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Article
Publication date: 11 September 2009

Antonio Messeni Petruzzelli, Vito Albino and Nunzia Carbonara

Following the line traced by two previous works of Albino et al. and Messeni Petruzzelli, the paper aims to analyze how technology districts reach and acquire external

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Abstract

Purpose

Following the line traced by two previous works of Albino et al. and Messeni Petruzzelli, the paper aims to analyze how technology districts reach and acquire external competencies and capabilities by means of organizational and cognitive proximity. This allows districts to modify their geographical boundaries and evolve into technology clusters.

Design/methodology/approach

The research design is based on a case study methodology. In particular, two actual technology districts are analyzed, namely Castel Romano and Toulouse, in order to show how they use organizational, and cognitive proximity to acquire external knowledge sources and re‐shape their geographical boundaries.

Findings

Based on the findings of the empirical study, two main propositions are formulated. The first proposition refers to the negative relationship between the geographical distance to the district's actors and the use of organizational proximity as a means for reaching external knowledge sources. By contrast, the second proposition indicates the positive relationship between the geographical distance to the district's actors and the use of cognitive proximity as a means for reaching external knowledge sources.

Research limitations/implications

As regards the firm strategic behaviors, it seems particularly crucial to exploit all the three dimensions of proximity, in order to guarantee openness and sustain innovativeness and competitiveness. Concerning policy implications, the local governments should address their actions to help and promote the openness of technology districts and the formation of technology clusters. With this aim, actions should be devoted also to sustaining single local firms that are part of a technology cluster but not of a technology district. These, in fact, by increasing their competitive position, may generate positive externalities in the local area, fostering the diffusion and sharing of knowledge in the area and, then, acting as knowledge gatekeepers for the whole area.

Originality/value

The paper extends the findings of previous works linking three proximity dimensions in a holistic framework that explains the different use of organizational and cognitive proximity to acquire knowledge, according to the geographical distance between organizations.

Details

Journal of Knowledge Management, vol. 13 no. 5
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 14 May 2020

María Teresa Canet-Giner, Ana Redondo-Cano, Francisco Balbastre-Benavent, Naiara Escriba-Carda, Lorenzo Revuelto-Taboada and María del Carmen Saorin-Iborra

This study aims to explore how the fact of belonging to clusters of dissimilar form or characteristics modify the application of human resource management (HRM) practices, as well…

Abstract

Purpose

This study aims to explore how the fact of belonging to clusters of dissimilar form or characteristics modify the application of human resource management (HRM) practices, as well as those knowledge-sharing processes that guide and encourage the intrapreneurial behavior of employees (IPB) in firms belonging to the cluster. The main thesis is that the application of HRM practices and some knowledge management processes are strongly conditioned by the form or characteristics of the cluster, all this in a knowledge-intensive context that requires a contingent application of such practices.

Design/methodology/approach

The research strategy chosen was a qualitative case study, given that the insight the authors were seeking could only be obtained through a fine-grained analysis inside the firm where it is very difficult to decouple the phenomenon to be observed from the context where it takes place. Two cases were selected to analyze the phenomenon in-depth and compare their results; they were big and technologically advanced firms but belonging to clusters of different forms and characteristics.

Findings

Results show that the influence of the cluster based on location is greater than the effects of the cluster formed by networks, where globalization and external ties play an important role. HRM practices and knowledge sharing processes that lead to intrapreneurial behavior are conditioned, only in part, by the characteristics of the cluster. Particularly, the geographical cluster encourages knowledge sharing with competitors and customers, mainly for technical training processes and because of belonging to a sectoral association. However, HRM practices, with the exception of training and compensation policies, are mainly conditioned by the company's culture and internal factors, rather than by belonging to a specific cluster.

Practical implications

Firms belonging to an organized cluster should encourage the development of practical training-oriented programs, not only on technical aspects but also on other skill and competence-based areas. In addition, training based on strategic issues both for top and middle managers could be an interesting initiative. Additionally, clustered firms should develop more knowledge-retention policies to limit the degree of rivalry in the sector, as it is very common for a firm to search for new and specialized talent in the rest of competing firms in the cluster.

Social implications

Considering the economic impact of the geographical cluster, its effect on the employment and development of a region and taking into account the relevant and dynamic role of research institutions and associations, policymakers should support and facilitate the activity of those institutions, reinforcing the relevance of industrial districts or geographical clusters that are threatened by the pressures of globalization.

