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Sunday 21 August 2011

New Economics Papers Economics of Strategic Management

Edited by: Joao Jose de Matos Ferreira

http://econpapers.repec.org/RAS/pfe55.htm
University of the Beira Interior
Date: 2010-12-04
Papers: 19

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In this issue we have:
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1. Internacionalización, Tramas Productivas y Sistema Nacional
de Innovación
Morero, Hernán

2. The Importance of Broadband Provision to Knowledge Intensive
Firm Location
E. A. Mack; L. Anselin

3. The Knowledge Base Evolution in Biotechnology: A Social
Network Analysis.
Jackie Krafft; Francesco Quatraro; Pier-Paolo Saviotti

4. Untersuchung von Innovationsdeterminanten in der deutschen
Laser-Industrie
Muhamed Kudic; P. Bönisch; Iciar Dominguez Lacasa

5. Alliance Coordination, Dysfunctions, and the Protection of
Idiosyncratic Knowledge in Strategic Learning Alliances
Müller, Dirk

6. Organizational capital and firm performance. Empirical
evidence for European firms
Claudia Tronconi; Giuseppe Vittucci Marzetti

7. Virtual R&D teams and SMEs growth: A comparative study
between Iranian and Malaysian SMEs
Ale Ebrahim, Nader; Ahmed, Shamsuddin; Taha, Zahari

8. Factors affecting the decision making of out-sourcing in
textile in Pakistan
Subhani, Dr.Muhammad Imtiaz; Osman, Ms.Amber

9. Virtual Teams: A New Opportunity to Develop a Business
Ale Ebrahim, Nader; Ahmed, Shamsuddin; Abdul Rashid, Salwa
Hanim; Taha, Zahari

10. Firms’ R&D cooperation strategies: the partner choice
Chiara Franco; Manuela Gussoni

11. Prevalence and Determinants of Social Entrepreneurship at
the Macro-level
Chantal Hartog; Brigitte Hoogendoorn

12. The International Circulation of Elites: Knowledge,
Entrepreneurialand Political
Andrés Solimano; Diego Avanzini

13. University Development Through Regional Strategic Alliances
Popy Rufaidah; Dwi Kartini; Faisal Afiff

14. Too Big to Innovate? Scale (dis)economies and the
Competition-Innovation Relationship in U.S. Banking
Bos Jaap; Lamoen Ryan van; Economidou Claire

15. Competition within firms
Lisa Bruttel; Simeon Schudy

16. Does Schumpeterian Creative Destruction Lead to Higher
Productivity? The effects of firms’ entry
Carlos Carreira; Paulino Teixeira

17. SMEs; Virtual research and development (R&D) teams and new
product development: A literature review
Ale Ebrahim, Nader; Ahmed, Shamsuddin; Taha, Zahari

18. Estratégia de localização bancária: teoria e evidência
empírica aplicada ao estado de Minas Gerais
Guilherme Jonas Costa da Silva; Frederico G. Jayme Jr

19. Strengthening Entrepreneurial Global Competitiveness by
Utilizing Local Culture
Erman A Sumirat; Sunu Widianto


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1. Internacionalización, Tramas Productivas y Sistema Nacional
de Innovación

Morero, Hernán

This paper aims to study the capacity of the National Systems of
Innovation to affect the innovative performance of firms in
internationalized production activities of a developing economy.
The research adopted a production networks perspective on
Innovation Systems and the empirical work involved a survey to
firms from the automotive productive network in Argentina. The
importance of domestic and external sources of knowledge to the
innovative performance of these firms was evaluated through the
use of multivariate analysis and data clustering techniques. The
main findings of the study are that: i) the innovative
performance of argentinian auto parts firms is positively related
to certain complementation between internal and external sources
of knowledge; and that ii) the importance of the national
innovation system is essential for them, even if those firms
belongs to internationalized production networks that operates in
a developing country.

Keywords: Internationalization; National System of Innovation;
Production Networks; Automotive Production Network;
Argentina
JEL: B52
Date: 2010-03-26
URL: http://d.repec.org/n?u=RePEc:pra:mprapa:26964&r=cse


2. The Importance of Broadband Provision to Knowledge Intensive
Firm Location

E. A. Mack
L. Anselin

Despite the volume of literature afforded knowledge work and
innovations in information and communications technologies (ICTs),
few studies have examined the importance of ICTs to firms in
knowledge industries. This study will develop spatial econometric
models to examine the relative importance of the level of
broadband provision to knowledge intensive firms in select U.S.
metropolitan statistical areas (MSAs). Results demonstrate the
need for both a spatial econometric and a metropolitan area
specific evaluation of this relationship. They also suggest
potential spillover effects to knowledge intensive firm location,
which may explain why some regional economies are relatively more
successful at stimulating firm growth in this increasingly
important sector of the U.S economy.

