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We suggest that the proximity of a country to other countries is a factor that affects its choice as a multinational enterprise (MNE) location. We introduce the concept of a country's proximity to the global distribution of knowledge, markets, and resources, and frame this concept as a function of both geographic distance and the worldwide spatial distribution of these factors. We test our location model on a data set comprising 138,050 investments undertaken by U.S. MNEs worldwide. Our findings show that the proximity of a country to the rest of the world has a positive impact on MNEs choosing that country as a location. Proximity to the world's knowledge and markets are stronger drivers of location choice than is proximity to the world's resources, after accounting for the country's own endowments. Larger firms are able to benefit more from remote locations than smaller firms are.

This study explores the dynamics of emerging technology innovation ecosystems, viewing them as complex systems comprising social actors and knowledge artifacts engaged in innovation interactions. Employing a multilayer network perspective, we present a Social-Knowledge-Science-Technology (A-K-S-T) framework, examining both homogeneous and heterogeneous interactions among innovators and knowledge elements. Within this framework, we map out the technological landscape, identify ecological niches for specific actors and knowledge elements, and gauge knowledge proximity among innovators, revealing opportunities for collaboration and knowledge innovation. Using 5G technology as an illustrative example, key findings include the potential for innovation development in 5G, the need for enhanced collaboration among organizations in related technological fields, and the complementary nature of scientific and technological knowledge. This research contributes to innovation ecosystem literature, offering insights for management, governance, efficiency, and shared prosperity; meanwhile, it is a valuable reference for decision-makers to shape effective strategies.

This paper contributes to the knowledge-based explanation of R&D networks. It argues that knowledge overlap and novelty are complementary inputs of a R&D alliance, in forms that depend upon the exploration breadth and depth of the R&D activity. The paper investigates how the hypothesis of specialization of the knowledge endowments can recover a number of characteristic empirical properties of a pattern of R&D collaboration in the economy. Implications for network evolution are discussed.

Usually, knowledge spillovers (KS) are related to geographic proximity. In the present study, we measure KS on the basis of different proximity matrices, focusing on the relational, social, cognitive and technological preconditions for knowledge diffusion. In the light of previous studies on KS, we examine: (i) which types of proximity enhance or hamper knowledge flows, and (ii) whether local absorptive capacity favour such flows. Our results indicate that KS across European NUTS2 regions measured through geographic, relational, social, cognitive and technological proximity channels increase with local absorptive capacity. This finding points towards the emergence of large clusters of regions (absorptive capacity clubs) where relational, cognitive, social and technological proximity lock-in maximizes the returns to local investment in R&D.

The importance of geographical proximity for interaction and knowledge sharing has been discussed extensively in recent years. There is increasing consensus that geographical proximity is just one out of many types of proximities that might be relevant. We argue that proximity may be a crucial driver for agents to connect and exchange knowledge, but too much proximity between agents on any of the dimensions might harm their innovative performance at the same time. In a study on knowledge networks in the Dutch aviation industry, we test this so-called proximity paradox empirically. We found evidence that the proximity paradox holds to a considerable degree. Our study clearly showed that cognitive, social, organizational and geographical proximity were crucial for explaining the knowledge network of the Dutch aviation industry. However, we found strong evidence that too much cognitive proximity lowered firms’ innovative performance, and organizational proximity did not have an effect.

Purpose There is little known about investigating the importance of all proximity dimensions simultaneously as a result of geographical proximity on university-industry collaborative innovation. This paper aims to answer the question of how geographically proximate university and industry influence cognitive, social, organizational, institutional and cultural proximity within university-industry joint laboratories and finally, what is the outcome of these interplays on collaborative innovation. Design/methodology/approach The study uses an exploratory multiple-case study approach. The results are derived from 53 in-depth, semistructured interviews with laboratory directors and representatives from both the company and the university within 8 joint laboratories of Telecom Italia (TIM). The data collection was carried out in 2014 and 2015. The analysis follows a multi-grounded theory approach and relies on a mix of deductive and inductive reasoning with the final goal of theoretical elaboration. Findings This study finds the role of social and cultural proximity at the individual level as a result of geographical proximity as an enabler of collaborative innovation by triggering mutual learning, trust formation and frequent interactions. Cognitive proximity at the interface level could systematically influence collaborative innovation, while organizational and institutional proximity has marginal roles in facilitating collaborative innovation. The qualitative analysis offers a conceptual framework for proximity dimensions and collaborative innovation within university-industry joint laboratories. Practical implications The framework not only advances state-of-the-art university-industry collaboration and proximity dimension but also offers guidance for managers in designing collaborative innovation settings between university and industry. Originality/value With this study, the paper advances the understanding beyond solely the relationship between proximity and collaboration and shed light on the interplay between geographical proximity and other proximity dimensions in this context, which has received limited scholarly attention.

