Organizational Economics

Governing MNC Entry in Regional Knowledge Clusters

by Mark Lorenzen

Lorenzen, M. and Mahnke, V. (2004) Governing MNC Entry in Regional Knowledge Clusters, in Mahnke and Pedersen (eds.) Knowledge Flows, Governance and the Multinational Enterprise, London: Palgrave Macmillan: 211-225.

Cognitive coordination, institutions, and clusters: An exploratory discussion

by Mark Lorenzen

Lorenzen, M. and Foss, N. (2003) Cognitive coordination, institutions, and clusters: An exploratory discussion, in Fornahl and Brenner (eds.): The Influence of Co-operations, Networks and Institutions on Regional Innovation Systems, Cheltenham: Edward Elgar: 148-171.

Clusters, localized learning and policy: Conversations between North American and European Scholars

by Mark Lorenzen

Lorenzen, M. (2001) Clusters, localized learning and policy: Conversations between North American and European Scholars, in Maskell (editor) Innovation and learning for competitiveness and regional growth, Stockholm: NORDREGIO. With contributions from Fiorenza Belussi, Neil Bradford, Shauna Brail, John Britton, Antonio Calafati, Gabi Dei Ottati, Betsy Donald, Francesca Gambarotto, Meric Gertler, J. Adam D. Holbrook, John Holmes, Hubert H. Humphrey, Pradeep Kumar, Réjean Landry, Staffan Larsson, Anders Malmberg, Ann Markusen, Anders Malmberg, Peter Maskell, Lisa Mills, Norma Rantisi, Chriss Riddle, Tod Rutherford, AnnaLeee Saxenian, Jack Smith, Francesco Trombetta, Margherita Turvani, and David Wolfe.

Towards An Understanding of Cognitive Coordination: Theoretical Developments and Empirical Illustrations

by Mark Lorenzen

Foss, N. and Mark Lorenzen (2009) Towards an Understanding of Cognitive Coordination: Theoretical Developments and Empirical Illustrations, Organization Studies, vol. 30 no. 11: 1201-1226.

The cognitive dimension of institutions has been comparatively neglected in social science research. In particular,... more The cognitive dimension of institutions has been comparatively neglected in social science research. In particular, economists have concentrated on how institutions provide incentives. However, institutions also influence behaviours by influencing beliefs and expectations that help agents to overcome coordination problems. We explore various aspects of how institutions may align agents’ beliefs, concentrating on the role of analogies in interactive decision making, and how analogies grow from experience. We illustrate our reasoning by an empirical example.

Knowledge and Geography

by Mark Lorenzen

Lorenzen, M. (2005) Knowledge and Geography, Industry and Innovation, vol. 12, no. 4: 399-407.

Creativity in Context: Content, cost, chance, and collection in the organization of the film industry

by Mark Lorenzen

Lorenzen, M. (2009) Creativity in Context: Content, cost, chance, and collection in the organization of the film industry, in Jeffcut, P and A Pratt: Creativity and Innovation in the Cultural Economy, London: Routledge: 93-118.

By combining economics, economic sociology, and economic geography literatures, the chapter analyzes creativity at the... more By combining economics, economic sociology, and economic geography literatures, the chapter analyzes creativity at the industry level. It argues that the film industry is a paradigmatic example of how the organization of the cultural economy is shaped by balancing creativity with contextual issues. In the film industry, organization is far from determined only by creative concerns for content production: Issues of cost, chance and collection also play important roles. Through analyzing creativity and its context in the film industry, the chapter explains the industry’s organization, and opens up for understanding its significant national and regional differences. Combining theoretical literature with literature on the film industry, the chapter exemplifies how creativity, cost, chance and collection are balanced differently in different clusters. The analytical framework presented in the chapter may also help to analyze creativity in other cultural industries.

Low-Tech Localized Learning: the Regional Innovation System of Salling, Denmark

by Mark Lorenzen

Lorenzen, M. (2003) Furniture in Salling, Denmark, in Asheim, Coenen, and Svensson-Henning (editors) Nordic SMEs and Regional Innovation Systems, Lund: Lund University.

A “higher-Order” Knowledge Base for Trust. Furniture Production In the Danish Salling District

by Mark Lorenzen

54. Lorenzen, M. (1998) A "higher-order" knowledge base for trust: Danish furniture producers in the Salling district, in Lorenzen (editor) Specialization and localized learning: Six studies on the European furniture industry, Copenhagen: CBS Press: 143-166.

Localised Co-Ordination and Trust. Tentative Findings From In-Depht Case Studies

by Mark Lorenzen

Lorenzen, M. (1998) Localized co-ordination and trust: Tentative findings from in-depth case studies, IVS Working Paper no. 98-9, Copenhagen Business School.

