Conference: How Does Structure Affect Industrial Districts Innovation? Gabaldón-Estevan, D., Fernández de Lucio, I., Tortajada-Esparza, E.; Danish Research Unit for Industrial Dynamics Summer Conference. Copenhagen, (Denmark) 18-20 June 2007.

1. How Does Structure Affect
Industrial Districts Innovation?
How Does Structure Affect
Industrial Districts Innovation?
1
Institute of Innovation and Knowledge Management
DDaanniieell GGaabbaallddóónn--EEsstteevvaann
IIggnnaacciioo FFeerrnnáánnddeezz--ddee--LLuucciioo
EEnnrriiqquuee TToorrttaajjaaddaa--EEssppaarrzzaa

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Research Purpose
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Purpose
How does the structure in a given Industrial
District influence its innovative capacity?
Case study of the two most important ceramic tile
industrial districts in Europe:
Sassuolo (Italy) & Castellon (Spain)

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Theoretical framework
We follow Nelson’s (Nelson, 1993) primary typology
of enterprises attending the characterisation of
their technical change process:
Type A enterprises are producers of the
commodity
Type B enterprises, namely providers of
technology and advanced services
B1 complex systems producers
B2 chemical products producers

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Hypotheses
H1 innovation in a given industrial district is
strongly dependent on the structure of the district
in terms of the kind of enterprises that compose
it.
H2 the innovative capacity of a district depends on
the strength of the relations that the type B
enterprises in that district have with other type B
enterprises in other geographically close
districts.

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Methodology
Semi-structured interviews were maintained with
representatives of the ceramic industrial districts
of both countries including:
– Managers from either ceramic,
electromechanical or glaze companies;
– Representatives of employers and workers
associations;
– Representatives of public institutions
specialized in technology or trade;
– Responsible of research institutions directly
responsible for R&D for the industry;
– Academics whose work had intensively been
focussed on the issue.

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Elements in the
Tile Production Process

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Main
elements in
the value
chain

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The Sectoral Innovation System
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Sectoral Innovation System
Legal & Institutional framework
Productive environment
Technological
and advanced
services
providers’
environment
Scientific environment
(Adapted from Fernandez-de-Lucio et al. 1996 )

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Institutional Environment
CASTELLON
The associative level is fragmented
(ASCER, ANFFECC, ASEBEC,
ALICER, ANDIMAC, AFPE and
ATC) and although ASCER is the
most important actor, it is not as
predominant as its Italian
counterparts Assopiastrelle.
Relevance of Cevisama and QUALICER
as international events.
There are no direct policies towards
supporting the sector although a
good institutional disposition is
observed.
SASSUOLO
The associative level is concentrated
mainly around Assopiastrelle and
ACIMAC.
Leader position of Cersaie and
Tecnargilla.
There are no direct policies towards
supporting the sector and the
institutional disposition is weaker.

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Scientific Environment
CASTELLON
Important role of the Jaume I University
(UJI) training Chemist and Chemist
Engineers. Deficient commercial and
management training. Inadequate
Industrial Engineering training.
Research is developed by the ICV
(Ceramic and Glass Institute), the
ITC (Technological Institute of
Ceramics) and the UJI (Jaume I
University).
SASSUOLO
The Modena and Reggio Emilia
University only recently offer
degrees on Chemistry and Ceramic
Engineering, being more
experienced on Business
Administration and on Industrial
Engineering training.
Less research is done in the Italian
scientific environment, and it is
carried by the CCB (Ceramic
Centre of Bolonia).

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Technological and Advanced Services
Providers’ Environment
CASTELLON
Technological innovation is driven by
the glaze sub sector and assisted by
the ITC (Technological Institute of
Ceramics).
Central role of the ITC on education
and on process innovations.
Education on chemistry and
cooperation from the ATC
(Ceramic Technicians Association) is
remarkable.
SASSUOLO
Technological innovation is driven and
supported by the capital goods sub
sector and design studios.
The role of the CCB (Ceramic Centre of
Bolonia) although being important is
not as central as its Spanish
counterpart.
Excellence on design, business
administration and
commercialization.

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Productive Environment
CASTELLON
Small and Medium Enterprises
flexible and dynamic.
Low specialisation, most companies
undertake all product typologies.
Relative vertical integration within
companies.
Family founded firms, decisions are
still adopted by the owner or main
shareholder.
Small inter-firm collaboration on
R&D projects. Subcontracting is
considerable.
Weakness on the high market
segment positioning.
SASSUOLO
Bigger ceramic holdings less dynamic
than their Spanish counterparts.
Higher product specialisation.
Weak vertical integration within
companies.
Decisions are adopted by
shareholders on steering
committees adopting a more
management like approach.
Stronger tile firms implication on the
Sectorial Innovation System
articulation.
Leadership on main markets.

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Environmental Interactions
CASTELLON
Information flows between the UJI, the
ITC, the glaze companies, and the
ceramic companies, and is
reinforced by the mobility of and
relationship between graduates.
The internationalization of the Spanish
district with the Italian one is trough
the relationship between the
Spanish ceramists and the Italian
capital goods providers.
Predominant role of the institutional
actors.
SASSUOLO
Dense network of actors invigorated by
the capital goods companies.
The internationalization of the Italian
district with the Spanish one is
trough the relation of the Italian
ceramist with the Spanish glaze
providers.
Predominant role of the business
associations.

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Innovation within the district
CASTELLON
Few relevant innovations both of
product and process, more frequent
in design and carried out by glaze
firms.
Too much dependent on capital goods
providers and glaze firms.
Lower innovative tension than their
Italians counterparts.
SASSUOLO
Frequent product and process
innovations driven by their leading
position in capital goods.
Try not to be excessively dependent on
providers.
Continuous search on new tile uses.

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Relations between agents of
different districts in Emilia-Romagna
(Istituto per la
Promozione
Industriale
2002 )

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Conclusions
1) similar level of competition within the districts of
both countries but a much weaker cooperation in
the Spanish one.
2) scarcity of technology and advanced services
providers in the Spanish district relegates it to a
follower role in the process of innovation
adoption.
3) presence of cross-sector technology enterprises
in the Italian district, raises the innovative tension
because of the technology diffusion across
districts, and it is favoured by the mobility of
qualified workers.

19. TThhaannkk yyoouu ffoorr yyoouurr aatttteennttiioonn
19
Institute of Innovation and Knowledge Management
INGENIO (CSIC-UPV)
Camino de Vera s/n
46022 Valencia
SPAIN
www.ingenio.upv.es
Copenhagen 19/06/2007