Firm Innovativeness across Cluster Types

Abstract

We ask whether and what kind of unique factors influence the innovativeness of firms in clusters across geographic regions and industrial sectors. We provide evidence for the driving forces of firm innovativeness in different cluster types. Distinguishing between hierarchical clusters of mature industries and non-hierarchical clusters of young industries in North America and Europe, we analyze the effects of inter-firm cooperation, network strength, university linkages and intra-organizational characteristics in support of entrepreneurial intentions on firm innovativeness. We find that heterogeneity across cluster types is important and dominates other differences across countries.

Keywords:

• Clusters
• innovation
• entrepreneurship
• inter-organizational relationships
• cluster hierarchy

Notes

Authors made equal contributions to the article.

¹ See Audretsch et al. (2011) for a collection of articles on the importance of these four determinants.

² Audretsch and Stephan (1996) found that the propensity to cluster spatially in the biotechnology industry is high and substantial work has followed Saxenian's (1994) seminal contribution about the IT cluster in Silicon Valley. Moreover, Feser and Bergman (2000) describe the automotive and chemical industry US heavy manufacturing clusters.