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Cathy Lecocq Dimetic session, Pecs, July 2007

The role of science - industry interactions within emerging fields: An analysis of technological performance on the level of regions and firms. Cathy Lecocq Dimetic session, Pecs, July 2007. The role of science - industry interactions within emerging fields. PhD Framework:

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Cathy Lecocq Dimetic session, Pecs, July 2007

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  1. The role of science - industry interactions within emerging fields: An analysis of technological performance on the level of regions and firms Cathy Lecocq Dimetic session, Pecs, July 2007

  2. The role of science - industry interactions within emerging fields PhD Framework: The role of science – industry interactions for the technological performance of regions and firms in new emerging fields The role of (national/regional) policies aimed at stimulating the collaboration between academia and industry, and their distinctive impact on inter-organisation collaboration at the level of the firm and the region.

  3. The role of science - industry interactions within emerging fields • Using formal R&D collaborations, based on co-publication and co-patenting data => hereby exploring the relevancy of this set of indicators as comprehensive measures for the amount and nature of scientific and technological collaboration on the level of regions and firms. • Focusing in a first phase on biotechnology, which can be considered as an emergent and growing field of technological and economical activity over the last decades In a next step, this pilot will be extended towards other technology fields in order to check whether and to what extent the role of science – industry interactions is really distinctive within emerging, knowledge intensive technologies

  4. Collaboration between Academia and Industry and the technological Performance of European Regions: the Case of Biotechnology Catherine Lecocq Bart Van Looy Managerial Economics, Strategy and Innovation Faculty of Economics and Applied Economics K.U.Leuven

  5. Science-Industry interaction and the technological performance of regions System approach of innovation: interaction between multiple actors Innovation Systems • (National) Innovation Systems (Lundvall, 1992; Freeman, 1987; Nelson, 1993) • Regional dynamics (Acs, 2000; Blind and Grupp, 1999; Cooke, 2002; Florida and Cohen, 1999; Keeble and Wilkinson, 2000; Saxenian, 1994) • Triple Helix model (Leydesdorff and Etzkowitz, 1996; 1998) Firms • Suppliers and customers (Shaw, 1994; Von Hippel, 1988) • Potential lead users (Quinn, 1985; Von Hippel et al., 1999) • Universities and public research centres (Gerwin et al., 1992, Santoro, 2000; Tidd et al., 2002, Veugelers and Cassiman, 2005) • Future or existing competitors (Hamel, 1991; Dodgson, 1993) Open Innovation paradigm (Chesbrough, 2003)

  6. Science-Industry interaction and the technological performance of regions Recent research on R&D collaboration of firms differentiates between different types of alliances based on March’s (1991) exploration vs exploitation framework and indicates differentiatedrelationships with innovative performance (multi-dimensional): • Integrated product development path (Rothaermel and Deeds, 2004; 2006): exploration alliances -> products in development -> exploitation alliances -> new products on the market • Firms engaging more in collaboration with universities and knowledge generating institutes perform better in terms of the development of new technologies and products (Belderbos et al., 2004; Faems et al.,2005) • Firms engaging in exploitative collaborations with other firms perform better in terms of obtaining turnover from improved products (Faems et al., 2005) or show a significant impact on labour productivity growth (Belderbos et al., 2004).

  7. Science-Industry interaction and the technological performance of regions For knowledge creation and diffusion processes involving a substantial amount of tacit knowledge proximity matters (Malmberg and Maskell, 1997; 1999 Jaffe, Trajtenberg, and Henderson, 1993, Anselin, Varga and Acs, 1997) • Universities and research labs contribute to the technological and innovative performance of their regions (Jaffe, 1989; 1993; Mansfield, 1995; Acs et al. 1991; 2002; Anselin et al. 1997; Varga, 2002; Fischer et al. 2003) • But seems more pronounced within certain (broad) technological fields than across all fields (Jaffe, 1989; Acs, et al., 1991; Anselin et al. 2000) • Results in increasing attention for regional innovation dynamics/clusters: unit of analysis within this study

  8. Science-Industry interaction and the technological performance of regions Technologies progress along a Technology Life Cycle (Utterback and Abernathy 1975; Roussel, 1984; Foster 1986; Anderson and Tushman, 1997; Andersen 2001) • Different stages of technology coincide with different characteristics of the technologies with respect to technical and market uncertainty, technical performance, levels of R&D investments, etc. (Roussel, 1984; Foster 1986) • The development path of technologies typically follows an S-shaped growth path (Andersen 2001)

  9. Science-Industry interaction and the technological performance of regions We hypothesize that the nature and impact of university – industry collaborations for regional development vary as technologies and industries progress along the technology/product life cycle. And more specifically : 1) More R&D collaborations between companies and universities/ research centres will lead to better technological performance of regions (within emerging, knowledge intensive, fields) during the first, more explorative, phases of the technology life cycle. 2) More R&D collaboration between companies will lead to better technological performance of the regions during next, more exploitation oriented phases of the technology life cycle.

