THE TECHNOLOGICAL EVOLUTION OF INDUSTRIAL DISTRICTS Economics of Science, Technology and Innovation VOLUME 29 Series Editors Cristiano Antonelli, University of Torino, Italy Bo Carlsson, Case Western Reserve University, U.S.A. Editorial Board: Steven Klepper, Carnegie Mellon University, U.S.A. Richard Langlois, University of Connecticut, U.S.A. J.S.Metcalfe, University of Manchester, UK. David Mowery, University of California, Berkeley, U.S.A. Pascal Petit, CEPREMAP, France Luc Soete, Maastricht University, The Netherlands The titles published in this series are listed at the end of this volume. Economics of Science, Technology and Innovation THE TECHNOLOGICAL EVOLUTION OF INDUSTRIAL DISTRICTS edited by Fiorenza Belussi Giorgio Gottardi Enzo Rullani SPRINGER SCIENCE+BUSENESS MEDIA, LLC Library of Congress Cataloging-in-Publication The Technological Evolution of Industrial Districts / editors, Fiorenza Belussi, Giorgio Gottardi, Enzo Rullani ISBN 978-1-4613-5054-5 ISBN 978-1-4615-0393-4 (eBook) DOI 10.1007/978-1-4615-0393-4 Copyright ®2003 by Springer Science+Business Media New York Originally published by Kluwer Academic Publishers in 2003 Softcover reprint of the hardcover 1st edition 2003 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photo-copying, microfilming, recording, or otherwise, without the prior written permission of the publisher, with the exception of any material supplied specifically for the purpose of being entered and executed on a computer system, for exclusive use by the purchaser of the work. Permissions for books published in the USA: [email protected] Permissions for books published in Europe: [email protected] Printed on acid-free paper. Contents List of Contributors vii Preface ix Part I: Towards a conceptualisation of the industrial 1 district model From the industrial district to the districtualisation of production activity: some considerations. . . ... .. . . .. .. . ... . . . . .. ... 3 G. Becattini 2 Local development in a post-Fordist growth regime...... ....... 19 P. Petit 3 The theory of geographical agglomeration -minimum requirements and a knowledge-based suggestion...... ........... 35 P. Maskell Part D: The generation and acquisition of knowledge: the 61 cognitive approach to the industrial district model 4 The Industrial District (ID) as a cognitive system.............. ... 63 E. Rullani 5 Why do let technologies and the Internet find it hard to spread into industrial districts and favour knowledge exchange?.. .... 89 G. Gottardi 6 Cognitive models, efficiency, and discontinuities in the evolution oflndustrial Districts and Local Production Systems 109 M. Lombardi 7 Knowledge creation and codification in Italian Industrial Districts................................................................. 139 F. Belussi and L. Pilotti 8 Cognitive economies and the "nature of the district" ........... " 173 M. Turvani 9 Paths oflocallearning and change in vital industrial districts... 195 M. Bellandi 10 Social identity and identification processes: enriching the theoretical tools to study Industrial Districts....................... 205 L. Biggiero and A. Sammarra 11 The industrial district and the "new" Italian economic geography... ...... ... ... ... ... ... ... ... ...... ...... ... ...... ... ... ..... 233 F. Sforzi vi The Technological Evolution ofI ndustrial Districts 12 Behavioural rules in industrial districts: loyalty, trust, and reputation ............................................................... 245 M. Mistri and S. Solari Part ITI: The new design of evolutionary industrial 269 districts: some case studies 13 Italian industrial districts: performance and evolution ............ 271 I. Paniccia 14 Is a district possible in the car industry? The case of the Turin area ...................................................................... 313 R. Bianchi and A. Enrietti 15 The generation of contextual knowledge through communication processes. The case of the packaging machinery industry in the Bologna district.. ....................... 341 F. Belussi 16 The biomedical valley: structural, relational and cognitive aspects .................................................................. 367 L. Biggiero and A. Sammarra 17 Sophia-Antipolis as a technopolis phenomenon: is myth becoming reality? ...................................................... 389 M. Quere 18 An ecology based interpretation of district "complexification": the Prato district evolution from 1946 to 1993 .................... 409 L. Lazzeretti and D. Storai 19 New forms of knowledge creation and diffusion in the industrial district of the provinces of Matera- 435 Bari .................................... V. Albino and G. Schiuma 20 The chair manufacturing district of Manzano: evolutionary processes and the role of the institutions ........................... 463 R. Grandinetti 21 The role of academic spin-offs in connecting local knowledge 481 G. Capaldo, L. Iandoli, M. Raffa and G. Zollo Index 497 List of Contributors Vito Albino, Professor of Management and Engineering, Bari Polytechnic, Bari, Italy. Giacomo Becattini, Emeritus Professor of Political Economy, University of Florence, Florence, Italy. Marco Bellandi, Associate Professor of Political Economy at the Department of Economic Science and Faculty of Economics, University of Florence, Florence, Italy. Fiorenza Belussi, Associate Professor of Economics and Management, Department of Economics, University of Padua, Padua, Italy. Ronny Bianchi, Research Fellow, CREI, Paris, France. Lucio Biggiero, Associate Professor of Organisation, University of L' Aquila, L' Aquila, Italy; Institute of Business Studies, LUISS Guido Carli University, Rome, Italy. Guido Capaldo, Associate Professor of Management and Engineering, DIEG, University of Naples Federico II, Naples, Italy. Aldo Enrietti, Associate Professor of Industrial Economics, Department of Economics, University of Turin, Turin, Italy. Giorgio Gottardi, Professor of Management and Engineering, University of Padua, Padua, Italy. Roberto Grandinetti, Professor of Marketing, University of Udine, Udine, Italy; University of Padua, Padua, Italy. Luca Iandoli, Research Fellow, DIEG, University of Naples Federico II, Naples, Italy. Luciana Lazzeretti, Professor of Economics and Marketing, Faculty of Economics, University of Florence, Florence, Italy. viii The Technological Evolution ofI ndustrial Districts Mauro Lombardi, Associate Professor of Political Economy, Department of Economics, University of Florence, Florence, Italy. Peter