ABSTRACT
Innovation is now considered by many to be the most important driving factor for sustainable economic development (Cornett, 2009; De Bruijn and Lagendijk, 2005); and knowledge transfer (KT) is widely recognized as a key element in the innovation process in knowledge-driven economies. Furthermore, the creation, integration and transfer of knowledge form the basis for competitive advantage and organizational capability (Argote and Ingram, 2000; Boschma, 2005; Grant, 1996). Collaboration between the public and private sectors is of particular importance in areas dominated by small businesses (Cornett, 2009). Higher education institutes (HEIs) are considered to be essential for KT because they generate knowledge, and most enterprises cannot operate without external knowledge (Muizer, 2003). A smooth transfer of knowledge is crucial for ensuring that the available knowledge reaches (smaller) organizations.
