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Organizational Proximity and Institutional Learning

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  • Kevin Heanue
  • David Jacobson

Abstract

This article differentiates between the evolution of trust in two main situations: where firms are geographically clustered and where they are spatially dispersed. While the former has received a lot of research attention, the latter has not. Drawing on the theoretical literature on economies of agglomeration, economies of association, trust, and social networks, we argue that organizational proximity is an alternative to spatial proximity as a context within which ascribed trust can develop, even in the absence of direct interaction. We apply these ideas to the case of a spatially diffuse network of three furniture firms in Ireland.

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  • Kevin Heanue & David Jacobson, 2001. "Organizational Proximity and Institutional Learning," International Studies of Management & Organization, Taylor & Francis Journals, vol. 31(4), pages 56-72, December.
    • Handle: RePEc:taf:mimoxx:v:31:y:2001:i:4:p:56-72
    DOI: 10.1080/00208825.2001.11656827
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    Cited by:

    1. Paul L. Robertson & David Jacobson & Richard N. Langlois, 2009. "Innovation Processes and Industrial Districts," Chapters, in: Giacomo Becattini & Marco Bellandi & Lisa De Propis (ed.), A Handbook of Industrial Districts, chapter 21, Edward Elgar Publishing.
    2. David Jacobson & Francesco Garibaldo, 2011. "The Role of Company Networks in Low-tech Industries," Chapters, in: Paul L. Robertson & David Jacobson (ed.), Knowledge Transfer and Technology Diffusion, chapter 4, Edward Elgar Publishing.
    3. Kevin P. Heanue & David Jacobson, 2007. "Embeddedness and innovation in low and medium tech rural enterprises," Working Papers 0702, Rural Economy and Development Programme,Teagasc.
    4. Kevin P. Heanue, 2008. "Measuring Industrial Agglomeration in a Rural Industry: The Case of Irish Furniture Manufacturing," Working Papers 0830, Rural Economy and Development Programme,Teagasc.
    5. Kristina Jespersen & Damiana Rigamonti & Morten Berg Jensen & Rune Bysted, 2018. "Analysis of SMEs partner proximity preferences for process innovation," Small Business Economics, Springer, vol. 51(4), pages 879-904, December.
    6. Blomberg, Jesper & Werr, Andreas, 2006. "Boundaryless Management - Creating, transforming and using knowledge in inter-organizational collaboration. A literature review," SSE/EFI Working Paper Series in Business Administration 2006:2, Stockholm School of Economics.
    7. Teodora Corsatea & Hubert Jayet, 2014. "Spatial patterns of innovation activities in France: market’s role versus public research efforts," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 52(3), pages 739-762, May.

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