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Patrick Cohendet and Laurent Simon

In this chapter, the authors analyse Ubisoft’s Montreal ecosystem. They show how the Ubisoft studio is the central actor that orchestrated a unique ecosystem in videogames through the building of a rich ‘middleground’, conceived as a set of intermediary platforms and devices that connect and integrate formal organisations and informal collectives. They argue that the success of the development of the Ubisoft studio and of the dynamism of the city in the domain of videogames is due to the progressive building by the main parties in this field of such a middleground that provides the essential qualities of an ecosystem: generative dynamism, resilience and power of attraction.

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Ruth Rentschler, Kim Lehman and Ian Fillis

This chapter examines a private entrepreneur and his art museum as a single deep, rich case study. Occasionally, new art museums emerge in small regional cities that contribute to economic and social development. Using the entrepreneurship theory of effectuation, with biographical research methods, interviews, observations and content analysis, the authors provide a lens on how one man’s vision has changed opportunities in a rust-bucket city and state, boosting jobs and tourism and changing the urban environment. They analyse how the complex and paradoxical attractions of a distinctive museum succeeded, which have been little investigated from the perspective of its broader role in stimulating a small regional city’s rise as an emerging creative city. Theoretically, the chapter makes a contribution by applying entrepreneurship theory through an entrepreneurial marketing and effectuation lens, demonstrating how unpredictable products in a new venture process under conditions of uncertainty provided a unique difference and unexpected success in the arts and cultural sector.

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Luciana Lazzeretti, Francesco Capone and Niccolò Innocenti

This chapter has a twofold objective. First, it aims to contribute to addressing the fragmentation of the literature on the creative economy, and second, to lay the foundation for an economics of creative industries. Following a bibliometric approach, the authors analyse all publications collected from the ISI Web of Science database, starting from 1998 and ending in 2016. Through the analysis of nearly 1600 publications, they study the evolution of creative economy research (CER). They apply a co-citation analysis developed using social network analysis, thereby exploring the ‘founders’ and ‘disseminators’ of cultural and creative industries (CCIs). Results underline that CCIs are not only the major topic in CER research, but this trend has become stronger in the last few years. In addition, evidence of this work strongly confirms the relevance of CCIs in the contemporary economy. This importance can only be expected to grow in the future. This last result supports the hypothesis concerning the foundation of an economics of creative industries.

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Patrizia Casadei and David Gilbert

In recent years, fashion design has been treated as a key element of the cultural and creative industries (CCIs), and the idea of the ‘fashion city’ has emerged as a potential strategy for the revamping of cities. This chapter argues that there is not a singular model of the ‘fashion city’, and that treating fashion simply as a CCI underplays its complexity. It proposes an analytical framework for thinking about fashion’s relationship with cities. The chapter highlights the different trajectories of ‘fashion’s world cities’, specifically Paris, New York, Milan and London, and identifies the existence of two broad tendencies within strategies to develop ‘second-tier cities’ of fashion like Auckland, Toronto and Antwerp. The suggested framework highlights the different positions that fashion plays in urban economies, associated with manufacturing, design and symbolic production and the various forms of creativity associated with different forms of fashion city.

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Ossi Pesämaa and Martin Svensson

Principal–agency theory has influenced the formation of corporate boards worldwide. However, the viability of such an outsider-owned model has also been questioned. Weak empirical support between the structure of corporate boards and the performance of firms, and examples of bankruptcies in companies such as Enron, Lehman Brothers and Worldcom, raise doubts about the efficiency of boards. Many Asian countries are dominated by another type of model – insider governance models – relying on families and close relationships instead. Based on the central tenets of principal–agent theory and macro-level data (2006–14), we analyse differences in board efficiency between emerging economies in Asia and western economies. The findings unveil a ‘cultural effect’ where board efficiency better predicts the insider-orientated governance model that is prevalent in eastern economies. The viability of principal–agency theory as a unifying model is discussed, and then practical implications and recommendations for further research are outlined.

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Tobias Arvemo and Urban Gråsjö

This chapter investigates the importance of cross-border activities for border regions in Sweden. We acknowledge the heterogeneity between regions by dividing them into three categories depending on the population density on each side of the national border. A spatial model is estimated using data from 2014 that takes into account geographical proximity and spatial correlation. The model examines the difference in gross pay per inhabitant and employment rate between municipalities belonging to a border region and an average comparable Swedish municipality. The results show that the largest positive effect can be found for municipalities belonging to sparsely populated regions bordering a densely populated region. For municipalities in densely populated regions bordering a densely populated region comparable improvements are revealed, although not of the same magnitude. For municipalities in sparsely populated areas bordering rural areas, no statistically significant differences are discovered between them and the Swedish average.

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Globalization, International Spillovers and Sectoral Changes

Implications for Regions and Industries

Edited by Charlie Karlsson, Andreas P. Cornett and Tina Wallin

As a consequence of globalization, news, ideas and knowledge are moving quickly across national borders and generating international spillovers. So too, however, are economic and financial crises. Combining a variety of methods, concepts and interdisciplinary approaches, this book provides an in-depth examination of these structural changes and their impact. Assessing the implications of globalization for businesses and sectors, chapters focus on the interdependencies between different economic and political layers, and explore topics such as human capital, creativity, innovation, networks and collaboration.
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Charlie Karlsson, Andreas P. Cornett and Tina Wallin

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Trudy-Ann Stone

One of the most salient features of the modern economy is the globalization of production, and one key actor contributing to this development is the multinational firm. Understanding where multinational firms locate and how they operate is at the heart of academic disciplines such as international business and, more recently, international trade. An important factor shaping the location decision is the role of bilateral distance between the home and host countries. In particular, researchers have shown that cultural, institutional, geographical and economic distance between home and host countries all have a bearing on the firm’s location decision. However, ongoing developments call into question current understanding of the role of bilateral distance. This chapter reviews the literature on the effect of bilateral distance between the home and host countries on the location behaviour of multinationals, highlighting key areas for future research to address.

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Ola Olsson

This chapter is focused on how the information and communication technology (ICT) context has nourished the industrial dynamic literature stream when it comes to the innovation process. It does so by using a life-cycle approach on key node papers with a specific focus on interaction and collaboration activates between ICT firms during the past decades. According to the study these activities have nourished the process in different stages of the innovation life-cycle. In addition, choice of learning strategy seems to decide the strength of relationships and ultimately the potential magnitude of innovation and technological change. The practical implication is that ICT firms seem to have moved away from the vertical strategy of doing it all in-house. Instead, there are several indications of an open way of working which push the innovation process forward.