Date: 2010
URL: http://d.repec.org/n?u=RePEc:asg:wpaper:9&r=cse


3. The Knowledge Base Evolution in Biotechnology: A Social
Network Analysis.

Jackie Krafft (GREDEG - Groupe de Recherche en Droit,
Economie et Gestion - CNRS : UMR6227 - Université de Nice
Sophia-Antipolis)
Francesco Quatraro (GREDEG - Groupe de Recherche en Droit,
Economie et Gestion - CNRS : UMR6227 - Université de Nice
Sophia-Antipolis, Department of Economics, University of
Turin - University of Turin)
Pier-Paolo Saviotti (GREDEG - Groupe de Recherche en Droit,
Economie et Gestion - CNRS : UMR6227 - Université de Nice
Sophia-Antipolis, GAEL - Grenoble Applied Economic
laboratory - Aucune)

This paper applies the methodological tools typical of social
network analysis (SNA) within an evolutionary framework, to
investigate the knowledge base dynamics of the biotechnology
sector. Knowledge is here considered a collective good
represented as a co-relational and a retrieval-interpretative
structure. The internal structure of knowledge is described as a
network the nodes of which are small units within traces of
knowledge, such as patent documents, connected by links
determined by their joint utilisation. We used measures referring
to the network, like density, and to its nodes, like degree,
closeness and betweenness centrality, to provide a synthetic
description of the structure of the knowledge base and of its
evolution over time. Eventually, we compared such measures with
more established properties of the knowledge base calculated on
the basis of co-occurrences of technological classes within
patent documents. Empirical results show the existence of
interesting and meaningful relationships across the different
measures, providing support for the use of SNA to study the
evolution of the knowledge bases of industrial sectors and their
lifecycles.

Keywords: Knowledge Base, Social Network Analysis, Variety,
Coherence, Industry lifecycles; exploration/exploitation
Date: 2010-11-23
URL: http://d.repec.org/n?u=RePEc:hal:wpaper:hal-00539002_v1&r=cse


4. Untersuchung von Innovationsdeterminanten in der deutschen
Laser-Industrie

Muhamed Kudic
P. Bönisch
Iciar Dominguez Lacasa

Empirical and theoretical contributions provide strong evidence
that firm-level performance outcomes in terms of innovativeness
can either be determined by the firm’s position in the social
space (network effects) or by the firm’s position in the
geographical space (co-location effects). Even though we can
observe quite recently first attempts in bringing together these
traditionally distinct research streams (Whittington et al. 2009),
research on interdependent network and geographical co-location
effects is still rare. Consequently, we seek to answer the
following research question: considering that the effects of
social and geographic proximity on firm’s innovativeness can be
interdependent, what are the distinct and combined effects of
firm’s network and geographic position on firm-level innovation
output? We analyze the innovative performance of German laser
source manufacturers between 1995 and 2007. We use an official
database on publicly funded R&D collaboration projects in order
to construct yearly networks and analyze firm’s network positions.
Based on information on population entries and exits we
calculate various types of geographical proximity measures
between private sector and public research organizations (PRO).
We use patent grants as dependent variable in order to measure
firm-level innovation output. Empirical results provide evidence
for distinct effect of network degree centrality. Distinct effect
of firm’s geographical co-location to laser-related public
research organization promotes patenting activity. Results on
combined network and co-location effects confirms partially the
existence of in-terdependent proximity effects, even though a
closer look at these effects reveals some ambiguous but quite
interesting findings.

