Geographical aggregation and incubator graduation performance: the role of incubator assistance

Bojun Hou, Jin Hong and Yang Yang

European Journal of Innovation Management, 2020, vol. 25, issue 1, 150-172

Abstract: Purpose - This paper attempts to use agglomeration theory and ecological theory to explore how geographic agglomeration affects the graduation performance of incubator community. The authors argue that increasing the incubator community density can improve the opportunities for mutualism and learning among incubators. However, as the competition intensifies, the above positive relationship will weaken when the incubator density exceeds a certain level. Design/methodology/approach - The authors use a unique panel dataset of 438 National Technology Business Incubators (NTBIs) in China spanning from 2008 to 2012. Since each NTBIs contains multiple observations for different years, these observations that belong to a cross-section are not completely independent of each other; therefore, the regression using ordinary least squares method underestimates the standard deviations of the variables. To solve this problem, the authors regress this cluster panel data using the Newey–West robust variance estimator. Findings - The empirical results show that incubator community density is conducive to promoting incubation performance, while the positive relationship between the incubator community density and incubation performance gradually weakens as the population density of incubators surpasses a certain level. Further, the authors examine how incubator assistance (technical assistance and business assistance) moderates the relationship between incubator density and incubation performance. The results indicate that this positive relationship is stronger when more business assistance is provided by incubator managers, while the moderating role of technical assistance is not supported. Originality/value - This paper enriches the research on the relationship between incubator community density and graduation performance from the perspective of incubator assistance which helps start-ups to understand, absorb and transform external knowledge and resources, thereby promoting their growth.

Keywords: Geographic agglomeration; Mutualism; Competition; Assistance; Incubation performance (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:ejimpp:ejim-07-2020-0280

DOI: 10.1108/EJIM-07-2020-0280

Access Statistics for this article

European Journal of Innovation Management is currently edited by Dr Vincenzo Corvello

More articles in European Journal of Innovation Management from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().