Purpose The purpose of this paper is to test whether knowledge-intensive business services (KIBSs) contribute to international business activity. In line with studies from the servitization, the territorial competitiveness and the global value chain realm, it can be hypothesized that if KIBS consumption has a positive effect on business competitiveness, a correlation is discernible between “intensity of KIBS uptake” and “turnover and export performance at industrial sector level”. Design/methodology/approach To test this hypothesis, the authors make use of input-output tables from the Basque Country for the period 2000-2012 and regional accounts regarding turnover and export per sector and calculate how consumption of a series of KIBS correlates with turnover and export evolution for 14 industrial sectors. Findings The authors find a strong fit between consumption of KIBSs and international competitiveness parameters for the industrial sectors screened. Research limitations/implications The authors postulate that the use of KIBS is beneficial for consuming industries. Accordingly, the authors posit that having a sound KIBS basis in a territory contributes to (international) business competitiveness, and that industrial policies should foster the rapprochement of manufacturing sectors to KIBS. At the same time, the authors assume that reverse causalities may be at play (international competitiveness of manufacturing sectors boosts KIBS consumption through backward linkage effects). Practical implications The paper posits that having a sound KIBS basis in a territory contributes to international business competitiveness, and that industrial policies should foster a rapprochement of manufacturing sectors to KIBS. A further implication would be to look after a minimum critical mass and or to engage in KIBS capacity building in a territory. Absence of competitiveness-enhancing KIBS in a region may hamper business performance and staying power of user industries. The paper’s findings also imply that the posture of manufacturing firms towards uptake of knowledge-intensive services matters, and that fostering their proactiveness to interact with KIBS is indicated. Similarly, they form an argument in favour of considering KIBS as active subject matters for industrial policy design. Originality/value Amidst the several perspectives adopted upon KIBS’ role to foster business and territorial competitiveness, what is largely absent is the examination of how uptake of KIBS by respective sectors relates to the turnover or export evolutions that the sectors in question reveal. Consequently, the present paper sets out to examine this research question.
Purpose This paper aims to study whether international niche market leaders (INMLs) gained their leading position as early mover or diligent follower, and assess whether they leveraged hard or soft forms of technological, supply pre-emption and customer lock-in advantage mechanisms. Design/methodology/approach Empirical material stems from qualitative and quantitative data on a sample of 20 niche companies from the Basque Country (Spain) that operate in business to business markets. Findings The sample predominantly followed an early entrant strategy and applied soft measures to reach niche market leadership. Research limitations/implications Findings imply that early entering fosters conquering leadership in niche markets, that pioneer advantage is easier to sustain in niches than in mainstream markets, and that soft measures are more effective in niche markets than in larger markets. A limitation to our findings is that they follow from explorative research on a sample of firms from a reduced geographic setting. Practical implications Hidden champions and INMLs can be important sources of technological progress and economic value for the localities that host them. Therefore, despite their traditional low profile and the fact that they are not always the largest firms around, policymakers may want to pay more attention to this type of companies. Originality/value Tot he best of the authors’ knowledge, this is the first paper to research entry timing and its outcome for market leadership with regard to niche players or hidden champions-type of firms. It introduces an original taxonomy to operationalize and distinguish between hard and soft measures to leverage advantage mechanisms related to market entry timing.
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