Keywords: geographical co-location, network positioning,
innovation output
JEL: O31
Date: 2010-10
URL: http://d.repec.org/n?u=RePEc:iwh:dispap:22-10&r=cse


5. Alliance Coordination, Dysfunctions, and the Protection of
Idiosyncratic Knowledge in Strategic Learning Alliances

Müller, Dirk

In high technology industries firms use strategic learning
alliances to create value that can’t be created alone. While they
open their interorganizational membrane to gain new skills and
competences, generate new products and services, accelerate
development speed, and enter into new markets their idiosyncratic
knowledge base may be impaired when knowledge related
dysfunctions like the unintended knowledge transfer, asymmetric
learning speed or premature closing occur. Within a value
approach we examine the interplay of alliance coordination
activities that enhance value creation, emerging knowledge
related dysfunctions, and formal and organizational protections
measures which shall safeguard firms intellectual crown jewels.
We tested our hypotheses with a sample of 111 strategic alliances
of young technology based Enterprises (YTBEs) with competing
partners in high and key technology industries. Our findings
suggest that a focal firm’s alliance management is well advised
to intensely coordinate the alliance and to be aware of
dysfunctional tendencies that erode alliance value. Since
organizational protection measures could exaggerate dysfunctional
effects they should be deployed very deliberately on a modest
level. Formal protections measures, in contrast, seem to
aggravate coordination activities’ value creation effect by
setting behavioral guidelines. Moreover, an unsuccessful
negotiation process of formal protection agreements may allow a
deselection of partners that would not obey others intellectual
property interests. Finally, we highlight theoretical and
managerial implications that arise from these findings. --

Keywords: Strategic Learning Alliance,Protection
Date: 2010-10-14
URL: http://d.repec.org/n?u=RePEc:zbw:esprep:41039&r=cse


6. Organizational capital and firm performance. Empirical
evidence for European firms

Claudia Tronconi
Giuseppe Vittucci Marzetti

The paper assesses the impact of Organizational Capital (OC) on
firm perfor- mance for a sample of European firms. OC is proxied
by capitalizing an income statement item (SGA expenses). A
rationale for this methodology is provided. Results are robust
and show the strong effect of OC on firm performance.

Keywords: Intangibles, Knowledge-based resources, Organizational
capital,R&D capital stock, Translog production function
JEL: C21
Date: 2010
URL: http://d.repec.org/n?u=RePEc:trn:utwpde:1018&r=cse


7. Virtual R&D teams and SMEs growth: A comparative study
between Iranian and Malaysian SMEs

Ale Ebrahim, Nader
Ahmed, Shamsuddin
Taha, Zahari

This paper explores potential advantages of using virtual teams
for small and medium-sized enterprises (SMEs) with a
comprehensive review on various aspects of virtual teams. Based
on the standing of the pertinent literature, attempt has been
made to study the aspects by online survey method in Iran and
Malaysia. In both countries, SMEs play an important role in their
economies, employments, and capacity building. Virtual R&D team
can be one of the means to increase SMEs efficiency and
competitiveness in their local as well as global markets. In this
context, surveys have been conducted to evaluate the effects of
virtuality to the growth of SMEs. The study addresses some
differences between two countries in engaging virtual research
and development (R&D) teams in their SMEs. It is observed that
there is a significant difference between the SMEs turnover that
employed virtual team and that did not employ the virtual team.
The way for further studies and recommend improvements are
proposed.

Keywords: Virtual R&D team, small and medium enterprises, survey,
developing countries.
JEL: O47
Date: 2010-07-01
URL: http://d.repec.org/n?u=RePEc:pra:mprapa:26983&r=cse


8. Factors affecting the decision making of out-sourcing in
textile in Pakistan

Subhani, Dr.Muhammad Imtiaz
Osman, Ms.Amber

This research provided the study of importance of factors
affecting the decision making of out-sourcing & supplier
performance in Textiles domain. The textile market of USA is the
scope of this research. The basis of this study allowed
comprehending the importance / weight of factors of out-sourcing (
including Delivery, Flexibility, Cost, Quality & Reliability)
varied according to the buyers needs. Buyer’s needs some factors
were high weight / importance for one buyer and at the same time
the same factors were low weight / for another buyer. It
delineated the root to supply chain managers and experts for
textiles industry for taking the right strategic decision for out-
sourcing in today’s competitive market.

Keywords: Decision Making of Out-Sourcing; Out-Sourcing; Supply
Chain Management.
JEL: F16
Date: 2010-11-01
URL: http://d.repec.org/n?u=RePEc:pra:mprapa:27006&r=cse


9. Virtual Teams: A New Opportunity to Develop a Business

Ale Ebrahim, Nader
Ahmed, Shamsuddin
Abdul Rashid, Salwa Hanim
Taha, Zahari

Virtual teams give many advantages to organizations, including
increased knowledge sharing and improve organizational
performance. Virtual teams have altered the expectations and
boundaries of knowledge worker’s interactions and make a new
opportunity to develop the business. In this paper, we present
summary results of an online survey. The online questionnaire was
emailed by using a simple random sampling method to 356 Malaysian
manufacturing small and medium –sized Enterprises (SMEs). The
findings of this study show that SMEs in Malaysia are gaining to
use virtual teams, and it can be concluded that virtual teams
provide a new platform for developing the business in SMEs. Based
on the study, we suggest avenues for future research that are
important to advancing our understanding of virtual team effects
on business growth.

