All that Glitters is Not Gold: The Impact of Network and Cluster Technological Resources on the Breakthrough Innovations in the U.S. Semiconductor Industry

Abstract

We investigate whether clusters and networks impact differently a firm's ability to generate technological innovations in a longitudinal study of US based semiconductor firms. We further examine whether resource profiles of firms explains their differential ability to benefit from the network and cluster technological resources. The preliminary results suggest that network technological resources positively impact the likelihood of generating breakthrough innovations. However the impact of cluster technological resources is negative. We further find that the resource-rich benefit more from their network technological resources while resource-deficient firms are at a greater disadvantage from the increasing cluster technological resources.

Keywords: Network, Cluster, Breakthrough Innovation, Technological Innovation