Scandinavian Working Papers in Economics

Papers in Innovation Studies,
Lund University, CIRCLE - Centre for Innovation Research

No 2013/35: The Role of Knowledge Heterogeneity on the Innovative Capability of Industrial Districts

Nunzia Carbonara () and Sam Tavassoli ()
Additional contact information
Nunzia Carbonara: Dept of Mechanical and Management Engineering, Politecnico di Bari, Italy
Sam Tavassoli: Industrial Economics, Blekinge Institute of Technology, Karlskrona, Sweden and CIRCLE, Lund University, Sweden, Postal: CIRCLE, Lund University, PO Box 117, SE-22100 Lund, Sweden

Abstract: This paper seeks to contribute to the ongoing debate concerning the role of heterogeneity for the innovative capability of industrial districts. With this aim, using a knowledge-based approach, the paper focuses on different sources of industrial district knowledge heterogeneity and studies how the different level of heterogeneity affects the innovative capability of industrial districts. Four theoretical hypotheses concerning the effects of knowledge and knowledge heterogeneity on the Industrial District innovativeness are formulated. To test the hypotheses, an econometric analysis on 32 Italian District Provinces is applied. Empirical results show that knowledge heterogeneity matter for increasing the innovative capability of industrial districts.

Keywords: Industrial district; innovative capability; knowledge heterogeneity

JEL-codes: F14; O32; R12

34 pages, December 18, 2013

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