Localization, innovation and entrepreneurship: an appraisal of the analytical impact of Marshall's notion of industrial atmosphere

Abstract

The purpose of the paper is to appraise the impact of Marshall’s ideas on today’s analysis of localized industrial activities, with a special focus on his vision of the entrepreneur’s action on the emergence of local industrial atmosphere. The first section uses Marshall’s approach to industrial dynamics. This approach articulates knowledge and organization and the role of local actors in the structuring of industrial districts leading to the rise of some peculiar atmospheres. Section two examines the use of Marshall’s ideas in the modern literature on Italian industrial districts and business localization. The third section focuses on the impact of entrepreneurial activities and innovation in the building up of industrial atmosphere. The fourth section concludes.