Paving the way for new regional industrial paths: actors and modes of change in Scania’s games industry

ABSTRACT

Recent scholarly work has enhanced our understanding of how new path development activities are enabled or constrained by ‘regional environments’, made up of pre-existing industrial structures, knowledge organizations, support structures and institutional configurations. This paper moves beyond overly static views on regional environments. We develop a dynamic perspective by analysing conceptually and empirically how a constraining environment can be transformed into one that enables the development of new growth paths. The paper offers a typology of various modes of change, including layering, adaptation and novel application that are used by key actors to ‘manipulate’ the regional support structures to facilitate new regional industrial path development. The conceptual framework is applied to a case study of the digital games industry in the region of Scania, southern Sweden. Our findings suggest that the creation of a more enabling environment for the growth of the digital games industry has been the outcome of multi-scalar processes and combinations of various modes of change employed by a few key individuals operating in the newly emerging path.     

The Role of Universities in Regional Development: Conceptual Models and Policy Institutions in the UK,Sweden and Austria

The literature on universities’ contributions to regional development is broad and diverse. A precise understanding of how regions may draw advantages from various university activities and the role of public policy institutions in promoting such activities is still missing. The aim of this paper is to provide a framework for analysing universities’ contributions to regional economic and societal development in differing national contexts and the policy institutions that underpin them. To do this, we review four conceptual models: the entrepreneurial university model, the regional innovation system (RIS) model, the mode 2 university model and the engaged university model. The paper demonstrates that these four models emphasize very different activities and outputs by which universities are seen to benefit regional economy and society. It is also shown that these models differ markedly with respect to the policy implications and practice. Analysing some of the public policy imperatives and incentives in the UK, Austria and Sweden, the paper highlights that in the UK, policies encourage all four university models. In contrast, in Sweden and Austria, policy institutions tend to privilege the RIS university model, whilst at the same time, there is some evidence for increasing support of the entrepreneurial university model.     

The costs of putting Valencia on the map: the hidden side of regional entrepreneurialism, ‘creative city’ and strategic projects

ABSTRACT

Strategic projects based on culture and sports have been one of the vectors of regional development since the 1990s. Accordingly, local and regional governments have drawn up entrepreneurial strategies to project their image internationally and foster investment and tourism. These developments have been described in Spain as ‘The Calatrava Model’ for putting a city/region on the map and for boosting tourism. However, from the study of the case of Valencia and four strategic projects (The Fifth World Meeting of Families, The America's Cup, Formula 1 and The City of Arts and Sciences), we will show how there is a hidden side to this paradigm, which boils down to an unsustainable, top-down system whose sole purpose is to gain and maintain political hegemony. We will also assess the medium and long term impacts of these projects in terms of: opportunity costs, snowballing debt, corruption, and an utter breakdown of democratic controls as a result of Valencia’s poor regional governance.     

Regional Advantage of Cluster Development: A Case Study of the San Diego Biotechnology Cluster

The concept of “clusters” has become central to regional economic development strategies, especially in the high-technology and biotechnology industries. Numerous studies have examined the significance of industrial clusters and their components, but comparatively less attention has been directed towards understanding the roots and processes of industrial localization. In particular, emerging biotechnology clusters such as that in San Diego have not drawn adequate scholarly attention given their policy implications with regard to clustering and regional development. Based on in-depth interviews, historical archives and participatory observations, this paper examines how the San Diego biotechnology cluster emerged and grew into an entrepreneurial habitat that has nurtured hundreds of biotechnology companies that have produced a series of innovative products. The author suggests that the regional context of the existence of a number of small biotechnology companies rather than a group of large firms, a continuous flow of talent, and leadership that fosters collaborations have been critical in promoting knowledge creation, circulation and accumulation, which are essential to spawning startups. The regional advantage of San Diego in stimulating entrepreneurship and innovation lies in its edge in creating and exploiting knowledge and practices through its entrepreneurs' robust interactions and participation in local communities of practice.     

