Innovation and Geography

Does geographical location exert an influence upon innovation? Certainly, and the New York Times recently published an article outlining why phenomena like the iPod, Google or eBay could only happen in Silicon Valley.

According to the article “Google’s astonishing rise and Apple’s reinvention are reminders that, when it comes to great ideas, location is crucial (…) face-to-face is still very important for exchange of ideas, and nowhere is this exchange more valuable than in Silicon Valley.”

There are many factors contributing to such innovative hegemony, including a vast pool of knowledge workers, abundance of venture capital, specialized suppliers and economies of scale.

There are some emerging technological poles around the world, specially in China, India and Eastern Europe, but it will take some time and well structure governmental interventions to replicate the Valle’s success.

You can read the full article here.

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