Analyzing the comprehensive 35-year patent data set associated with the Detroit auto cluster we confirm that innovation in clusters can increase in spite of a long-term decline in manufacturing activity. The “stickiness” of local... more
Analyzing the comprehensive 35-year patent data set associated with the Detroit auto cluster we confirm that innovation in clusters can increase in spite of a long-term decline in manufacturing activity. The “stickiness” of local knowledge is sustained by: (i) increasing technological specialization at the local level and (ii) growing connectedness to global centers of excellence. The very forces that bring about the decline in manufacturing in a cluster sustain their position as a global center of innovative excellence.
The innovation-driven multinational enterprise (MNE) has dominated international business (IB) research for several decades now. Beginning with the award-winning research of Dunning, there have been calls for IB researchers to rediscover... more
The innovation-driven multinational enterprise (MNE) has dominated international business (IB) research for several decades now. Beginning with the award-winning research of Dunning, there have been calls for IB researchers to rediscover the importance of locations. Recent work has emphasized that firms and locations co-evolve with one another, as knowledge is transferred and leveraged across space. Integrating insights from IB and economic geography, we propose a research agenda for IB scholarship on spatially dispersed yet connected innovation processes. This agenda is premised on the current reality of global value chains in which mobile (MNEs, people) and immobile (locations) factors interact. The research perspective suggested recognizes that locations are host to increasingly " fine-sliced " activities, whose nature and composition are continuously changed by MNE-driven innovation processes. As today's specialized activities become tomorrow's standardized ones, the shifting distribution of global value creation depends on the pattern of international knowledge connectivity.
What happens when firms in an oligopolistic industry find themselves lagging behind in a potentially dominant technology? If R&D costs are significant and catch-up is key, technology laggards must turn to each other and open up their... more
What happens when firms in an oligopolistic industry find themselves lagging behind in a potentially dominant technology? If R&D costs are significant and catch-up is key, technology laggards must turn to each other and open up their innovation processes in order to survive. This article uses a real options framework to explain the motives of bitter rivals to engage in collaborative relationships in order to catch up with industry leaders in specific technologies. It shows that ex ante, their interests converge and this lays the foundation of “catch-up alliances”: competitors open up to catch up. However, they often bring vastly different resources to the alliance and, in the process of cooperation, what they learn may cause their interests to diverge. Furthermore, some participants may discount a technology trajectory on the basis of what they learn, and terminate efforts in that area. Therefore, the “road not taken” may be a valuable outcome of the open innovation alliance. This a...
Purpose The purpose of this paper is to analyze the characteristics of knowledge creation in a key technology field, i.e. information and communication technology (ICT), to determine whether it is driven by domestic firms and inventors,... more
Purpose The purpose of this paper is to analyze the characteristics of knowledge creation in a key technology field, i.e. information and communication technology (ICT), to determine whether it is driven by domestic firms and inventors, or whether the traction is provided by international connections to global innovation networks. The authors argue that the geographical pattern of international connectivity is characterized by local concentration and strong connections to foreign multinational enterprises, for which a large number of inventors in Spain work. Design/methodology/approach The analysis was done using data from the United States Patent and Trademark Office database, covering almost 40 years, ranging from 1976 to 2014. The authors used patents in the ICT sector connected to either inventors or organizations located in Spain. The authors analyzed collaboration by the location of both inventors and assignees, and the connections established across borders. Second, the autho...
In this paper we explore patenting activity in two peripheral economies (Portugal and Greece), to analyze the dispersion of inventor networks. Inventor networks are key conduits through which knowledge flows. Therefore, they can be... more
In this paper we explore patenting activity in two peripheral economies (Portugal and Greece), to analyze the dispersion of inventor networks. Inventor networks are key conduits through which knowledge flows. Therefore, they can be critical in the catch-up process of peripheral economies – economies that belong to the group of rich countries but have weaker innovation systems. As global value chains fragment into geographically dispersed activities, opportunities arise for peripheral economies to participate in global innovation processes. However, different types of innovation activities have distinct network properties. More codifiable innovative activities can be carried out through collaboration by internationally dispersed teams. On the other hand, activities that are more dependent on tacit knowledge are likely to require the co-location of knowledge workers. This implies that innovation that relies mostly on tacit knowledge will provide limited connectivity benefits for perip...