Cross-industry innovation for sustainable repositioning through cluster collaboration

Abstract

Recent literature on sustainable transitions seeks to bridge macro–and micro-level dynamics; this study examines how agents at different levels interact, and what implications these lower-level dynamics have on sustainable repositioning. A new normal characterized by frequent industry crises, coupled with green policy initiatives, creates push and pull opportunities for sustainable repositioning; thus, incumbent firms must continuously adjust to changing conditions. Cross-industry innovation (CII) has emerged as a favorable option for sustaining competitiveness. To illustrate this development, this study provides insights into how firms from the oil and gas industry attempt CII in the aquaculture industry based on cluster-to-cluster collaboration and facilitation. Our findings indicate a form of tandem development for both industry clusters and incumbent firms, with the cluster responding to bottom-up changes in its firms. Moreover, cluster collaboration lowers initial CII obstacles in terms of knowledge and entry points and offers a gateway for incumbent firms looking to enter different industries. This facilitates an outbound and coupled CII that emerges to maintain a knowledge continuum for incumbent actors within sustainable repositioning. On a larger scale, these cluster initiatives can act as agents for stepwise sustainability transitions and further evolve into a cross-industry cluster.