Spontaneous vs. Policy-Driven: The Origin and Evolution of the Biotechnology Cluster

[[abstract]]Purpose - To study the authors' evolutionary perspective for different origins of industry clusters, namely 'spontaneous versus policy-driven', focusing on biotechnology. Design/methodology/approach - A review of the literature of technology clusters and the applicability of evolutionary/genetic ideas is presented to provide the basis for the research framework of cluster formulation. Describes two case studies, based on the Bay Area of San Francisco, California, and Shanghai Zhangjiang Hi-Tech Park in China to represent spontaneous and policy-driven biotechnology clusters and provide comparative insights. Reports the gathering of data involving patenting activity and venture capital. Findings - The results indicated that, through each life cycle growth stage, the two types of clusters reflect their different origins and different success factors, including human capital, financial capital, entrepreneurship, social capital, and networking. Argues that the key success factors of both biotechnology clusters are their own human and financial capital, but the clusters nevertheless differ in their underlying processes for creating and sharing these resources. Concludes that the most fundamental differences arise from the impact of entrepreneurship, social capital and network patterns on the configuration of the clusters and such clusters tend to be emulated by and help evolve other clusters in other regions/ Concludes by posing the question relating to what life cycle stages 'genes' may be regarded as having been exchanged in this process. Research limitations/implications - The research was limited by: the patents and venture capital data used; the focus on biotechnology clusters; and the focus on only two specific cases. Originality/value - Contributes to the research literature by revealing the extent of the presence of social power in the cluster formation.