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The Effects of Locational Factors on the Performance of Innovation Networks in the German Energy Sector

: Kutschke, A.; Rese, A.; Baier, D.

Fulltext (PDF; )

Sustainability 8 (2016), No.12, Art. 1281, 18 pp.
ISSN: 2071-1050
Journal Article, Electronic Publication
Fraunhofer FIT ()

Locational factors, like the quantity and quality of skilled labour, demanding customers, competitors, supporting industries, and research institutions, are assumed to have an influence on the competitiveness of a region and the performance of the regional actors. However, few studies focus on this topic from an innovation network perspective in the energy sector. Our study tries to close this gap: a sample of 128 German innovation networks of companies and research institutes in the energy sector is used to analyse the effects of locational factors on the performance (effectiveness) of innovation projects. Based on the distinctions in Porter’s Diamond Model, we find that two locational factors—the quality and quantity of the demand conditions and skilled labour—have positive effects. In contrast to the widespread assumption in the literature we could not find evidence for positive impacts on the quality and quantity of the competitive environment. In fact, the effect on performance was negative.