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Geography of reputation: the city as locus of business opportunity

[journal article]

Glückler, Johannes

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Abstract This paper discusses the limits of current cluster theory and theorizes trans-local network externalities as an important cause for the urban agglomeration of knowledge services. A survey on management consulting firms in the metropolitan region of Frankfurt demonstrates that the benefit of co-location in the city lies in the access to reputation networks rather than in the exploitation of local value chain linkages. The city is a locus of opportunity because firms in the city have a higher share of distant clients and because distant clients are won more often through referrals. Cities are reputational nodes for trans-local business development.
Keywords reputation
Free Keywords world city network; business services; consulting; knowledge; cluster theory
Document language English
Publication Year 2007
Page/Pages p. 949-961
Journal Regional Studies, 41 (2007) 7
Status Postprint; peer reviewed
Licence PEER Licence Agreement (applicable only to documents from PEER project)