Hidden Champions and their integration in rural regional innovation systems: Insights from Germany

This article studies the integration of Hidden Champions – little-known highly innovative global market leaders – in rural regional innovation systems (RIS) in Germany. These firms are analyzed in relation to their integration into a RIS framework, which differentiates two subsystems: knowledge generation and diffusion, and knowledge application and exploitation. The relevance of firm-internal and firm-external regional influencing factors on rural RIS integration is examined. The article proposes that Hidden Champions are weakly integrated in RIS due to their international sales focus and high technological specialization. To test this premise, 57 expert interviews with Hidden Champions and regional actors were conducted. It was found that key influences for RIS integration of this firm type are ownership structure, firm size, organizational status, location economies, and urbanization economies. Family businesses are on average more integrated than other firm types, but vary significantly in their integration.

Digitalization and City Center Resilience. Exploring Visitors’ Perceptions in Leipzig, Germany

This article deals with digitalization as a contribution to city center resilience, using Leipzig as an example. Focus group interviews illustrate that digital applications can attract to visit the city center and thus contribute to city center resilience. To reinforce these findings, the authors develop a prototype of a digital map covering Leipzig’s city center that is tested by means of 70 go-along interviews. The interviews show that linking digital functions and location-specific information thereby can be effective regarding city center resilience.

Hidden Champions as a Determinant of Regional Development: An Analysis of German Districts

Hidden Champions (HCs) are defined as market leaders in niche markets. They represent the success of the German Mittelstand like no other group of firms. However, little is known on how HCs contribute to regional development. Given their export strength, regional embeddedness, and strong vertical integration we expect HCs to have a profound effect on regional development. Using a German dataset of 1,645 HCs located in 401 German districts, we analyze the effect of HCs on a variety of regional development dimensions. Our results show that HCs are not equally distributed across regions and influence regional development. Regions with a higher number of HCs show strong regional economic performance in terms of median income. Moreover, HC intensity affects regional unemployment and trainee rates as well as regional innovation in terms of patents. Surprisingly, we did not find an effect of regional HC intensity on regional R&D levels and GDP. We can further conclude that the effect of HCs is not limited to the particular region in which they are located but that sizable spillover effects exist. Besides its contribution to the regional development literature, our study adds to a better understanding of the HC-phenomenon. Implications for regional policy makers are discussed.

Intermediation, Disintermediation und Cybermediäre: Zum Einfluss der Digitalisierung auf Wertschöpfungsketten in der Schuhbranche

Zusammenfassung Globale Wertschöpfungsketten (WSK) werden derzeit, hervorgerufen durch die neuen technischen und organisatorischen Möglichkeiten der Digitalisierung, in besonderem Maße restrukturiert. Bisherige Forschungen konzentrierten sich dabei weitgehend auf die Auswirkungen auf Zulieferer in Ländern des globalen Südens. Dieser Beitrag nimmt dagegen den Teil des Vertriebs in den Blick. Anhand der deutschen Schuhbranche werden die Auswirkungen der Digitalisierung auf die Steuerungsmacht in diesem Teil der Wertschöpfungsketten sowie die damit einhergehenden Beziehungen zwischen den Akteuren und zwischen verschiedenen WSK innerhalb der Branche näher beleuchtet. Dabei konnten vor allem Sportartikelhersteller und Online-Plattformen aufgrund des hohen Digitalisierungsgrades in (Herstellungs-,) Kommunikations- und Vertriebsprozessen als zentrale Akteure (Leitunternehmen) identifiziert werden. Zudem zeigen die Untersuchungsergebnisse, dass Akteure mit einer geringen Umsetzung digitaler Prozesse zum Teil bereits aus Wertschöpfungsketten ausgeschlossen werden. Folglich möchte der Beitrag das Bewusstsein dafür schärfen, dass der Digitalisierungsfortschritt von Unternehmen als kritische Determinante für die Teilnahme an WSK herangezogen sowie für die Verhandlung von Gorvernanceformen zwischen Akteuren berücksichtigt werden sollte.

A Review of Transnational Migrant Entrepreneurship: Perspectives on Unequal Spatialities

The spatialities of migrant entrepreneurship have changed dynamically in recent decades. Movements and exchanges transcend national borders more than ever, and transnational migrant entrepreneurship has become a burgeoning field of research. Yet, knowledge is dispersed across disciplines, and an understanding of contemporary spatialities is limited. We review 155 articles published in English, French, German, and Spanish since 2009, thereby providing an overview of existing knowledge on transnational migrant entrepreneurship and suggesting avenues for future research. We identify five current topical areas of research: (1) the business advantages of transnational migrant entrepreneurship, (2) the determinants of becoming a transnational migrant entrepreneur, (3) the transnational networks of migrants, (4) the economic impacts of transnational migrant entrepreneurship on home and host countries, and (5) whether local environments enable or deter entrepreneurial success. Building on our synthesis of the most recent literature, we propose three crucial dimensions which have been under-researched in past and current work, and which address the diversity of geographical locations, spatial connections, and spatial mobilities involved in transnational migrant entrepreneurship. Moreover, we put forward a set of questions for future research which will advance a comprehension of unequal opportunities among transnational migrant entrepreneurs.

Regional Innovation Profiles: A Comparative Empirical Study of Four Chinese Regions Based on Expert Knowledge

In emerging economies such as China, marked by profound regional disparities in terms of socio-economic wealth and technology, different regions use not only different levels of inputs into the innovation process, but also produce different outputs with qualitative diversity that is seldom sufficiently acknowledged. This paper uses structured expert interviews (AHP) to provide insights into the innovation profiles of four selected Chinese regions: Beijing, Shanghai, Chongqing and Kunming. It combines information on drivers of innovation as well as innovation characteristics and objectives to establish and compare regional innovation profiles.

How can R&D programs induce unplanned R&D collaborative networks in clusters?

R&D policies are usually designed to enhance firms’ internal capabilities, but do not explicitly target R&D cooperation. In this research, we propose that R&D programs can be a suitable instrument when it comes to fostering informal collaborative networking. We focus on a regional level, the cluster, and establish that firms can use their R&D subsidies not only to become more innovative, i. e. input-output additionality, but also to develop R&D informal collaborations, i. e. behavior additionality. To test this hypothesis, relational data from a biotechnological cluster in Alicante (Spain) have been analyzed. Results from ERGM confirm that promoting internal R&D efforts prompts the formation of knowledge-based relationships at the cluster level. Policy makers should consider this unforeseen behavior when designing and evaluating non-collaborative R&D support programs. New evidence on the role of distant and diverse non-local linkages on local network dynamics is also provided.