families and several government authorities in 2002, 2003, 2004, 2005 and 2008, four types of networks are identified: spin-off, consulting, communication and cooperative. The characteristic of these networks is outlined in detail. Compared with the high-tech clusters of typical developed areas, the networks that have evolved in traditional manufacturing clusters are more affected by emotive linkages. The cluster networks are shown to exhibit a polycentric hierarchical structure. The family relationships are the dominate spin-off channels of enterprises, while the supply and demand relationships and the mobility of the skilled workers are also important paths of network learning, and the cooperation relationships are comparatively stable. Besides the root enterprises, the middle-sized enterprises are comparatively more active than small-sized enterprises, and the intermediary agencies and the service institutions act as bridges of the inter-enterprises cooperation. By analysis of the structure of networks and the interactions between the networks, the four stages of network evolution are also identified. The four stages are dominated by the family networks, the internal division production networks, the local innovation networks and the global supply networks respectively, and they play different roles in cluster development.

Revealing local innovation networks in large-scale irrigation schemes

Au Maroc, le developpement et la diffusion des innovations techniques dans les grands perimetres irrigues ont longtemps ete concus comme relevant necessairement de politiques dirigistes, ce qui a masque les initiatives locales des agriculteurs. Une analyse des reseaux locaux de dialogue et des pratiques de coordination des acteurs a ete effectuee, dans le cas de l’introduction des agrumes par les agriculteurs d’une cooperative de la reforme agraire, dans le perimetre irrigue du Gharb. Ces reseaux et ces pratiques sont apparus comme moteurs d’une innovation autour de laquelle se cristallisent des enjeux a la fois techniques et sociaux, mais aussi de construction identitaire. La mise en evidence de ces dynamiques ouvre des pistes pour renouveler les methodes d’appui aux agriculteurs et plus generalement aux communautes rurales.

Knowledge networks in local and global space

The objective of the paper is to discuss the space and scale of knowledge networks for innovation. The point of departure is a critical review of territorialised innovation theories according to which the source of growth and competitiveness is to be found in the innovative interplay among local actors and institutions. The region is believed to play a particular role as incubator or mediator for small firms. On this background the question raised is what globalisation and the emergence of time and space shrinking technologies imply to the spatial scale of knowledge networks. It is shown that the territorialised innovation theories rest on simplistic perceptions of embeddedness and space, and on functional notions of proximity which treat the firms as black box. The result is a considerable regional determinism. On the basis of recent network theory and empirical results, it is argued that firms do find knowledge sources on different spatial scales. Global networks or distant knowledge sources are particularly beneficial to innovation and firms are able to establish and participate in knowledge networks on all spatial scales. The political focus on local and regional innovation networks should therefore be changed and the role of the region redefined.

Knowledge and Cooperation for Regional Development: The Effect of Provincial and Federal Policy Initiatives in Canada and Australia 1

Abstract This paper examines how federal systems of government in Canada and Australia deal with the challenges of promoting regional innovation and knowledge‐based industries. It focuses on selected cases of federal and regional (provincial or municipally based) policy initiatives and structures that support cross‐sector collaboration between ‘knowledge institutions’ (such as universities) and locally based industries. The study reveals both anticipated commonalities in and unexpected differences between the Canadian and Australian innovation environments and policy approaches. Federalism, resource‐based economies and sparse population have led to similar concerns and solutions. However, building local innovation systems and networks is a question of building on social capital and Canada seems rather more inventive and effective than Australia in turning social capital into sustainable organisations. Several regions of Canada have developed very strong community involvement in networks and institutions for improving technological skills, awareness and programmes—examples which provide valuable lessons for Australia.

Technology Spillovers, Agglomeration, and Regional Economic Development

Technology spillovers and agglomeration are critical issues in regional economic development. The presence of geographically localized spillovers in a region attracts firms and thereby leads to a higher level of agglomeration. On the other hand, the agglomeration of firms facilitates localized spillovers through local innovation networks. The endogenous nature of the relationship between spillovers and agglomeration, however, has been rarely acknowledged in the existing literature. This article critically reviews a wide range of issues related to technology spillovers and agglomeration and proposes a comprehensive conceptual framework to understand the mechanism of regional economic development.