Keywords: Collaboration; virtual teams; SMEs; Entrepreneurship;
Business development; Survey
JEL: M11
Date: 2010
URL: http://d.repec.org/n?u=RePEc:pra:mprapa:26934&r=cse


10. Firms’ R&D cooperation strategies: the partner choice

Chiara Franco
Manuela Gussoni

The aim of this paper is to provide empirical evidence on the
issue of ?rms’ R&D cooperation strategies, examining the topic
from the point of view of the partner choice. Literature has
deeply analyzed the motivations inducing ?rms to form research
joint ventures, instead, the investigation of partner selection
strategies is disregarded even though it is one of the most
critical decisions for a ?rm when forming an alliance. For this
reason, by making use of data coming from the fourth Italian
innovation survey (2002- 2004), we contribute to the the
literature by estimating, through the use of a multinomial
logistic model, the determinants that a?ect the ?rms’ choice
among di?erent types of potential R&D cooperation partners. We di?
erentiate among three cooperation strategies that are: (i)
cooperation with only market partners; (ii) with only science
partners; and (iii) with both of them. Our ?ndings provide
support to the hypothesis that di?erent variables determine di?
erent partner choices according to the sector analyzed. In the
manufacturing sector, for example, foreign multinational
companies or export oriented ?rms prefer to cooperate only with
market partners. In the services, ?rms receiving public subsidies
for innovation prefer science cooperations to all the other
cooperation arrangements leaving room for policy implications.

Keywords: R&D cooperations; partner selection; industry-
university linkages;service sector.
JEL: O32
Date: 2010-09-10
URL: http://d.repec.org/n?u=RePEc:pie:dsedps:2010/104&r=cse


11. Prevalence and Determinants of Social Entrepreneurship at
the Macro-level

Chantal Hartog
Brigitte Hoogendoorn

This study increases our understanding of the prevalence of
social entrepreneurial activity at the country level and our
comprehension of factors explaining the variation in the rate of
social entrepreneurship. We introduce two measures of social
entrepreneurship – “social business entrepreneurs” and “social
initiators” – and link these measures to three fields of
explanations: aggregate level conditions of entrepreneurship in
general, aggregate individual characteristics and opportunities
for social entrepreneurs. This study reveals that: (1) social
entrepreneurship is indeed a phenomenon different from commercial
entrepreneurship, (2) that the degree of postmaterialism in a
society is a factor with significant explanatory value for the
prevalence of social entrepreneurship, and (3) that opportunities
for social entrepreneurs are in particular created when social
initiators are part of the safety net of the welfare regime.

Date: 2010-11-25
URL: http://d.repec.org/n?u=RePEc:eim:papers:h201022&r=cse


12. The International Circulation of Elites: Knowledge,
Entrepreneurialand Political

Andrés Solimano
Diego Avanzini

International migration analysis often focuses on mass migration
rather than on the international mobility of elites, which is the
focus of this paper. The paper offers a three-fold classification
of elites: (a) knowledge elites, (b) entrepreneurial elites and (
c) political elites. We explore the concept of elites and their
main motivation to move across nations and review indirect
empirical evidence relevant to this type of mobility,
highlighting some channels through which elites can affect
international development.

Keywords: international migration, entrepreneurial, political
migrants, talent mobility
Date: 2010
URL: http://d.repec.org/n?u=RePEc:unu:wpaper:wp2010-113&r=cse


13. University Development Through Regional Strategic Alliances

Popy Rufaidah (Department of Management and Business,
Faculty of Economy, Padjadjaran University)
Dwi Kartini (Department of Management and Business, Faculty
of Economy, Padjadjaran University)
Faisal Afiff (Department of Management and Business, Faculty
of Economy, Padjadjaran University)

