Co-evolution of spin-off and networks in regional concentrations: the example of the Research Triangle Park in North Carolina/USA

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The type of formation that many studies detect as a major determinant for the emergence and growth of regional clusters is the spin-off. But there is a controversial debate regarding the cause behind extensive regional spin-off processes. In economic geography, externalities like regional networks, which were mostly analyzed in qualitative case studies, were regarded as determining factor. Studies that base upon the work of Klepper (2007) regard the cause in company-specific factors: companies with above-average growth and good routines inherit their routines to their spin-offs, which again grow above-average and subsequently can result in large regional concentrations. These studies apply econometric methodologies. In analyzing the formation of spin-offs and regional networks within a research design, the proposed research project shall make a contribution to this debate. The research project starts with the thesis of the co-evolution of spin-offs and regional networks: interactions in a regional context form the basis for spin-off processes and regional networks arise as a result of localized spin-off processes. These processes shall be explored in the ICT and life science industries in the Research Triangle Park, North Carolina. Methodically, quantitative network and survival analysis are connected. Qualitative interviews enable detailed analyses of the processes behind the spin-offs.Klepper, S. (2007): Disagreements, spinoffs, and the evolution of Detroit as the capital of the US automobile industry. In: Management Science 53(4), 616-631.