Explaining regional departures from national patterns of industrial specialisation: regional institutions, policies and state coordination

The aim of the paper is to identify the basis of regional competence in industry sectors that are not key performers at the national level. The paper examines the ICT sector in two regions: Dresden (Germany) and Adelaide (Australia). The performance of Australia and Germany in ICT is not high by OECD standards. However, both Dresden and Adelaide have some competence in parts of the ICT sector that departs from national patterns. In Dresden the development of the ICT sector is more advanced than in Adelaide. In both regions, there are distinctive institutional features and policies that explain the development of the ICT sector. Further, in Dresden, the state has coordinated the ICT sector within the regional space, giving focus to institutional strengths in research and training, such that it is possible to describe the institutional environment as thick and coherent. As such, the regional space of Dresden has experienced an agglomeration of ICT and can be regarded as more successful than Adelaide, where institutions and state initiatives are fragmented and incoherent