Clusters and benchmarks on the dynamics of nanoscience and nanotechnology
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Agglomeration efects and strategic orientations: Evidence from the US lodging industry

Book or journal references : Academy of Management Journal, vol. 48, pp. 565-581 (2005).

Author(s) : Canina , L. and Enz , C. A. and Harrison , J. S.

Abstract :

This study provides evidence regarding the strategic dynamics of competitive clusters. Firms that agglomerate (co-locate) may benefit from the differentiation of competitors without making similar differentiating investments themselves. Alternatively, co-locating with a high percentage of firms with low-cost strategic orientations reduces performance for firms pursuing high levels of differentiation. Further, the lowest-cost providers with the greatest strategic distance from the norm of the competitive cluster reap the greatest benefit from co-location with differentiated firms. We find empirical support for these ideas using a sample of 14,995 U.S. lodging establishments, and controlling for a number of key demand-shaping factors.


Keywords :

MANHATTAN HOTEL INDUSTRY; COMPETITIVE ADVANTAGE; DIFFERENTIATION; NETWORKS; EXTERNALITIES; HETEROGENEITY; LOCALIZATION; KNOWLEDGE; CLUSTERS; DYNAMICS

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