How open innovation processes vary between urban and remote environments: slow innovators, market-sourced information and frequency of interaction

Richard Shearmur and David Doloreux

Entrepreneurship & Regional Development, 2016, vol. 28, issue 5-6, 337-357

Abstract: Geographic research on firm-level innovation is generally premised on the idea of open innovation, suggesting that innovation occurs more readily in urban settings or clusters, which generate local buzz and allow access to external actors. However, a growing body of evidence demonstrates that firms also introduce first-to-market innovations in remote locations. In this exploratory paper, building upon work by Philip McCann, we outline a conceptual framework that connects innovators (differentiated by information source and frequency of interaction with interlocutors) and location (distance from a metropolitan area): slow innovators, relying on non-market-sourced information and infrequent contacts, will be overrepresented in isolated locations. Fast innovators, relying on market-sourced information and frequent interactions, will locate closer to cities. Our results confirm this. Our interpretation of these results – slow innovators are more reliant on technological information which loses value more slowly than faster decaying market-oriented information – requires further investigation.

Date: 2016
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DOI: 10.1080/08985626.2016.1154984

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