The Evolution of Innovation Networks and Spin-off Entrepreneurship: The Case of RAD

Amnon Frenkel, Emil Israel, Shlomo Maital

Research output: Contribution to journalArticlepeer-review

9 Scopus citations

Abstract

We conducted an in-depth analysis of an Israeli startup, RAD Bynet, founded in 1981, that has intentionally, through the vision of its founder, given rise to 129 other startups employing some 15,000 workers, and created a unique “cloud”. Through a survey of the existing firms, we sought to explore the nature of this ecosystem and to quantify the relationships that exist between the mother company and the enterprises that emerge from it. Our main findings were: (a) social and technological proximity encourages the tendency of the companies to maintain business relationships that probably contribute to knowledge exchange, while technological diversity drives innovation and startup formation; and (b) firms will choose to cooperate on the basis of a shared past and personal proximity relations, as well as technological proximity at a certain level; “viral clouds” of startups like the one we studied can thus intentionally be designed and developed.

Original languageEnglish
Pages (from-to)1646-1670
Number of pages25
JournalEuropean Planning Studies
Volume23
Issue number8
DOIs
StatePublished - 3 Aug 2015

ASJC Scopus subject areas

  • Geography, Planning and Development

Fingerprint

Dive into the research topics of 'The Evolution of Innovation Networks and Spin-off Entrepreneurship: The Case of RAD'. Together they form a unique fingerprint.

Cite this