Originality/value

This study brings new insight into the effect of the form and characteristics of the cluster on HRM practices and knowledge sharing processes that lead to intrapreneurial behavior. The study may open the field for additional studies that, from a qualitative and quantitative perspective, analyze this topic in depth. The paper shows that IPB depends not only on the support of the institutions created in the cluster but also on the culture and competitive strategy of the company. Belonging to a geographical cluster can have an influence on firms’ behavior and can, through the trust generated among its members, facilitate knowledge-sharing processes and intrapreneurial behavior.

Details

Competitiveness Review: An International Business Journal , vol. 32 no. 1
Type: Research Article
ISSN: 1059-5422

Keywords

Article
Publication date: 1 March 2013

Marko Kryvobokov

The purpose of the paper is to verify whether the version of neighbourhoods created from the lowest geographical level improve a predictive accuracy of hedonic model in comparison…

Abstract

Purpose

The purpose of the paper is to verify whether the version of neighbourhoods created from the lowest geographical level improve a predictive accuracy of hedonic model in comparison with those based on upper geographical levels.

Design/methodology/approach

The paper proposes a method for defining neighbourhoods using Thiessen polygons. The clustering technique is based on fuzzy equality. Clustering is started at different geographical levels: municipalities, traffic analysis zones, and apartment blocks' Thiessen polygons. Delineated neighbourhoods are incorporated into hedonic model of apartment prices, the applied methodologies are ordinary least squares and spatial error.

Findings

With ordinary least squares regression, the slight superiority of Thiessen polygons is found in both in‐sample analysis and ex‐sample prediction. With spatial error technique, the clusters of Thiessen polygons do not always provide the best outcome, and their superiority is contested by the highest geographical level of municipalities.

Research limitations/implications

This paper is the first attempt to apply the proposed method, which not always demonstrates clear superiority. In future study, the method of neighbourhood delineation could be used in combination with market segmentation.

Practical implications

The proposal to use Thiessen polygons as a transition from points to continuous space can outline a base for the use of different clustering techniques, which are applicable to delineate neighbourhoods in housing market studies, in particular for the assessment purpose. The fuzzy equality clustering algorithm itself can be applied to polygonal data.

Originality/value

The originality of the proposed method is that it defines neighbourhoods starting from individual observations applying fuzzy equality. Its advantages are an increased independence from existing boundaries, self‐determination of a number of clusters, and total coverage of an area.

Details

International Journal of Housing Markets and Analysis, vol. 6 no. 1
Type: Research Article
ISSN: 1753-8270

Keywords

Article
Publication date: 29 June 2010

Pamela J. Zelbst, Gregory V. Frazier and Victor E. Sower

Location decisions are among the most costly decisions that organizations make. This research aims to examine location decisions from a macro perspective and to utilize findings…

1506

Abstract

Purpose

Location decisions are among the most costly decisions that organizations make. This research aims to examine location decisions from a macro perspective and to utilize findings for the development of a typology.

Design/methodology/approach

County level source information from the US Census Bureau, the United States (US) Department of Commerce: Bureau of Economic Analysis (BEA), National Association of Counties (NACO), and Fedstats is used in this analysis. Discriminant analysis as a profile analysis is utilized as an objective assessment of differences between the cluster concentrations.

Findings

The resulting typology of clusters concentrations is based on four constructs identified in the literature: innovation, specialization, complementariness and transfer of knowledge. This typology can serve as an aid in making these critical location decisions for practitioners as well as identifying future research topics for academia.

Research limitations/implications

The research is an exploratory study and limited by its nature; therefore cause and effect cannot be definitively stated. Variables such as politics, environment, geography and cultural differences could have confounding effects on the study. The generalizability of the study could be affected because of the geographic location in relationship to national differences based on these and other variables.

Practical implications

This typology of cluster concentrations can be used as a tool for managers when making crucial location decisions.

Originality/value

The research is original in that it takes a more holistic approach to developing a typology of cluster concentrations. Rather than looking at specific industries and focusing on industry clusters, the research focuses on concentrations of industry clusters.

Details

Industrial Management & Data Systems, vol. 110 no. 6
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 1 June 2001

Frank McDonald and Giovanna Vertova

Considers the importance of geographical and institutional factors in the development of clusters and industrial districts as a response to economic integration in the European…

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Abstract

Considers the importance of geographical and institutional factors in the development of clusters and industrial districts as a response to economic integration in the European Union (EU). Theoretical works by economists, economic geographers and organisational theorists are synthesised to provide a framework for the analysis of the emergence and/or development of the geographical concentration of firms in response to economic integration in the EU. An explanation based on competitive advantages from creating or developing geographical concentration in response to economic integration is proposed. A threefold classification is made to distinguish between different types of industrial geographical concentration – clusters, industrial districts type I, and industrial districts type II. Argues that the main difference between these three kinds of geographical concentration is attributed to the nature of their networks. Finally, the paper illustrates the importance of geographical concentrations for international business by considering a famous Italian industrial district, the ceramic tile industry in Sassuolo.

