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Regional innovation clusters and firm innovation performance: an interactionist approach

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  • Ekaterina Turkina
  • Boris Oreshkin
  • Raja Kali

Abstract

How is firm innovation affected by location in an innovation cluster? How does the interplay of firm and cluster characteristics matter? We examine these questions by conducting an empirical analysis of firm innovation performance in regional innovation clusters. Our theoretical framework is based on a synthesis of the literature on industrial clustering, regional agglomeration economies and social networks. We test the framework empirically through the analysis of data on patent citations from 578 firms located in 26 European regional clusters in the information technology industry over 10 years. We find that location in these clusters offers benefits and at the same time poses certain constraints. One of the central findings is that connectedness to highly performing firms (in horizontal relationships), research institutions and universities located in a cluster moderates the onset of diminishing returns between firm innovation performance and research and development effort, and helps firms cope with the negative effects of locating in clusters.

Suggested Citation

  • Ekaterina Turkina & Boris Oreshkin & Raja Kali, 2019. "Regional innovation clusters and firm innovation performance: an interactionist approach," Regional Studies, Taylor & Francis Journals, vol. 53(8), pages 1193-1206, August.
    • Handle: RePEc:taf:regstd:v:53:y:2019:i:8:p:1193-1206
    DOI: 10.1080/00343404.2019.1566697
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    Cited by:

    1. James Wilson & Emily Wise & Madeline Smith, 2022. "Evidencing the benefits of cluster policies: towards a generalised framework of effects," Policy Sciences, Springer;Society of Policy Sciences, vol. 55(2), pages 369-391, June.
    2. Paige Clayton & Maryann Feldman & Benjamin Montmartin, 2024. "Entrepreneurial finance and regional ecosystem emergence," Small Business Economics, Springer, vol. 62(4), pages 1493-1521, April.
    3. Haiyue Liu & Cangyu Wang & Qin Zhang & Changyi Zhao & Jie Jiang, 2023. "The greening effects of regional innovation symbiosis – Evidence from Chinese listed firms," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 63(1), pages 141-160, March.
    4. Grashof, Nils, 2021. "Putting the watering can away –Towards a targeted (problem-oriented) cluster policy framework," Research Policy, Elsevier, vol. 50(9).
    5. Anna Maria Lis & Marita McPhillips & Adrian Lis, 2020. "Sustainability of Cluster Organizations as Open Innovation Intermediaries," Sustainability, MDPI, vol. 12(24), pages 1-16, December.
    6. Jiaoping Yang & Shujun Wang & Shan Sun & Jianhua Zhu, 2022. "Influence Mechanism of High-Tech Industrial Agglomeration on Green Innovation Performance: Evidence from China," Sustainability, MDPI, vol. 14(6), pages 1-20, March.
    7. Rolando Rubilar-Torrealba & Karime Chahuán-Jiménez & Hanns de la Fuente-Mella, 2022. "Analysis of the Growth in the Number of Patents Granted and Its Effect over the Level of Growth of the Countries: An Econometric Estimation of the Mixed Model Approach," Sustainability, MDPI, vol. 14(4), pages 1-12, February.
    8. Tahmooresnejad, Leila & Turkina, Ekaterina, 2022. "Female inventors over time: Factors affecting female Inventors’ innovation performance," Journal of Informetrics, Elsevier, vol. 16(1).
    9. Ekaterina Turkina & Boris Oreshkin, 2021. "The Impact of Co-Inventor Networks on Smart Cleantech Innovation: The Case of Montreal Agglomeration," Sustainability, MDPI, vol. 13(13), pages 1-17, June.
    10. Wonsang Ryu & Thomas H. Brush & Joonhyung Bae, 2023. "How agglomeration affects alliance governance and innovation performance: The role of cluster size," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(1), pages 297-310, January.
    11. Qin, Xionghe & Wang, Xueli & Kwan, Mei-Po, 2023. "The contrasting effects of interregional networks and local agglomeration on R&D productivity in Chinese provinces: Insights from an empirical spatial Durbin model," Technological Forecasting and Social Change, Elsevier, vol. 193(C).
    12. Enrique Acebo & José-Ángel Miguel-Dávila & Mariano Nieto, 2021. "The Impact of University–Industry Relationships on Firms’ Performance: A Meta-Regression Analysis," Science and Public Policy, Oxford University Press, vol. 48(2), pages 276-293.
    13. Chaplygin, V. & Moroz, V., 2022. "Decision making on the technology transfer in regional innovation cluster under uncertainty and risk," Journal of the New Economic Association, New Economic Association, vol. 53(1), pages 121-142.
    14. Abdullah Promise Opute & Kalu Ibe Kalu & Ogechi Adeola & Chux Gervase Iwu, 2021. "Steering Sustainable Economic Growth: Entrepreneurial Ecosystem Approach," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 7(2), pages 216-245, July.

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