This paper is to submit a model of university development
through strategic alliances among universities in three regions,
namely Vietcalom, Indotim, and Philiplands. In order to implement
the strategic alliances as mentioned above, it needs a region as
a center of the strategic alliances, namely European Union
countries. The central region is hosted by Belgium as a hub which
has a role to manage the relevant alliance among regions and to
share its funding. For instance, the VLIR (Vlaamse
Interuniversitaire Raad) and / or the CIUF (Cooperation
Interuniversitaire Francophone) in Belgium are the organizations
that have role as above mentioned. Belgium is selected as it is a
founding member of the European Union and hosts its headquarters
in Brussels which is the heart of the Europe Union countries. The
paper develops a model in optimizing the potentiality in building
the alliances among universities located in those regions. A
literature review was carried out on strategic alliances and
supporting factors. The paper discusses a conceptualization that
allowing common theme which to be identified to implement the
model. The paper argues that there is a lack of integrative
frameworks for the alliances among the three regions particularly
in optimizing the potentiality of the programs.

Keywords: university development
JEL: G0
Date: 2010-02
URL: http://d.repec.org/n?u=RePEc:unp:wpaman:201014&r=cse


14. Too Big to Innovate? Scale (dis)economies and the
Competition-Innovation Relationship in U.S. Banking

Bos Jaap
Lamoen Ryan van
Economidou Claire (METEOR)

This paper examines whether large U.S. banks have become ''too
big to innovate''. We extend the theoretical work of Aghion et al.
(2005b) by relaxing their assumption that unit costs are
independent from output levels in order to investigate the effect
of scale (dis)economies on the competition-innovation nexus. With
our model we can derive conditions under which the innovation
behavior of firms with scale diseconomies becomes more or less
responsive to competitive changes. Our empirical results show
that decreases in thelevel of competition lead to very large
drops in innovation. Large banks, already operating beyond the
minimum efficient scale, have indeed become ''too big to
innovate''.

Keywords: Industrial Organization;
Date: 2010
URL: http://d.repec.org/n?u=RePEc:dgr:umamet:2010054&r=cse


15. Competition within firms

Lisa Bruttel
Simeon Schudy

We investigate the role of incentives set by a parent firm for
competition among its subsidiaries. In a Cournot experiment four
subsidiaries of the same parent operate in the same market.
Parents earn a speciffic share of the joint profit and can choose
how to distribute the remaining surplus (or loss). Results show
that parents allocating profits equally among their subsidiaries
reach outcomes close to collusion. However, almost half of the
parent firms employ a proportional sharing rule instead. These
groups end up with profits around the Cournot level.

Keywords: Cournot Competition, Subsidiary, Subcompany, Experiment
Date: 2010
URL: http://d.repec.org/n?u=RePEc:twi:respas:0062&r=cse


16. Does Schumpeterian Creative Destruction Lead to Higher
Productivity? The effects of firms’ entry

Carlos Carreira (GEMF/Faculdade de Economia, Universidade de
Coimbra, Portugal)
Paulino Teixeira (GEMF/Faculdade de Economia, Universidade
de Coimbra, Portugal)

This paper discusses the impact of newly created firms on
industry productivity growth. Our central hypothesis is that
there are two potential effects of new firms on productivity
growth: a direct effect, as entrants may be relatively more
productive than established firms; and an indirect effect,
through increased competitive pressure that stimulates incumbents
to elevate their productivity in order to survive. The results of
the decomposition exercise of aggregate productivity growth
suggest that the direct contribution of entry is small. In turn,
the regression analysis on the effect of entry on productivity
growth of incumbents indicates that the higher is the former, the
higher is the latter, which is equivalent to say that the greater
is the competitive pressure generated by new entrants, the higher
is the expected aggregate productivity level.

Keywords: Entry, Firm dynamics, Productivity growth, Competition
effect
JEL: L11
Date: 2010-09
URL: http://d.repec.org/n?u=RePEc:gmf:wpaper:2010-20&r=cse


17. SMEs; Virtual research and development (R&D) teams and new
product development: A literature review

Ale Ebrahim, Nader
Ahmed, Shamsuddin
Taha, Zahari

Small and medium-sized enterprises (SMEs) are indeed the engines
of global economic growth. Their continued growth is a major
subject for the economy and employment of any country. Towards
that end, virtual research and development (R&D) could be a
viable option to sustain and ease the operations of SMEs. However,
literature shows there has not been a great deal of research
into the diverse characteristic of virtual R&D teams in SMEs.
This article provides a comprehensive literature review on
different aspects of virtual R&D teams collected from the reputed
publications. The purpose of the literature review is to provide
an outline on the structure and dynamics of R&D collaboration in
SMEs. Specifying the rationale and relevance of virtual teams,
the relationship between virtual R&D team for SMEs and new
product development (NPD) has been examined. It concludes with
identifying the gaps and feebleness in the existing literature
and calls for future research in this area. It is argued to form
of virtual R&D team deserves consideration at top level
management for venturing into the new product development within
SMEs.

