ABSTRACT
The most dynamic Italian industrial districts, especially those located in the Northeast of the country, have achieved good economic results for many years. A wide range of literature confirms that most Italian districts were founded in conditions of favourable market demand and factor prices, as well as techno-productive competence. A large number of empirical findings have shown that the generation and accumulation of new knowledge within districts and local systems are based on the division of labour, specialisation and learning. Modern industrial organisational studies suggest that the introduction of new products, new technologies and new models of organisation are some of the most important elements of competition. The evolutionary approach explores the effects of the speed and direction of technological innovation on the performance of enterprises and on industrial structure. The focus is on production systems, industrial practices and routines, rather than on basic research and on individual firms.
