Innovation performance and clusters : a dynamic capability perspective on regional technology clusters

This research provides a novel, empirically tested, actionable theory of cluster innovativeness. Cluster innovativeness has for long been subject of research and resulting policy efforts. The cluster's endowment with assets, such as specialized labor, firms, research institutes, existing regional networks and a specific culture are, among others, recognized as sources of innovativeness. While the asset structure of clusters as been subject to a variety of research efforts, the evidence on the "soft" factors remains largely anecdotal. This theory building effort aims at providing a comprehensive picture of the contributors to technology cluster innovativeness. In doing so, it applies a dynamic capability framework in combination with a dynamic, network-level research approach in across five European satellite navigation application clusters. It shows that cluster innovation capabilities not only exist, i.e. community building, strategic alignment, reconfiguration, opportunity recognition and networking, but also impact perceived cluster performance. In contrast, the cluster's asset base assumes rather a moderating role. These results and the research approach add to existing theories of regional innovativeness. Furthermore, the research strengthens the dynamic capability view by providing evidence on inter-organizational capabilities. Accordingly, cluster managers and policy makers should focus their activities on their cluster's capabilities in an ongoing optimization process