Unravelling social capital value in science parks

Abstract

Science and Technology Parks (STPs) have fueled many debates on their effectiveness in policies to enhance innovation and regional economic growth. Some authors put emphasis on advantages of physical proximity between on-site firms and the university, while others pay increasingly attention to benefits from social capital between the stakeholders involved. According to theory, social capital works as a 'glue that binds' stakeholders who may originally have different interests, visions and different power positions. Adopting the last point of view, the aim of the paper is to increase understanding of the role of social capital in performance of STPs. The paper explores the relationship between growth and innovativeness of STPs and social capital-related power position, trust, and shared visions, using regression analysis. We make use of a survey-based sample of almost 50 STPs in various Asian countries. With regard to stakeholders and social capital, we distinguish between STPs' management, local university, local government and national government. We control for variation on country-level regarding innovativeness and planning culture and for variation in STPs' land-size. Our results show that higher STPs' growth (numbers of firms) tends to go along with some shortage in social capital, mainly on the local level concerning university and government. This situation may point to different opinions about growth, connected to physical limits regarding land and road system. In contrast, social capital on the local level but also national level, tends to be positively associated with degree of R&D orientation of STP firms.