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Evolution of Industry Clusters through Spin-offs and the Role of Flagship Firms

In: Multinationals, Clusters and Innovation

Author

Listed:
  • Manuel P. Ferreira
  • Ana Teresa Tavares
  • William Hesterly

Abstract

The manner in which clusters emerge and evolve is important for public policy and corporate strategy. Understanding how and why clusters emerge and develop provides insights into agglomeration phenomena, innovation capacity, location advantages, and may influence local governments’ investments. Extant research has traced the origins of clusters to historical trajectories and to reasonably random and undefined exogenous events (Hendry et al., 2000). In other instances, scholars identify life-cycle patterns to show that clusters are living entities that thrive and fail in response to environmental shifts (Swann, 1998). Others focus on unusual entrepreneurial dynamism and innovation in some regions (Saxenian, 1994; Pinch and Henry, 1999; Feldman, 2001; Zander, 2003). Extant research has two main perspectives: first, the discussion on how innovation may or may not occur as the density of firms in the cluster increases; second, the idea that firms’ co-location induces isomorphic behavior.

Suggested Citation

  • Manuel P. Ferreira & Ana Teresa Tavares & William Hesterly, 2006. "Evolution of Industry Clusters through Spin-offs and the Role of Flagship Firms," Palgrave Macmillan Books, in: Ana Teresa Tavares & Aurora Teixeira (ed.), Multinationals, Clusters and Innovation, chapter 6, pages 87-106, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-62494-8_6
    DOI: 10.1057/9780230624948_6
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    Cited by:

    1. Angela da Rocha & Alexandre Darze & Beatriz Kury & Joana Monteiro, 2008. "The Emergence of New and Successful Export Activities in Brazil: Four Case Studies from the Manufacturing and the Agricultural Sector," Research Department Publications 3255, Inter-American Development Bank, Research Department.
    2. Angela da Rocha & Beatriz Kury & Joana Monteiro, 2009. "The Role of Flagship Firms, External Actors and Support Institutions in the Emergence of Successful Export Activities in Brazil: Two Industrial Cluster Studies," Research Department Publications 3270, Inter-American Development Bank, Research Department.

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