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The renewal of regional capabilities: Experimental regionalism in Germany

. Research Policy, 34 (5): 739-757 (2005/6)

Abstract

The innovativeness of a region depends on its ability to recombine technological, organisational and scientific capabilities. This recombination can be facilitated by regional policies. In the past, these policies provided a stable set of "local collective competition goods" supporting interorganisational patterns of cooperation, communication and competition. Given the increasing uncertainties of an internationalised knowledge society, these stable regional orders are challenged by new, more open-ended and experimental patterns of regional policies. These policies treat regions as social fields whose political and economic boundaries, identities, dominant coalitions and governance structures are constructed in bargaining and exchange relations. Also the type of collective competition goods required and their target groups are the result of negotiations involving not only political actors and business associations but also enterprises and trade unions. This shift to a discursive renewal of regional capabilities, as well as the difficulties and limitations encountered by such "experimental regionalism", is illustrated on the basis of an East and a West German region. Leipzig had to create a new economic and business structure and to integrate the existing firms into regional networks in order to enhance its innovative capabilities. In Leipzig, these two challenges were met by separate, newly created institutions thus hampering the regional integration and innovativeness of the recently recreated industrial basis. In Nuremberg, the transformation of a traditional industrial region into a technology and service-based one was facilitated by a common vision, regional networks, new research facilities and favourable conditions for start-up activities. In this case, a new regional "steering committee" facilitated the integration and renewal of formerly isolated regional capabilities thus demonstrating the potential of a discursive renewal of regional innovation systems.

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