Alliance-Adding Cluster Means Icing on the Cake: The Impact of Geographic Proximity, Regional Location, and Network Structural Characteristics on Firm Innovation Performance in Alliance Innovation Network

Alliance-Adding Cluster Means Icing on the Cake: The Impact of Geographic Proximity, Regional Location, and Network Structural Characteristics on Firm Innovation Performance in Alliance Innovation Network

Zhao Yan (Shanghai University, China), Wang Bing (Shanghai University, China) and Meng Qingshi (Shanghai University, China)
DOI: 10.4018/978-1-4666-6441-8.ch006
OnDemand PDF Download:
$30.00
List Price: $37.50

Abstract

For firms, entering industrial cluster means obtaining more opportunities for tacit knowledge transfer and informal communication, while forming strategic alliances can get a wider range of technical cooperation and strategic resources. Using innovation networks in the communication equipment industry of China, based on the impact of network density on innovation performance, we give firms dynamic characteristic in the geographical position to study the impact of regional location and the moderation effect of geographic proximity on the relationship between network density and innovation performance. The results of negative binomial regression method indicate that regional location do not have a significant effect on innovation performance, while geographic proximity has a significant effect on innovation performance, and geographic proximity can positively moderate the impact of network density on innovation performance. Then the authors further analyze some conditions concerning alliances of the Chinese communication equipment industry and offer some related suggestions.
Chapter Preview
Top

2. Theory And Hypothesis

Krugman’s study on new economic geography suggests that spatial aggregation and increasing returns to scale are closely related to each other. And industrial cluster can save cost and centralize industrial areas (Sheng & Wang, 2009). In recent years, Chinese central and local governments increasingly recognize the importance of cluster, forming Beijing's Zhong guan cun, Shanghai’s Zhang Jiang, Suzhou’s Kun Shan and other high-tech industry clusters.

Complete Chapter List

Search this Book:
Reset