Clusters and innovations – German industries and regions in national and European competition

Which are the innovative regions in Germany that are characterised by a high regional concentration of entrepreneurship in the same industry? A research institution called European Cluster Observatory, funded by the European Commission, reports on “the establishment and composition of regional clusters of firms in Europe and their innovation activities”. Using these data, Kurt A. Hafner, Bavarian State Institute for University Research and University Planning (IHF), Munich, compares (1) regions within Germany as to their industry structure and (2) European regions as to the location of company clusters of a given industry. The comparison shows that, above all, regions in Bavaria and Baden-Württemberg are characterised by distinct clusters and a high innovation potential. Furthermore, it is shown that German company clusters, for example those of the automobile industry and production technology, are well positioned for European competition.