Institutional Variety, Networking and Knowledge Exchange: Communication and Innovation in the Case of the Brianza Technological District.

Elaborating on the literature on innovation systems and technological districts, this paper suggests that localisation is conducive to a multilateral exchange of interdependent and external knowledge bases but requires explicit communication efforts in order to lead to innovation. In particular, the case of the Brianza technological district shows that different and yet complementary knowledge bases are built upon the institutional variety characterising the local economic system. Moreover and more importantly, this case provides empirical evidence for the fact that the construction of an inter-organisational network of dissimilar but complementary co-operative relations–in contrast to a concentration on one dominant kind of interaction–is the key source of innovation and growth of local firms.