The Cluster-and Other Current Forms of Market Organization

by Mark Lorenzen

Maskell, P. and Lorenzen, M. (2003) The cluster ⎯ and other current forms of market organization, Modena: University of Modena.

The Cluster as Market Organization

by Mark Lorenzen

Maskell, P. and Lorenzen, M. (2004) The Cluster as Market Organization, Urban Studies, vol. 41, no. 5/6: 975-993.

This paper views clusters as a specific spatial configuration of the economy suitable for the creation, transfer and... more This paper views clusters as a specific spatial configuration of the economy suitable for the creation, transfer and usage of knowledge. It investigates how the modern exchange-economy becomes organised as rent-seeking firms build network relations to create knowledge and obtain resource efficiency while keeping transaction costs at bay. It moves on to consider the cluster as an emerging, self-organising, attractive alternative for interfirm relationships in cases where (global) network formation becomes a less feasible strategy. The paper empirically investigates two industries where clustering for different reasons might be considered superior to other forms of market organisation.

Experimental music: innovation, projects, and dynamic capabilities in the pop music industry

by Mark Lorenzen

Mark Lorenzen and Lars Frederiksen (2006), Experimental music: Product innovation in the project ecology of the Danish Recorded music industry, in Hearn (ed.), If your Company were a Cockroach: How to survive in the new business ecology, Brisbane: Queensland University of Technology Press: 43-58.

Knowledge and Geography

by Mark Lorenzen

Lorenzen, M. (2005) Knowledge and Geography, Industry and Innovation, vol. 12, no. 4: 399-407.

Localised Learning and Community Capabilities: On the organization of knowledge in markets, firms, and communities

by Mark Lorenzen

Lorenzen, M. (1999) Localized learning and community capabilities: On the organization of knowledge in markets, firms, and communities. Copenhagen: Samfundslitteratur.

Social Capital and Localised Learning: Proximity and Place In Technological and Institutional Dynamics

by Mark Lorenzen

Lorenzen, M. (2007) Social Capital and Localized learning: Proximity and Place in Technological and Institutional Dynamics, Urban Studies, vol. 44, no. 4: 799-817.

This conceptual paper analyses why social capital is important for learning and economic development, how it is... more This conceptual paper analyses why social capital is important for learning and economic development, how it is created and its geography. It argues that with the rise of globalisation and learning-based competition, social capital is becoming valuable because it organises markets, lowering business firms' costs of co-ordinating and allowing them flexibly to connect and reconnect. The paper defines social capital as a matrix of various social relations, combined with particular normative and cognitive social institutions that facilitate co-operation and reciprocity, and suggests that social capital is formed at spatial scales lower than the national or international, because the density of matrices of social relations increases with proximity. The paper also offers a discussion of how national and regional policies may be suited for promoting social capital.

Information Cost, Learning, and Trust Lessons From Co-Operation and Higher-Order Capabilities Amongst Geographically Proximate Firms

by Mark Lorenzen

Lorenzen, M. (1998) Information cost, learning, and trust: Lessons from co-operation and higher-order capabilities amongst geographically proximate firms, DRUID Working Paper no. 98-21 , Aalborg University.

Ties, Trust, and Trade: Elements of a Theory of Coordination In Industrial Clusters

by Mark Lorenzen

Mark Lorenzen (2002) Trust, Ties, and Trade: Elements of a Theory of Coordination in Industrial Clusters, International Studies in Management and Organization vol. 31, no. 4, Winter 2001-2002: 14-34.

Industrial clusters are associated with positive economies of network- ing only because the benefits of specialization... more Industrial clusters are associated with positive economies of network- ing only because the benefits of specialization and trade among clustered firms are not offset by coordination costs. This article, drawing upon a diversity of theo- retical sources, elaborates on this insight, explaining why coordination is particu- larly efficient in industrial clusters compared to other trade contexts. It argues that in clusters, firms are able to lower coordination costs of networking by means of social trust, while firms outside clusters have to rely on more costly coordination mechanisms. It defines and discusses trust and its origin, defines and discusses coordination and coordination problems, and explains the dominance of social trust within clusters through focusing upon information costs and social ties.

The Cluster As a Nexus of Knowledge Creation

by Mark Lorenzen

Mark Lorenzen and Peter Maskell (2004), The Cluster as a Nexus of Knowledge Creation, in Cooke and Piccaluga (eds.) Regional Economies as Knowledge Laboratories, Cheltenham: Edward Elgar: 77-92.

The Management of Projects and Product Experimentation: Examples From the Music Industry

by Mark Lorenzen

Lorenzen, M. and Frederiksen, L. (2005) The Management of Projects and Product Experimentation: Examples from the Music Industry, European Management Review, vol. 2, no. 3: 198-211.