Green industry development in different types of regions

ABSTRACT

At the regional level, the imperative of sustainable development often manifests itself in an emphasis on developing green industries. However, regions vary in their preconditions for achieving this. In this paper we link regional preconditions to various pathways for green industry development. This provides the foundation for identifying place-based policy implications for growing green industries in different types of regions, grounded in the emerging perspective in innovation studies on transformative innovation policy. The paper thereby helps to understand the pathways for greening the economy in different regional contexts and how such green pathways can be promoted through policy.     

社会资本影响区域经济增长的机理:基于"织网"模型的分析

社会资本对区域经济增长的影响是通过对区内企业、产业集群及区域整体等三个不同主体的影响发挥作用的。在企业由传统成长模式向网络化成长模式转变,产业集群由聚集经济向创新网络转变,区域由空闻结构向网络社会转变的过程中,社会网络及内含资源起着决定性作用。社会资本对三者的作用体现空间上的层次递进特征,即依循企业、集群、区域三个不同主体网络化递进发展的“织网模型”,依次由“发散状企业网络”向“经纬状集群网络”再向“多构面区域网络”发展的织网过程。社会资本及社会网络对企业的作用是摄取关键资源、信息等;对产业集群的影响是建立学习与创新机制、成本节约机制、形成合作竞争氛围;而对区域的积极意义是保持区域良好的信任文化。     

农区产业集群、网络与中部崛起

我国中部六省地区由于多种原因在全国区域经济格局中已经成为了"经济增长速度的相对塌陷地区",实施"中部崛起"战略是学术界、中央和地方政府达成的共识。本文在分析中部地区存在问题的基础上提出,实施产业集群战略、创建本地企业网络是实现中部崛起的有效途径。发展农区产业集群可以提高集群企业和区域产业的竞争力,推动农村工业化和城镇化进程,促进县域经济的发展。而企业之间的网络联系是产业集群的本质特征,培育产业集群必须从创建企业网络入手。最后,本文对如何在中部农区培育产业集群、创建企业网络作了探讨。     

Developing cross-industry innovation capability: regional drivers and indicators within firms

ABSTRACT

The role of firms in the process of regional renewal and path development is a somewhat neglected area in the existing literature. With few exceptions, the literature is mainly concerned with aggregated development paths. To cover this gap, the current study turns its attention to cross-industry innovation capability (CIIC) building in firms and discusses how conditions for innovation and learning in a region drive this process. We introduce a new concept of CIIC – that is, the firm’s ability to transform knowledge and ideas from different industries into new products, processes and systems and/or its ability to adapt existing products, processes and systems to new industries – and identify its drivers and indicators. The discussion is supported by empirical studies of firms in three Norwegian case regions that undergo the restructuring process due to the recent severe decrease in oil prices. Our empirical data demonstrate that organizationally thick and diversified regions are more favourable for firms’ abilities to develop CIIC and cross-industry innovation activity. As a result, we emphasize that future regional policies should have a stronger focus on the linkages between internal firm characteristics and regional innovation systems to contribute to the firms’ absorptive capacity for developing cross-industry innovation.     

New path development between innovation systems and individual actors

ABSTRACT

This special issue is devoted to studying mechanisms that may stimulate or hamper the renewal of existing industry paths and the growth of new paths. In this guest editorial, we look closely at the role of policy instruments in situations where the majority of regional industries are embedded in strong regional and/or national innovation systems. This theme is currently very relevant in (parts of) Norway, where the dominant oil sector is downsizing and new growth paths are required to maintain employment and welfare. The guest editorial presents a theoretical framework for new regional industrial path development, followed by a discussion on how two Norwegian policy tools contribute to new path development. The 10 articles of the special issue study different aspects of new regional industrial path development based on cases in Norway, Sweden and Spain. Some papers also discuss the role of policy in new path development. Based on the findings from these articles, we believe that new path development is fostered by policies that incorporate both actor-based and system-based elements. Such policy mix could provide a vital push towards new path development.     

