The relationship between innovation, networks and localities is of central concern for many nations. However, despite increasing interest in the components of this research triangle, efforts in these fields are hampered by a lackofconceptual and empirical insights. This volume brings together contributions from a distinguished group of scholars working in different but related disciplines, and aims to provide a fresh look at this research triangle. The objective is to offer a concise overview of current developments and insights derived from recent studies in Europe and North America. All of the contributions are based on original research undertaken in the various regions and nations and are published here for the first time. We are grateful to all those who have contributed to this volume for their willingness to participate in the project. Without their co-operation this book would not have been possible. We should like, in addition, to thank Angela Spence for her careful linguistic editing and assistance in co-ordinating the production of the camera ready copy. Lastly, but not least, we wish to express our gratitude for support from our home institutions, and in particular the Austrian Academy of Sciences (Institute for Urban and Regional Research), the Austrian Ministry for Science and Transport, the Styrian Government (Section for Science and Research) and the Federation of Austrian Industry in Styria for the financial backing received. April 1999 Manfred M.

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Preface 1 Innovation, Networks and Localities: An Introduction Manfred M. Fischer and Luis Suarez-Villa PART A: KNOWLEDGE, INNOVATION AND TECHNOLOGY NETWORKS 2 The Innovation Process and Network Activities of Manufacturing Firms Manfred M. Fischer 3 Are Innovation Networks Bounded by Proximity? Elsie L. Echeverri-Carroll and William Brennan 4 Globalisation and Territorial Production Systems Denis Maillat and Nicolas Grosjean 5 Clustering, Innovations and Trust: The Essentials of a Clustering Strategy for Scotland Mike Danson and Geoff Whittam 6 Interfirm Co-Operation and Learning within SME-Networks Michael Steiner and Christian Hartmann PART B: LOCATION OF KNOWLEDGE-BASED ACTIVITIES AND SPATIAL PATTERNS OF INNOVATION 7 The Location of Knowledge-Based Activities: The Case of Computer Software Rena Sivitanidou 8 Localised Knowledge Spillovers and Trade Competitiveness: The Case of Italy Stefano Breschi and Daniela Palma 9 Innovation and Performance of SMEs in Italy: The Relevance of Spatial Aspects Roberto Camagni and Roberta Capello 10 Time-space Patterns of US Innovation - Stability or Change? Attila Varga 11 Where are the Worlds Top 100 I.T. Firms and Why? R.D. Norton PART C: INNOVATIVE INFRASTRUCTURES, TECHNOLOGY POLICIES AND REGIONAL DEVELOPMENT 12 The Adoption of New Communications Technologies by Firms in Rural Areas: A Scottish Case Study David Newlands and Melanie Ward 13 Innovative Forms of Regional Structural Policy in Europe: The Role of Dominant Concepts and Knowledge Flows Arnoud Lagendijk 14 Regional Technological Distance and Catching Up Maurice J. Oude Wansink and Hans Maks 15 Concluding Remarks Manfred M. Fischer, Luis Suarez-Villa, Michael Steiner Subject Index Author Index List of Contributors