  10. Science-Industry interaction and the technological performance of regions DATA: EPO patents -> consistent, field specific and comparable data for a large number of regions and over longer time periods Assignee(s): Name(s) Addresse(s) Patent Technology class (IPC code) Inventor(s): Name(s) Adresses(s)

  11. Science-Industry interaction and the technological performance of regions EPO patents within the domain of Biotechnology (appl years 1978-2001) Result of a prior effort to map the field of biotechnology (Glänzel et al., 2003) • Assignment of assignee type : University, public research centre, company, hospital, private person Based on the sector assignment methodology developed by the Policy Research Centre for R&D Statistics (Leuven, Belgium, see Van Looy, Du Plessis & Magerman, Eurostat WP, 2006) • Allocation of addresses to regions: nuts 3 level Using the 3-level hierarchical classification of regions established by Eurostat: the Nomenclature of Territorial Units for Statistics (NUTS) • Selection of nuts level: nuts1/2 Nuts1 for smaller European countries, nuts 2 for other countries Criterion: average population on the region level > 1 mio

  12. Science-Industry interaction and the technological performance of regions Overview of selected nuts level, number of regions and average population per country ( EU-15 + Switzerland)

  13. Science-Industry interaction and the technological performance of regions Indicators of technological performance of regions (based on inventor addresses) Collaboration indicators (based on co-assigneeship, allocated to regions based on assignee addresses)

  14. Science-Industry interaction and the technological performance of regions Panel dataset with 4.728 observations pertaining to 197 regions in EU-15 and Switzerland, over the time period 1978-2001 (24 years) Descriptive statistics (per region and year, period 1978-2001)

  15. Science-Industry interaction and the technological performance of regions Clustering of biotech activities in EU-15 and Switzerland (1978-2001) 1/3 of patents is concentrated within 10 regions 17 regions (8,6%) have no biotech patents; 27 (13,7%) regions have no more than 5 patents

  16. Science-Industry interaction and the technological performance of regions Top 10 regions in EU-15 + CH Berkshire, Buckinghamshire and Oxfordshire(UK) East Anglia (UK) Denmark (DK) Zuid-Holland (NL) Vlaams gewest (BE) Île de France (FR) Köln (DE) Darmstadt (DE) Oberbayern (DE) Karlsruhe (DE) GeoDa

  17. Science-Industry interaction and the technological performance of regions Collaboration within biotechnology 15.015 patents with at least 1 assignee in EU-15 and Switzerland (1978-2001) => 1.843 (12,3%) with 2 or more assignees • 536 KGI – industry collaboration (3,6%) • 409 Industry – industry collaboration (2,7%) Correlations

  18. Science-Industry interaction and the technological performance of regions Evolution of patenting in the field of biotechnology Period 1978-1990: steady linear increase of the patent stock Period 1991-1999: exponential growth of the number of patents

  19. Science-Industry interaction and the technological performance of regions MODEL: What is the nature and impact of university – industry collaborations for regional development as technologies and industries progress along the technology/product life cycle? Period 1978-1990: First, explorative phase of the TLC Period 1991-1999: Next, more exploitation orientated phase of the TLC Collaboration in year t-> technological performance of the region in year t+2 Fixed Effect Negative Binomial regression model -> controls for unobserved between region - differences such as BERD and HERD

  20. Science-Industry interaction and the technological performance of regions RESULTS (1): Number of patents per Region(t+2)

  21. Science-Industry interaction and the technological performance of regions RESULTS (2): Number of patents per population per Region (t+2)

  22. Science-Industry interaction and the technological performance of regions CONCLUSIONS: During the first explorative phases of the technology life cycle: • science – industry interaction leads to a better technological performance of the region • collaboration between industrial partners contributes to the technological performance of regions During the more exploitative phases of the technology life cycle: • science – industry interaction leads to a better technological performance of the region, suggesting that even during the later phases of the technology life cycle, exploratory research activities remain present; • but collaboration between industrial partners does not lead to better technological performance of regions: Reduced importance of collaboration between firms during later stages of the life cycle? (<> open innovation system rhetoric)

  23. Science-Industry interaction and the technological performance of regions FURTHER RESEARCH will be focused on the introduction of • the geographical distribution of co-patenting (local, national, international), • characteristics of the regional economical texture (number and size of the firms), • the specific role of scientific capabilities, • and extending indicators signaling collaboration (co-publication) in order to further qualify the relationships identified so far

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