Regional clusters in Germany--their geography and their relevance for entrepreneurial activities

The aim of this paper is to identify regions with industrial clusters in Germany and to analyse their entrepreneurial environment. A new index employing industry data supplied from the German Federal Labour Office is used to elaborate on spatial clusters in the most concentrated German industries. A second data set collected as part of the Global Entrepreneurship Monitor (GEM), serves to assess the relationship between regional clusters and entrepreneurial activities and attitudes. The paper tests the rather popular but hitherto seldomly empirically-proven hypothesis that the existence of one or several industrial cluster(s) in a region has a positive impact on the number of start-ups and attitudes in the very same region. The implications of the findings with respect to regional policies encouraging industrial clusters are discussed briefly in the concluding section.     

Foreign direct investment and renewal of industries: framing the reciprocity between materiality and discourse

ABSTRACT

Informed by the evolutionary literature on economic geography, this paper develops a conceptual framework for analysing the complexity between foreign direct investment (FDI) and renewal of industries. Present contributions tend to explain the impact of FDI on regional industry evolution as a static, output-oriented phenomenon, that is, informed by an instrumental rationale in which the dynamism of FDI and regional industry development is linked to polarization of stagnation/decline vs. growth/development. Opposing this, we argue for an epistemological shift in approach to the reciprocity between FDI and renewal of industries as dynamism between material outcomes and discursive processes. To accomplish this, we build on key concepts and understandings from evolutionary economic geography; review the regional effects of FDI literature and build a framework sensitive to contextual dimensions of FDI. We focus on multinational companies’ practices and material outcomes in terms of regional spillovers and the discursive processes in terms of FDI narratives. This framework is exemplified by data from the salmon farming industry and the subsea industry in Hordaland and the oil and gas industry and the mining industry in Finnmark.     

Network position and innovation capability in the regional innovation network

ABSTRACT

This paper investigates the positioning of actors characterized by different natures in a regional innovation network and explores how these actors improve their innovation capabilities by assuming prominence or brokering positions. Innovation capability is widely seen to be the driving force in building regional competitive advantage, therefore investigating how the positioning of actors improves their innovation-related activities is relevant in terms of regional competitiveness. This paper builds on a survey conducted on the Sicilian regional area in Italy. A questionnaire was used to collect data concerning the relationships established between actors and the extent to which these relationships impact actors’ innovation capability. Results suggest that regional actors cannot be considered as a homogeneous group regarding their positioning in a regional network and that the innovation benefits of assuming different network positions depend on their nature. This paper offers some theoretical implications to the literature on regional innovation network and practical suggestions to organizations and regional policy makers.     

Smart specialization as a strategy to develop early-stage regional innovation systems

ABSTRACT

This paper discusses the role of smart specialization in catalyzing the development of early-stage regional innovation systems in less advanced regions, either by facilitating the emergence of some defining elements that were lacking or accelerating the development of others, such as: a regional knowledge base and a dynamic learning process, institutional structures, network integration mechanisms among key innovation actors, regional industrial specializations, and collective identities. The paper exemplifies this process with the case of Romania, a country where the research and innovation system is centralized at national level and regional innovation systems are in the early days. The transformations taking place in the Romanian regions within the process of implementing smart specialization, assisted by the European Commission's Joint Research Centre in the project “Targeted Support to Smart Specialization in Romania”, suggest a dynamic coagulation of institutional, financial, policy, and human factors that catalyzed the development of regional innovation systems in the country and introduced a novel approach to innovation policy.     