Details

European Business Review, vol. 13 no. 3
Type: Research Article
ISSN: 0955-534X

Keywords

Article
Publication date: 18 September 2007

Antonio Messeni Petruzzelli, Vito Albino and Nunzia Carbonara

The purpose of this paper is to analyse if and how technology districts use proximity dimensions (such as geographical, organizational, and cognitive) as a communication resource

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Abstract

Purpose

The purpose of this paper is to analyse if and how technology districts use proximity dimensions (such as geographical, organizational, and cognitive) as a communication resource for accessing external knowledge sources.

Design/methodology/approach

To achieve this purpose, the organizational and cognitive links between technology districts' actors and external ones are identified and then the new geographical boundaries of the districts are drawn. A case study related to an Italian technology district (Torino Wireless) is provided in order to identify how different research organizations located in the district use proximity dimensions for reaching knowledge sources external to the district, then re‐shaping its geographical boundaries.

Findings

The empirical study enables identification of the actors connected to the technology districts by means of geographical, organizational, and cognitive proximity, and their locations. Moreover, results show that organizational proximity is mainly adopted to link actors located near the district area. While, cognitive proximity is mainly adopted to connect actors geographically distant from the district.

Research limitations/implications

As regards technology district strategic behaviour, it seems particularly crucial to exploit all the three dimensions of proximity. In particular, the technology district of Torino Wireless should increase its use of organizational proximity to be connected with external knowledge sources.

Originality/value

The paper proposes a methodology for identifying the external actors connected with the technology districts by means of proximity. Furthermore, the relationships between organizational and geographical proximity, and cognitive and geographical proximity are also investigated.

Details

Journal of Knowledge Management, vol. 11 no. 5
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 11 September 2007

Aleksandar Karaev, S.C. Lenny Koh and Leslie T. Szamosi

The purpose of this paper is to review the effect of a cluster approach on SMEs' competitiveness. The primary objective is to examine the use of a cluster approach among SMEs as a…

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Abstract

Purpose

The purpose of this paper is to review the effect of a cluster approach on SMEs' competitiveness. The primary objective is to examine the use of a cluster approach among SMEs as a tool for meeting their challenges related to globalisation and trade liberalisation, as well as investigating its contributing factor in the process of increasing their competitiveness.

Design/methodology/approach

The methodology used for this paper is a literature review of published materials. The literature analysis was performed based on research objectivity, coverage and authority.

Findings

There is strong evidence to suggest that a cluster policy brings additional positive effect to existing SME policy in industrialised economies, but such effects have not been extensively researched in developing (transition) countries, particularly from the point of view of the SMEs, which are the main actors in the cluster development process, in relation to whether their performance has been improved as a result of cluster effects.

Originality/value

The findings from this research will assist business managers in making more informed decisions regarding the adoption of a cluster approach and entering into cluster‐based relations, as well as assisting policy makers in designing more efficient cluster policies. The academic value will be added in the context of expanding knowledge in relation to the impact of clusters on economic development in transition countries and as such contribute in filling gaps within the existing body of knowledge.

Details

Journal of Manufacturing Technology Management, vol. 18 no. 7
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 8 May 2017

Ainhoa Urtasun and Isabel Gutiérrez

The aim of this paper is twofold. First, clustering patterns of urban hotels are explored, and, second, clustering effects on performance for upscale urban hotels are estimated.

Abstract

Purpose

The aim of this paper is twofold. First, clustering patterns of urban hotels are explored, and, second, clustering effects on performance for upscale urban hotels are estimated.

Design/methodology/approach

Local indicators of spatial association (LISA) were computed using geographic information system (GIS) techniques. Clustering for the entire population of hotels in Madrid was explored visualizing LISA statistics. Then, a system generalized method of moments regression was applied to test a set of hypotheses about the performance effects of LISA statistics for a sample of upscale urban hotels.

Findings

Two significantly distinct types of clusters are identified: dense “cold spots” or clusters containing many low-priced hotels and quiet “hot spots” or clusters only containing a few high-priced hotels. And, estimates confirmed two important results: evidence of adverse selection when clustering and evidence of positive location economies for upscale hotels.

Practical implications

This study has a number of relevant implications for making better hotel location decisions. Specifically, the paper shows the applicability of GIS to find statistically significant clustering in the data. In the hotel sector, knowing exactly where hotel clustering occurs and of what type is of vital importance.

