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The role of proximity in university-business cooperation for innovation

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  • Nola Hewitt-Dundas

Abstract

The potential for universities to contribute positively to business innovation has received much attention in recent years. While the determinants of university-business cooperation have been examined extensively, less attention has been given to the mediating influence of proximity in this relationship. The analysis in this paper builds on the UK business innovation survey (2002–2005) by incorporating measures of the university research environment for each of the 16,500 businesses surveyed. These measures allow us to look beyond business-level characteristics as determinants of the geography of university cooperation and account for the character of the local university environment. Measures include the distance from each business to its nearest university, the quality of local university research and the density of the university research environment. The findings suggest that significant differences exist between those businesses that cooperate with local universities and those that cooperate with non-local universities. These differences relate to business size, sales profile, location, absorptive capacity and innovation activity. In addition, we also find that if a business is located close to a research excellent university, cooperation tends to remain local, however, the distance between businesses and the nearest university is not a significant determinant of university-business cooperation and further, the higher the concentration of universities in the business locale, the more likely businesses are to cooperate with non-local universities. Copyright Springer Science+Business Media, LLC 2013

Suggested Citation

  • Nola Hewitt-Dundas, 2013. "The role of proximity in university-business cooperation for innovation," The Journal of Technology Transfer, Springer, vol. 38(2), pages 93-115, April.
    • Handle: RePEc:kap:jtecht:v:38:y:2013:i:2:p:93-115
    DOI: 10.1007/s10961-011-9229-4
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    More about this item

    Keywords

    University-business; Cooperation; Innovation; Proximity; Knowledge sourcing; O31; O32; O33; O19;
    All these keywords.

    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations

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