Re-thinking non-core regions: planning strategies and practices beyond growth

ABSTRACT

Periods of ongoing growth in the economy and demographics have come to a halt for many European regions for various reasons, challenging their economic development prospects. Despite the heterogeneous nature of stagnation, decline, peripheralization or even stigmatization to be found there, these configurations ‘beyond growth’ have in common that short-term ‘fire-fighting’ policy approaches aiming to foster regional economic growth face some important limitations. We argue that this has to do, among other things, with the overall direction of established and orthodox planning approaches that are predominantly based on growth-oriented paradigms and implicitly or explicitly work with dichotomous categories such as core–periphery and metropolitan versus non-metropolitan spaces; these do, however, not capture local realities in these cases. Using the notion of non-core regions, we plead for conceptualizing non-core regions and their regional economic development trajectories in different ways: thinking ‘beyond growth’. Such alternative ideas should be informed by alternative understandings of growth, development and sustainability in order to influence theories and concepts, but also to support new approaches to planning practice. To this aim, we discuss non-core regions from a social constructivist perspective, elaborating some points of departure for conceptualizing and practising regional planning ‘beyond growth’.     

Embedding entrepreneurial regional innovation ecosystems: reflecting on the role of effectual entrepreneurial discovery processes

ABSTRACT

Collaboration between regional stakeholders is increasingly emphasized in innovation policy as a way to activate the inherent agency in a regional innovation system. Partnerships of diverse stakeholders have been identified as critical, being able to envisage and implement future pathways that in turn bring change to a region. Thus, the knowledge of various stakeholders is supposed to be combined in novel ways in order to define regional assets and possible future pathways. Nevertheless, it has been recognized that these agency activation approaches often fail to realize these long-term visions initially agreed by partners. We here draw on Sotarauta’s notion of policy ‘black holes’, where regional partners repeat past superficial successes rather than driving in to systemic change. We seek to understand the conditions under which regional stakeholders can build realistic and adaptable strategies that shift regional development trajectories. We explore this via a qualitative approach comparing entrepreneurial discovery processes in three peripheral regions, namely Twente (Netherlands), Aveiro (Portugal) and Lincolnshire (UK). We reflect on the potential value of more effectual (opportunistic/ flexible) approaches to entrepreneurial discovery. We argue that black hole problems may arise from the way agency activation strategies conceptualize long-term strategy development, if partners’ mind-sets are too causal and lacking flexibility to continually reorient strategies during implementation better towards these collective visions.     

Development in Nunavik: How Regional and Local Initiatives Redefine Sustainable Development in Nunavik

ABSTRACT

For more than 50 years, the Inuit of Nunavik have been subjected to development plans devised in the south by the Government of Canada and Quebec that has a profound impact on Inuit people and their culture. The latest plan, known as Plan Nord, proposes sustainable development for the North based on the protection of 50 percent of the territory. However, the Inuit of Nunavik face many social challenges and this is reflected in the socioeconomic indicators of the region. In order to alleviate these social circumstances, numerous regional and local initiatives are attempting to establish programs better suited to the culture and needs of Nunavimmiut. Examples at the regional level include childcare and midwifery services supported by Quebec. At the local level, initiatives such as the Unaaq Men’s Association and the Innavik Project are making an effort to address local needs. In this paper, following a presentation of the Nunavik governance architecture, we will analyze how local (Unaaq, Innavik) and regional initiatives (Midwifery Program, Childcare, Preparation for Post-Secondary Education, Nunavik Parks) contribute to the sustainable development of Nunavik.     

Writing up the region: anchor firm dismantling and the construction of a perceived regional advantage in Swedish news media

This study investigates how geographic representations and regional industrial identity in news media are used to mobilize local/regional actors and to attract inward and outward investments by mediating and narrating stories of the recovery and rebirth of a region in distress – that is, how media contribute to economic development in or of the region. The study targets media attention covering the dismantling and relocation of two regionally embedded life science and likewise anchor firms: the Pharmacia and Upjohn merger in Uppsala in 1995 and the closure of AstraZeneca's operations in Lund in 2010. By drawing on the method of framing and content analysis of news articles derived from a public media database, the analysis show that: (a) geographic representation and associations are intensified in times of media turbulence; (b) news coverage follows two subsequent phases (an initial ‘crisis’ phase and a following more optimistic ‘recovery’ phase) and (c) news media (as intermediary actors and arenas) by communicating ideas of a shared regional industrial identity contribute to the construction of a ‘perceived regional advantage’ (as understood and communicated by news media). Thus, regional industrial identity-building and how the region is perceived by internal and external audiences are important for regional development.     