Keywords: Virtual teams; small and medium enterprises; new
product development; R&D
JEL: M5
Date: 2010-05-20
URL: http://d.repec.org/n?u=RePEc:pra:mprapa:26989&r=cse


18. Estratégia de localização bancária: teoria e evidência
empírica aplicada ao estado de Minas Gerais

Guilherme Jonas Costa da Silva (UFU)
Frederico G. Jayme Jr (Cedeplar-UFMG)

The paper tried to contribute to the theory of the location of
the bank services. At first, there was strong evidence showing
that the bank location not only depended on economical factors.
The developed model and the results found in the spatial
econometrics analysis demonstrated that there is in fact certain
spatial dependence in the location strategy of the banks, besides,
that the distribution pattern of the agencies in the state of
Minas Gerais is being explained through macroeconomics, political
and prescriptive factors as well.

Keywords: Banks; Location Strategy; Spatial Econometrics; Minas
Gerais
JEL: C21
Date: 2010-11
URL: http://d.repec.org/n?u=RePEc:cdp:texdis:td410&r=cse


19. Strengthening Entrepreneurial Global Competitiveness by
Utilizing Local Culture

Erman A Sumirat (Research Division, Laboratory of Management
FE UNPAD)
Sunu Widianto (Research Division, Laboratory of Management
FE UNPAD)

In the dynamic world where entrepreneurs compete internationally
due to globalization, business decisions are very hard to execute
for local entrepreneurs especially when determining sales price
for the products. In Indonesia, Asean China Free Trade Agreement (
ACFTA), the free trade agreement between Asean countries and
China also carries some difficulties to local entrepreneurs
especially in small and medium enterprises (SME) as local SMEs
still have lack of competitiveness compare with that of Chinese
products. Hence, most of the customers have shifted their
preferences to Chinese products simply because of its lower price.
This phenomenon has impacted local entrepreneurs negatively in
terms of competitiveness and losing customer loyalty. To
strengthen local entrepreneurs’ competitiveness, one of the
alternatives are promoting and implementing creative economy
which more utilized cultural aspects which bring clear
positioning to the local products. This study examines why
creative industries as proposed by UNCTAD Framework (2008) is
relevant to be implemented in Indonesia. Besides providing
literature studies about creative economy, this study is also
presenting the case study of how entrepreneurs who exploit local
culture can have significant benefits especially in fashion, art
and musical businesses. Bandung, the capitol of West Java as one
of major cities in Indonesia is selected as Bandung has been
appointed as a creative city pilot project by British Council (
2007) as many Indonesian creative entrepreneurs are coming from
Bandung. Therefore, the concept of creative industries and
creative economy should be transferred and promoted to local
entrepreneurs in order to enhance global competitiveness Four
Actors-Four Elements model is developed in this study as a
framework to successfully implement creative economy to the
locals. Four Actors means the involvement of government as a
regulator; communities as participants and customers; companies
including corporate social responsibility and community
development programs as well as creditors or investors through
venture capital for micro finance and SME. Also the model has
covered four core elements: firstly, culture which must be
properly exploited to make an uniqueness in producing goods and
services including giving transfer of knowledge to customers;
secondly, place where should be set up strategically to attract
customers to come; thirdly, economy factor like customers’ buying
power and consumer behavior which creates demand as well as
entrepreneurs capacity that develops supply; lastly, branding
promotion are also important so customers have brand awareness
regarding the local products/services. The introduction of four
actors-four core elements model is expected to make creative
economy works successfully in Indonesia. In the long run, it will
strengthen global competitiveness by utilizing local culture and
it will make a readiness in head to head competition with Chinese
products.

Keywords: creative industry, SME, competitiveness, local
entrepreneurs
JEL: G0
Date: 2010-06
URL: http://d.repec.org/n?u=RePEc:unp:wpaman:201006&r=cse



This nep–cse issue is ©2010 by Joao Jose de Matos Ferreira. It
is provided as is without any express or implied warranty. It may
be freely redistributed in whole or in part for any purpose. If
distributed in part, it must include this copyright notice. It
may not be sold, or placed in something else for sale.

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//nep.repec.org/. For comments please write to the director of
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