Originality/value

This paper’s novel application of LISA based on GIS techniques for hotel clustering sheds light on the effects of clustering on performance to convey the subtle nuances of the relationship for upscale urban hotels.

Details

International Journal of Contemporary Hospitality Management, vol. 29 no. 5
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 18 May 2015

Vigdis Boasson and Emil Boasson

The purpose of this paper is to examine the role of geographic location of research-intensive firms in the ability to generate new research and products, which consequently…

Abstract

Purpose

The purpose of this paper is to examine the role of geographic location of research-intensive firms in the ability to generate new research and products, which consequently affects firm value.

Design/methodology/approach

The authors conduct the empirical study following a three-step process. First, if pharmaceutical firms are more likely to cite the patents of other firms and other innovators that are nearby, as opposed to firms and other innovators that are far away, then location (i.e. close proximity) is likely important when it comes to the ability to learn and to use the knowledge being generated by other innovators. The authors employ a “geographic information systems” (GIS) and geo-code each pair of citing and cited patents. In addition, the authors utilize spatial statistics such as Moran’s I to analyze the spatial clustering pattern of patent citations and knowledge flows. Next, the authors measure the pharmaceutical companies’ ability to generate useful patents as a function of the amount of innovation and industrial activity that is occurring close to them. Finally, the authors test whether a firm’s location relates to its firm value. Specifically, the authors model firm value as a function of its patents quality, but the authors also allow the firm’s patents quality to be a function of its location and locational attributes. In this way, the authors establish a link between location and firm value. Using a simultaneous system of equations, the authors find that location explains patent quality, which, in turn, explains firm value. In other words, there is a positive relationship between firm value, innovation and location.

Findings

In empirical tests using pharmaceutical firms and their patents, the authors first find that firms more often cite patents of other firms that are geographically closer to them than those firms that are farther away. The authors then find that a patent’s quality is a function of the firm’s near proximity to other knowledge-intensive institutions and activities. Finally, the authors find that because patent quality is a function of a firm’s geographic location, location consequently affects firm value.

Research limitations/implications

For knowledge-intensive firms, geographic location matters. More specifically, the authors contend that research-intensive firms are better able to use and to expand on existing knowledge when they are closer to other research-intensive enterprises. The implication is that firm value maximization involves a location factor.

Practical implications

The practical implication for investors is that investors should invest in those firms that are situated in a location that is rich in geographic innovation resources because those firms are more likely to generate more and higher quality patents or innovations.

Originality/value

The study is the first to establish the linkage among spatial knowledge diffusion, geographic drivers of innovation, and market valuation of the firm. The study is unique in that the authors not only present evidence on spatial knowledge flows by geo-coding the exact longitude and latitude location coordinates of citing and cited patens, but more importantly, the authors also identify geographic drivers of innovation, and examine their impacts on citation-weighted patent counts and knowledge stock. Finally, using a series of simultaneous equations, the authors show how geographic innovation resources positively affect citation-weighted patent stock and knowledge stock and consequently affect market value of the firm. Thus, the novel approach contributes not only to the literature that measures geographic localization of knowledge flow using patent citations, but also to the literature that examines the impact of geographic sources of innovations on patent outputs and patent quality and, thus on firm value for research-intensive firms.

Details

China Finance Review International, vol. 5 no. 2
Type: Research Article
ISSN: 2044-1398

Keywords

Article
Publication date: 3 March 2014

Trond Hammervoll, Lise Lillebrygfjeld Halse and Per Engelseth

– The paper aims to explore the effects of geographic proximity among firms in value networks on service provision and service exchange.

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Abstract

Purpose

The paper aims to explore the effects of geographic proximity among firms in value networks on service provision and service exchange.

Design/methodology/approach

A case study of the offshore supply vessel shipbuilding and shipping cluster in the North-Western Møre region of Norway with focus on the new ship contracting process.

Findings

The case study reveals how service provision and service exchange are facilitated by geographical proximity among firms.

Research limitations/implications

Study findings should be validated in further research, and the effects of other forms of proximity (cultural, social, cognitive and institutional) on co-creation of value also need to be considered. Considering the role of operant resources in developing competence in clusters and wider value networks offers interesting opportunities for further research.

Originality/value

This study proposes an alternative view of co-creation of value in value networks and responds to calls for research on how value network attributes affect aspects of co-creation of value: service provision and service exchange. The study contributes to more knowledge on the systemic nature of value creation in value networks.

Details

International Journal of Physical Distribution & Logistics Management, vol. 44 no. 1/2
Type: Research Article
ISSN: 0960-0035

Keywords

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