Maskell, Professor, Centre for Economic and Business Research and Department of Industrial Economics and Strategy (lVS), Frederiksberg; Copenhagen Business School (CBS), Copenhagen, Denmark. Maurizio Mistri, Associate Professor of Political Economy, Department of Economics, University of Padua, Padua, Italy. Ivana Paniccia, Research Fellow, Italian Agency for the Quality Control of Public Services, Rome, Italy. Pascal Petit, Director of Research, CEPREMAP/CNRS, Paris 75013, France. Luciano Pilotti, Professor of Economics and Management, Faculty of Science Policy, Department of Economics and Business, University of Milan, Milan, Italy. Michel Quere, Professor of Economics, CNRS-IDEFI, Sophia Antipolis, 06560 Valbonne, France. Mario Raffa, Professor of Management and Engineering, DIEG, University of Naples Federico II, Naples, Italy. Enzo Rullani, Professor of Economics and Management, University of Venice, Venice, Italy. Alessia Sammarra, Research Fellow, Institute of Business Studies, LUISS Guido Carli University, Rome, Italy. Gianni Schiuma, Associate Professor of Management and Engineering, DAPIT, University of Basilicata, Potenza, Italy; Cranfield School of Management, Cranfield University, Bedford, England. Fabio Sforzi, Associate Professor of Economic Geography, Faculty of Economics, University of Turin, Turin, Italy. Stefano Solari, Researcher in Political Economy, Faculty of Law, University of Padua, Italy. Dimitri Storai, Research Fellow, University of Florence, Florence, Italy. Margherita Turvani, Associate Professor of Economic Policy, DP-IUA V University of Venice, Venice, Italy. Giuseppe Zollo, Professor of Management and Engineering, DIEG, University of Naples Federico II, Naples, Italy. Preface Fiorenza Belussi, Giorgio Gottardi, and Enzo Rullani This volume collects some papers presented at the Vicenza conference "The Future of Districts", held in June 1999, organised by the Department of Technology and Management of Industrial Systems of the Faculty of Engineering of Padua University, with the collaboration of several engineers, industrial economists, and experts in the issue of technology management. This was the starting point of a long-lasting and painful colIective discussion, the results of which are documented here, during many meetings of this "itinerant" group, including the workshop in Padua, organised by Professor Luciano Pilotti and held in May 2001, "Systems, governance & knowledge within firm networks" at the Department of Economics of the University of Padua, and the recent international research seminar, held in May 2002, in Rome at the Tagliacarne Institute, within the EU sponsored project "Industrial districts' re location processes: identifying policies of EU enlargement West-East ID". The reason we decided to organise this book was not only to underline the importance of the industrial district (ID) model as a tool of propulsive local growth in a country like Italy. On the contrary, the idea that moved us was the theoretical dissatisfaction with the way in which the phenomenon of local development and industrial clustering of specific industries was treated in the international approach of the various disciplines. To the roots of the Marshallian concept of clustering If we disregard the determinism of neoclassical equilibrium, we become aware of the real complexity of the economic processes which generate the many possible patterns of evolution at local level. Our intent was thus to go back x The Technological Evolution of Industial Districts to the origin of such a fruitful discussion which started with Marshall, when he tried to highlight the reasons that render the agglomeration of specialised industries a territorial phenomenon worth analysing (Storper, 1997; Porter, 1998). The term ID has been widely utilised in the economic literature for different purposes .a nd within different theoretical frameworks. During the 1980s, Becattini re-used the Marshallian concept of ID as a new unit of analysis for his theorisation of industry-specific enterprises clustering in his theory - based on a socio-economical approach - of industrial organisation (Becattini, 1987). Subsequently, Porter (1989), starting from his interest in the combination of competitive forces which give impetus, within the economic system, to specific specialised clusters formed by inter-organisational networks (functional and/or territorial), discovered the model of the industrial district that he called territorial cluster (TC). However, the examples of territorial clusters he described in his work were often mentioned by Becattini, the Italian economist who originally studied them, as typical examples of IDs. Finally, the study of industrial districts has been developed within a "geographical" approach by those researchers who wanted to describe the empirical structure of local agglomeration of specialised systems of production (in manufacturing and services), providing an extensive classification of the variety of existing districts, within a country or a region. Clearly when we shift from a theoretical concept to its operationalisation, either with qualitative or quantitative research, using empirical data, administrative database, and real variables, we encounter a lot of difficulties in matching the theories and the survey results. So, the analysis of spatial clustering has often resulted in an overproduction of concepts, where the individual categories sometimes overlap, and are not mutually exclusive, or where typologies are poorly described. For instance, in the Anglo-Saxon tradition, the terms ID and cluster have often been used interchangeably. And also among the more "Marshallian" researchers, like for instance Garofoli, Camagni, Sforzi, Markusen, Paniccia, Guerrieri and Pietrobelli, and Viesti, we encounter a kind of rich, and sometimes confusing, categorisation of terms like industrial districts, clusters, industrial mileux, system areas, and local production systems, many of which are extensively used as synonyms (Garofoli, 1991; Camagni, 1993; Markusen, 1996; Viesti, 2000; Guerrieri and Pietrobelli, 2001). To return, once again, to the Marshallian terminology, in the perspective developed in this volume, we have focused our analysis around the process of territorial agglomeration of specialised industry, where a specialised production system is detachable and a district model could be identified. This means that we did not take analytically into account all possible morphological manifestations