Innovative milieu and social capital—complementary or redundant concepts of collaboration-based regional development?∗

Abstract

Currently, several theoretical concepts emphasise the importance of socially embedded collaboration for innovation driven regional development. For instance, the notions of innovative milieu and social capital both focus on this factor of economic success. This raises the question of whether they should be regarded as redundant or complementary, the latter case allowing their purposive combination. This article supports the second view and discusses significant distinctions between the two notions, apart from consistencies. The example of the German 'technology region' of Aachen, which has been undergoing substantial industrial restructuring based on regional collaboration, serves to underpin the theoretical arguments.