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(More customer reviews)AnnaLee Saxenian has long been a follower of localized firm and professional networks in the hi-tech industry, highlighting their superiority over corporate hierarchies in her book "Regional Advantage." More recently, in "The New Argonauts," she has turned to ethnic professional networks in Silicon Valley, especially in the Indian, Chinese and Israeli communities. These networks, originally founded for social purposes, evolved to become professional networks for advice, capital and know-how for immigrant entrepreneurs. As immigrant entrepreneurs in Silicon Valley identified business opportunities in their home countries, the networks extended to support these new ventures. They also tied into their home-countries' networks through alumni associations and family ties.
Thus, organizations that were once highly localized began to reach across continents - and their benefits with them. Access to tacit knowledge (technical and managerial), a common understanding of entrepreneurship, shared language and culture have all been considered factors that are bound by geography and contribute to the success of regional economies. Now, they are transcending vast distances thanks to the kinds of networks described by Saxenian. New "Argonauts" (people who work in two or more regions, shuttling back and forth several times per month) literally carry market and technological knowledge, contacts, business models and capital around the world.
As a result, "Silicon Valley, once the uncontested technology leader, is now integrated into a dynamic network of specialized and complementary regional economies. These new technology regions are not replicas of Silicon Valley, nor are they becoming new Silicon Valleys [...] Even as the returnees seek to use their experience in Silicon Valley to reshape these institutions, distinctive regional and national histories ensure that the identities and technology trajectories of these regions are unlikely to converge."
Saxenian emphasizes the role of entrepreneurial networks over multinational enterprises. Multinationals have traditionally been seen as the prime diffusers of new technologies to "following" economies. In Saxenian's view, they will be supplanted here, as they were in the U.S. hi-tech industry.
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