We explore if the Knowledge Spillover Theory of Entrepreneurship, applied to FDI, provides at least a partial explanation for the greater emergence of recent knowledge-based entrepreneurship in Ireland compared with Wales. In order to examine how FDI and entrepreneurship policy in these two...

The knowledge spillover theory of entrepreneurship predicts that entrepreneurial activity is greater in regions with more knowledge conditional on the commercialization efficiency of incumbents, which limits entrepreneurial discovery. We extend the theory to contend that localized competition...

Acs, Audretsch, Braunerhjelm, and Carlsson (2003) propose a new growth theory model featuring a geographically constrained spillover mechanism provided by new ventures and incumbent firms that convert a region’s stock of knowledge into economically useful, firm-specific knowledge. This implies...