The Effect of Regional Differences on the Performance of Software Firms in the Netherlands

Posted: 29 Feb 2008

See all articles by Ron A. Boschma

Ron A. Boschma

Utrecht University - Faculty of Geographical Sciences

Anet B.R. Weterings

University of Utrecht - Department of Economic Geography

Abstract

This paper aims to explore the effect of regional differences on the performance of software firms in the Netherlands. Inspired by evolutionary economics, we account for the impact of: (1) co-location and sharing a local knowledge base; (2) pre-entry experience in the same or related industries; (3) being connected; and, (4) having organizational capabilities to cope with change. The outcomes of the regression analyses on data gathered among 265 software firms suggest that firms located in regions specialized in ICT have a higher innovative productivity. Spin-offs and firms with organizational capabilities also perform better, while network relationships do not affect the performance of software firms.

JEL Classification: C42, L86, O31, R10

Suggested Citation

Boschma, Ron A. and Weterings, Anet B.R., The Effect of Regional Differences on the Performance of Software Firms in the Netherlands. Journal of Economic Geography, Vol. 5, No. 5, pp. 567-588, 2005, Available at SSRN: https://ssrn.com/abstract=917710

Ron A. Boschma (Contact Author)

Utrecht University - Faculty of Geographical Sciences ( email )

Postbus 80.115
3508 TC Utrecht
Netherlands
+31 30 2532896 (Phone)
+31 30 2532037 (Fax)

Anet B.R. Weterings

University of Utrecht - Department of Economic Geography

Postbus 80.115
3508 TC Utrecht
Netherlands

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