The role of the hub-firm in developing innovation capabilities: considering the French wine industry cluster from a resource orchestration lens

Abstract

PurposeThis paper explores how hub-firms in a regional industrial cluster orchestrate resources to enhance the innovation capabilities of member firms and how this role changes as innovation projects develop. The work advances our understanding of how innovation-oriented clusters can drive the collaboration process, support the development of member capabilities and achieve desired outcomes.Design/methodology/approachThe research utilises exploratory case studies within an innovation cluster, where a hub-firm brings together different players for specific innovation projects. Using resource orchestration theory, the paper analyses six project cases to reveal the shifting roles and activities related to structuring, bundling and leveraging different resources for innovation capabilities particularly associated with improved quality and reputation for the firms and region.FindingsThe study reveals the important role played by the cluster hub-firm in structuring, bundling and leveraging resources to create and fund project teams. After project formation, a team member takes the role of an orchestrator to bundle further and then leverage the resources to achieve desired outcomes for the team and the region.Research limitations/implicationsThis work focuses on a wine industry but has implications for the success orchestration of other regional industrial clusters. Also, the lack of hub-firm interaction during the project process provides an opportunity to consider mechanisms for better guidance of the project team.Practical implicationsThere are implications for practitioners for participating in and further improving the collaborative innovative process.Social implicationsPolicymakers can benefit from the study as the required practices for stimulating innovation capabilities and economic development in a region are discussed.Originality/valueThis research enhances understanding of the hub-firm's role in a regional cluster not only in orchestrating resources to create collaborative innovation projects but how the role shifts over time.

A cluster's internationalization as a catalyst for its innovation system's access to global markets

“…This also supports the argument that innovation is an interactive process that is rarely limited to the bounds of a single organization or firm (Windrum et al, 2016;Chesbrough, 2003;Bogers et al, 2018). Thus, FPX's innovation process can be considered a socially embedded process where the user's perspective is often in focus (Dosi, 1988a;Von Hippel, 2001;Remneland Wikhamn and Styhre, 2019;Kumar et al, 2022). FPX combined its own core competencies with those of other, different areas of technology.…”

“…Whereas an invention can be defined as a novel solution to a specific problem, developed by a single company in isolation or in collaboration with end-users, for an invention to become an innovation it must attain widespread use and become integrated into the organizational and physical structures needed for its utilization. Hence, the interface between the resources and the users that the producers of new technology bring to the collaboration is recognized as important (Van de Ven et al, 1999;Waluszewski et al, 2009;Kumar et al, 2022). This way of defining innovation is consistent with Penrose's seminal work (1959) that sees value creation as inherent in combining heterogeneous resources.…”

“…Shortly thereafter, Lundvall published a chapter on "innovation as an interactive process" in Dosi (1988b). While the ideas of both Freeman (on networks) and Lundvall (on interactive learning) were path-breaking and useful for the current study, the relative generality of their concepts of national innovation systems and blind spots regarding regions are obvious weaknesses (Edquist, 2004;Tartaruga, 2020;Gonz alez-L opez et al, 2019;Kumar et al, 2022), and the need for further research within firms and innovation support organizations, e.g. cluster organizations, has become increasingly clear.…”

“…In other words, regional innovation systems "can be thought of as the institutional infrastructure supporting innovation within the production structure of a region" (Asheim and Coenen, 2005, cited in Pino and Ortega, 2018, p. 2). Regional governance mechanisms, such as cluster initiatives, support knowledge creation and help to geographically embed the firm (Kramer et al, 2011;Spicka, 2022;Kumar et al, 2022).…”

“…Studies have shown that clusters add value both for the actors involved and to the economy, in the form of knowledge-building and the synergistic benefits accrued from collaboration, sicj as economies of scale, social relations and networks, information flows and building infrastructure (Porter, 1998;S€ olvell, 2009;Kumar et al, 2022;Spicka, 2022;Singh et al, 2022). Cluster initiatives provide a natural setting for different stakeholders, including small-and medium-sized enterprises and multinational enterprises (SMEs and MNEs), to interact effectively with each other and with other institutions, to work together, and to learn (Osarenkhoe and Fjellstr€ om, 2017).…”