(Co-ordinator: Franco Malerba, CESPRI – Bocconi University)

RAL2 contributes to the understanding of the dynamics of creation, accumulation and exchange of knowledge that influence the behaviors of economic agents and thus explains the collective performances in terms of innovation capabilities, competitiveness, cohesion, distribution of income, growth regime, etc. It also helps to a better understanding of how firms embedded in formal and informal institutional frames at the local, territorial, sectoral or national level may innovate both by developing new strategic options and by modifying existing strategies. From a policy-making perspective, RAL2 helps to identify key dimensions for public policies, and the ways they can be implemented. Also managers at the firm level will benefit from a better understanding of the geographic and institutional settings of economic activities.

The research activity within RAL2 moves in four directions. The first one tackles issues of knowledge creation, accumulation and exchange in networks. The second one focuses on the impact of knowledge and entrepreneurship on the evolution of sectors and territorial clusters. The third one explores the issues of knowledge creation, accumulation and diffusion within a sectoral system perspective. Finally the fourth one analyses the emergence of markets and its institutions, paying attention also to their geographical dimensions.