Regional technology policy and factors shaping local innovation networks in small German cities1

Local innovation networks are considered to be important to innovation and technological change and to growth prospects of regions and cities in Germany. When analysing the local (or regional) innovation system, one should consequently not only investigate horizontal and vertical relations among firms but also the contacts with universities and other research institutions. Furthermore, the role of government agencies and interest groups that provide financial support as well as commercial and technical information should also be taken into account. However, the review of relevant theoretical and empirical investigations related to the German experience shows that such innovation and R&D cooperation networks appear to be less significant than expected. In general various regional technology policy measures adopted in German states (the provision of research infrastructure, establishment of technology centres, innovative small and medium sized enterprises support programmes, etc.) have been more successful in economically better-off large cities than in the rural areas. Apart from offering a critical review of relevant theoretical and empirical research, this study introduces the present regional technology and R&D promotion policies in German states and examines the local innovation systems, taking Landshut as an example.

Organizational Learning in Multinationals: R&D Networks of Japanese and US MNEs in the UK*

ABSTRACTThe institutional approach treats organizational forms and behaviour as contingent upon institutions that are durable and socially embedded and so several authors have argued that the nature and modes of operation of multinational enterprises (MNEs) vary according to their national origins. This paper examines the ways in which national patterns of organization and innovation affect Japanese and US MNEs’ global R&D networks and transnational learning, based on case studies of their R&D laboratories in the UK. In particular, it focuses on how these MNEs tap into foreign academic knowledge base and scientific labour through collaborative links with higher education institutions.Relative to many Japanese MNEs, US firms have developed a greater organizational capacity for coordinating globally dispersed learning and embedding themselves in local innovation networks because the liberal institutional environment within which US MNEs have developed enables them to extend their organizational and human resource systems across institutional and geographical boundaries. By contrast, Japanese MNEs appear to be more limited in their transnational learning because of the much more tightly integrated organizational and business system within which they are embedded. The paper also illustrates how the contrasting logics of the US ‘professional community’ and the Japanese ‘organizational community’ model of learning are manifested in MNEs.

Multinationals and the Canadian Innovation Process

This paper examines whether new views of the multinational that see these firms as decentralizing research and development (RD the type of RD the importance of RD whether the use of these other ideas indicates that multinationals are closely tied into local innovation networks; the intensity of innovation; and the use that is made of intellectual property rights to protect innovations from being copied by others. We find that, far from being passively dependent on R&D from their parents, foreign-owned firms in Canada are more active in R&D than the population of Canadian-owned firms. They are also more often involved in R&D collaboration projects both abroad and in Canada. As expected, foreign subsidiaries enjoy the advantage of accessing technology from their parent and sister companies. While multinationals are more closely tied into a network of related firms for innovative ideas than are domestically owned firms, their local R&D unit is a more important source of information for innovation than are these inter-firm links. Surprisingly, foreign subsidiaries also more frequently report that they are using technology from unrelated firms. Moreover, the multinational is just as likely to develop links into a local university and other local innovation consortia as are domestically owned firms. This evidence indicates that multinationals in Canada are not, on the whole, operating subsidiaries whose scientific development capabilities are truncated - at least not in comparison to domestically owned firms. A comparison of the extent and impact of innovation activity of domestically and foreign-owned firms shows that foreign-owned firms innovate in all sectors more frequently than Canadian-owned companies in almost all size categories. They are also more likely to introduce world-first rather than more imitative innovations. Their superiority is most pronounced in the consumer goods sector. Finally, foreign-owned firms are more likely to protect their innovations with patent protection. The paper also compares foreign subsidiaries to Canadian corporations that have an international orientation. These additional comparisons show that the two groups of multinationals are quite similar, both with regards to the likelihood that they conduct some form of R&D and that they introduce innovations. These results indicate that it is as much the degree of globalization that the nationality of ownership that affects the degree of innovativeness. Overall, the survey results suggest that foreign-owned firms make a significant contribution to technological progress and innovation