The ‘Cultural Turn’ in Australian Regional Economic Development Discourse: Neoliberalising Creativity?

Regional economic policy‐makers are increasingly interested in the contribution of creativity to the economic performance of regions and, more generally, in its power to transform the images and identities of places. This has constituted a ‘cultural turn’, of sorts, away from an emphasis on macro‐scale projects and employment schemes, towards an interest in the creative industries, entrepreneurial culture and innovation. This paper discusses how recent discourses of the role of ‘creativity’ in regions have drawn upon, and contributed to, particular forms of neoliberalisation. Its focus is the recent application of a statistical measure — Richard Florida's (2002) ‘creativity index’— to quantify spatial variations in creativity between Australia's regions. Our critique is not of the creativity index per se, but of its role in subsuming creativity within a neoliberal regional economic development discourse. In this discourse, creativity is linked to the primacy of global markets, and is a factor in place competition, attracting footloose capital and ‘creative class’ migrants to struggling regions. Creativity is positioned as a central determinant of regional ‘success’ and forms a remedy for those places, and subjects, that currently ‘lack’ innovation. Our paper critiques these interpretations, and concludes by suggesting that neoliberal discourses ignore the varied ways in which ‘alternative creativities’ might underpin other articulations of the future of Australia's regions.     

Smart specialization and institutional context: the role of institutional discovery,change and leapfrogging

ABSTRACT

Recent years have witnessed much experimentation with smart specialization strategies (RIS3) and entrepreneurial discovery processes (EDPs) in European regions. The EDP can be seen as an opportunity to address institutional questions. Because institutional patterns can explain why some policies are eventually successful while others are not, looking at the institutional context of regional economies can increase the effectiveness of regional policy. This article argues that the EDP functions as a framework to discover institutional patterns specific to a regional economy, and to define policies either consistent with existing institutions or aiming at institutional change. The article proposes a conceptual framework to understand and analyze the two institution-related roles of the EDP, first as an institutional discovery process and second as an institutional change process. The article builds on empirical case studies in two regions (Lower Austria, Austria and South Tyrol, Italy) and two small countries (Slovenia and Croatia). The case studies focus on how these regions or countries organized the EDP that eventually led to the formulation of their RIS3, and on the institutional dynamics of the EDP in discovering and changing institutions. The article concludes with policy implications that contribute to the debate on post-2020 EU Cohesion Policy.     

Embracing the future: path transformation and system reconfiguration for self-driving cars in West Sweden

ABSTRACT

The past years have witnessed a surge of academic interest into how new industrial paths are developed in regions. Transformation processes of existing regional industries have received less attention. This article focuses on radical innovation-based renewal processes of established paths and investigates how regional innovation systems are tackling challenges related to path transformation. Drawing on insights from the regional and technological innovation systems literatures, we develop an analytical framework that elucidates the relation between path transformation and system reconfiguration. The framework suggests that regional innovation system elements are created or adapted to (i) target the build-up of system functions regionally; (ii) link up to system functions in other locations, and (iii) transplant system functions from elsewhere. The analytical framework is applied to a case study of the transformation of the automotive industry in West Sweden towards self-driving cars. The empirical analysis provides support for the importance of the three types of system reconfiguration and emphasises the relevance of different types of assets. Furthermore, it highlights how actors tend to utilise previous networks and positions in global innovation systems rather than turning to the development of system functions regionally as the ‘default option’ of system reconfiguration.