Green technological innovation (GTI) is critical for addressing environmental challenges and achieving sustainable development. However, its driving factors and underlying mechanisms require further exploration. In this study, the impact of nonspatial proximity—comprising cognitive, social, and technological proximity—on GTI in China’s manufacturing sector is examined. Drawing upon in-depth interview transcripts and case data from seven Chinese fine chemical enterprises, a system dynamics (SD) model is constructed, progressing from a qualitative causal loop diagram that maps the system’s feedback structure to a quantitative stock-and-flow model for simulation. This model simulates the complex interactions among nonspatial proximity dimensions and their effects on GTI over time. Sensitivity analysis reveals the effects of different proximity levels and their combinations on GTI in enterprises. The findings indicate that moderate levels of cognitive, social, and technological proximity significantly increase GTI, whereas excessive proximity may lead to organizational rigidity and inhibit innovation activities. This study not only advances the theoretical understanding in the field of GTI but also provides practical insights for manufacturing enterprises to optimize proximity management and improve GTI performance.

Purpose Coworking spaces use the idea of spatial co-location that improves communication and knowledge sharing among independent knowledge professionals. Fluid work structures and a sense of community can facilitate work satisfaction, creativity and entrepreneurship. Fundamentals to those positive outcomes are the knowledge sharing processes between users of coworking spaces. The purpose of this study is to explore the knowledge sharing processes in this setting where researchers still have very little understanding. Design/methodology/approach Based on an inductive research methodology, qualitative data were collected through observations and interviews with a variety of users (including freelancers, entrepreneurs and firms) incumbent in various coworking spaces in Germany. Findings Co-location of individuals in coworking spaces is first about physical proximity and second about socialization and collaboration opportunities, which then advance cognitive proximity. Thus, co-location can facilitate tacit knowledge exchange, ignite the social disembodiment of ideas, synthesize domain-related knowledge sharing and promote inter-domain learning. The institutionalization of knowledge management services will allow coworking spaces to increase these positive outcomes. Practical implications Findings of this study are interesting for managers of shared spaces and traditional firms that use spatial co-location. The authors propose institutionalized knowledge management services to enable multifaceted and multidisciplinary knowledge creation in organizations. Originality/value This paper sheds light on the role of spatial co-location in knowledge sharing processes among independent knowledge professionals in shared office spaces. Thereby, this study provides valuable insights into a phenomenon that has received little attention even though its practical importance is high.

Research Summary The flow of knowledge is closely linked to proximity. While extensive works show that long‐term geographic proximity affects work behavior, little is known about the effect of short‐term colocation, such as conferences. Using participant data at Gordon Research Conferences, we estimate difference‐in‐differences and instrumental variable models, which show that attendees who have no prior within‐conference collaborations are more likely to collaborate with other attendees, and that the researchers who have worked previously with other attendees are more likely to continue their collaborations. We also find that researchers who are junior, are located closer to the conference venue, and have established prior ties to the conference draw more collaborative benefits from temporary colocation across organizations. Thus, going to a conference alters the creation of collaborations. Managerial Summary Managers face important decisions with long‐term strategic ramifications regarding where to locate offices, plants, and R&D centers, as well as how to lay out workspaces inside the firm to enhance knowledge spillover and collaboration. Permanent proximity, however, may be difficult and sometimes impossible to attain. One potential way of overcoming the distance disadvantage in knowledge spillover and tie formation is through temporary colocation events that bring together individuals from distant locations in an environment of temporary proximity. We find that individuals who attend temporary colocation events across organizational boundaries are more likely to collaborate with one another subsequently. Hence, managers of firms should pledge substantial funds for employees to participate in these events so as to impact the subsequent direction of R&D activities.

The destructive effects of industries on the environment are the most crucial reason for the need for firms’ proximity to developing innovative activities such as corporate sustainability. However, most prior efforts have focused on the role of different types of proximity in cluster performances, not the relationship among them. Therefore, this study intends to go one step back, discuss the inter-relationships between different types of proximity, and propose them in a conceptual model as the antecedents of corporate sustainability. These factors are known as the non-specific dimensions of proximity within local clusters: cognitive, organisational, institutional, and social, which received less attention as a theoretical model. To this end, this study invited all members of the European Cluster Cooperation Platform (ECCP) to participate. Among some 1080 European cluster organisations, 113 organisations participated, of which 99 of them were usable for this research. Contrary to existing conceptual theories, the results revealed no strong evidence for significant interrelations among all dimensions of non-specific proximity. Moreover, organisational proximity does not strongly relate to cognitive and social proximities, and there is no meaningful relationship between institutional and social proximities.