Spatial dynamics of industrial districts in knowledge cities: A case study of Hsinchu, Taiwan

Tai-Shan Hu, Hung Nien Hsieh, Ping Ching Chia, Hsin Mei Lo

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2 Citations (Scopus)


Driven by globalization and international competition, the development of clusters of knowledge-based corporations has become an important factor in increasing the competitiveness of cities. Whereas previous studies have tended to focus on the characteristics of local clusters and the causes of their success, empirical studies of the long-term development of local knowledge-based industries are few. Accordingly, this investigation takes the Hsinchu region as its subject, and quantitatively analyzes the correlation between the spatial dynamics of knowledge in major industries and innovation based on empirical data. First, the annual Taiwan Industry, Commerce and Service Census is utilized to identify major industries in the Hsinchu region. Significant differences in the major industries in the Hsinchu are identified from variations in their location quotients. Second, the dynamic evolution of major industries in the Hsinchu district is analyzed by curvilinear regression analysis. The results reveal that the clustering of chemical materials and chemical products manufacturing, non-metallic mineral product manufacturing, and support service industries, has been falling over the last 15 years, while industries with close ties to HSIP, including electronic components manufacturing, computer and electronic product manufacturing, and the manufacturing of other optical products, have remained stable. Finally, simple logistic regression is used to elucidate the correlation between the local industries and innovation. Two variables, product innovation and percentage of turnover invested in product innovation, have both increased significantly in electronic component manufacturing, computer and electronic product manufacturing, and optical product manufacturing industries. This finding shows that steadily developing industries in the Hsinchu region have continued to strengthen their new knowledge of product development and innovation. An overview of innovative activities of firms also revealed that their knowledge patterns have been changing from patterns of internal dependency to a locality-based, broader networking and agglomeration pattern.

Original languageEnglish
Pages (from-to)147-166
Number of pages20
JournalJournal of Architecture and Planning
Issue number2-3
Publication statusPublished - 2013 Jan 1

All Science Journal Classification (ASJC) codes

  • Architecture
  • Urban Studies

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