Silicon Valley Model: Origins, Institutions and Replication.

Journal article

Silicon Valley continues to receive attention as a resilient cluster of high-tech entrepreneurship. This article lays out the essential elements of the Silicon Valley model, specifically by identifying key supporting institutions and complementarities amongst them. In the US context, the article argues that the large Chandlerian modern corporation and the Silicon Valley cluster of small start-ups are in a dialectical relationship, corresponding to different stages of the growth of firms. The article then offers a framework for analysing how the Silicon Valley model might be replicated, with or without modifications. In the case of Japan, national institutions in financial and labour markets are becoming weaker and heterogeneous, giving greater scope for hybrid forms of corporate governance to evolve. Nevertheless, Japanese entrepreneurial firms are bound by existing norms, and are likely to continue to find resources for competitive advantage by linking to large corporations.

Authors: Sako, M

• Journal: Problems and Perspectives in Management
• Volume: 0
• Publication date: 2003-01-01
• ISSN: 1727-7051
• Language: English