Constructing knowledge-based industries in the globalization era: Social learning, the political process and commitment strategies

Abstract

This research addresses two puzzles: Why do similar regions within countries pursue different commitment strategies towards growing their bioscience industries? Why do some change in response to a global financial shock and others do not? I argue that the presence and strength of a knowledge-oriented strategy team (KOST) helps to explain different levels of and changes in bioscience commitment strategies. The study weaves in additional explanations including natural resources, rival industries, national institutions and path dependence. The most significant finding of this research is that those Canadian provinces that established a strong KOST prior to the 2008 global financial crisis "puzzled and powered through" to maintain high level commitments to their bioscience industries afterwards. Their KOSTs engaged in disruptive social learning and coordinative bargaining processes.