Knowledge and Social Capabilities in the Garment Sector: A case Study

Abstract

This work evaluates how the innovation induces changes in the competitive dynamics of the garment sector and how social capabilities and knowledge, considered residual variables in the cognitive approach, combine to bring about the structural changes of an industrial cluster.
The relationship between knowledge and innovation is discussed in the theoretical part of the paper, as well as the social capabilities definition and characteristics. In the empirical part, we measure social capabilities, we describe their diffusion in a baby clothing cluster and we estime an innovation equation.
Key words: Knowledge; Social capabilities; Innovation; Baby clothing cluster