---
title: "Determinants of Manufacturing-R&D Co-location"
authors:
  - name: "Ketokivi, Mikko"
  - name: "Ali-Yrkkö, Jyrki"
    url: "https://www.etla.fi/henkilot/ali-yrkko-jyrki/"
    sameAs:
      - "https://orcid.org/0009-0005-2977-6878"
date_published: "2007-03-30"
series: "Discussion Papers no."
series_number: "1082"
jel_codes:
  - "D21"
  - "D23"
  - "F21"
  - "F23"
  - "L6"
  - "O32"
language: "en"
publisher: "ETLA Economic Research"
pdf_url: "https://www.etla.fi/wp-content/uploads/2012/09/dp1082.pdf"
keywords:
  - "business location decisions"
  - "co-location"
  - "research and development"
  - "manufacturing"
  - "contingency theory"
identifier: "https://www.etla.fi/julkaisut/id/Discussion-Papers-no.-1082"
---

# Determinants of Manufacturing-R&D Co-location

**Published:** 2007-03-30  
**Categories:** Publikationer  
**Tags:** Diskussionsämnen  
**URL:** https://www.etla.fi/sv/publikationer/dp1082-en/

The phenomenon of physical R&D-manufacturing co-location is interesting, because researchers have made very different observations regarding its prevalence. In some populations co-location of the two functions seems to be the norm; in others, an exception. However, we still do not have an explicit explanatory theory of co-location. In this paper, we look the reasons why manufacturing and R&D may have to be physically co-located. In a sample of 241 Finnish industrial firms, we find that the need for co-location varies drastically from company to company. We further find that product complexity, process complexity and industry clockspeed have an effect on co-location need.

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