Outsourcing in the innovation process: Locational and strategic determinants

James H. Love, Stephen Roper

Research output: Contribution to journalArticlepeer-review


There is now substantial evidence that locational and agglomeration influences can have a significant positive effect on innovation performance. Networking and boundary-spanning activities are also increasingly recognised as important contributors to innovation success. In this article we attempt to discover whether these factors are associated: in particular, is there any link between plant location, agglomeration effects and the extent of outsourcing in the innovation process? Using data for a large sample of UK and German manufacturing plants, we find that organisational and strategic factors play a much greater and more consistent role than locational influences in shaping the level of outsourcing in the innovation process. Strategic approaches to outsourcing may also benefit plants in obtaining economies of scope in the management or governance of outsourcing within the innovation process.
Original languageEnglish
Pages (from-to)317-336
Number of pages20
JournalPapers in Regional Science
Issue number3
Publication statusPublished - Jul 2001

Bibliographical note

Acknowledgement to Papers in regional science, Regional Science Association International and Blackwell Publishing.
The definitive version is available at wileyonlinelibrary.com


  • innovation
  • outsourcing
  • UK
  • Germany


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