The impact of relatedness and knowledge transfer on growth and structural change of firms and regions

Of key interest are the mechanisms that facilitate the transfer of routines and capabilities between organizations. Routines and capabilities do not automatically diffuse between organizations due to their tacit nature. Rather, they diffuse through mechanisms, particularly spillovers, spinoffs, labor mobility, mergers and acquisitions, and inter-organizational networks. This PhD thesis investigates how these mechanisms, in conjunction with relatedness, induce growth and structural change of local economies and plants. The key unit of interest is the composition of activities within regions and plants. To what extent are these compositions coherent as in consisting of related activities? How does the composition of activities affect the growth of activities? And how do new activities develop in certain compositions of activities and through which mechanisms? In investigating these questions, this PhD thesis starts the investigation at the regional level and gradually moves down the level of analysis, ending at the level of the economic establishment and individual worker. The following research questions are addressed: To what extent is the impact of related variety on regional employment growth conditioned by the technological intensity of the local industries concerned?; What determines the creation of knowledge transfer ties between organizations?; Compared to the benefits of co-location with firms in the same industry, to what extent do intra-industry mergers and acquisitions increase the performance of firms? And to what extent do intra-industry mergers and acquisitions foster the spatial clustering of an industry over time?; Who are the main agents of structural change in a region?; What is the impact of new influx of capabilities into plants, through the recruitment of top managers and top technicians, on plant diversification?