The disruptive impacts of technological innovation on established industrial structures has been one of the distinguishing features of modern capitalism. In this book, four leading figures in the field of Schumpeterian and evolutionary economic theory draw on decades of research to offer a new, 'history-friendly' perspective on the process of creative destruction. This 'history-friendly' methodology models the complex dynamics of innovation, competition and industrial evolution in a way that combines analytical rigour with an acknowledgement of the chaotic nature of history. The book presents a comprehensive analysis of the determinants and patterns of industrial evolution, and investigates its complex dynamics within three key industries: computers, semiconductors, and pharmaceuticals. It will be of great value to scholars and students of innovation and industrial change, from backgrounds as varied as history, economics and management. Its coverage of new methodological tools is also useful for students who are new to evolutionary economic theory.
Franco Malerba is Professor of Industrial Economics at the Bocconi University in Milan. He is former President of both the International Schumpeter Society and the European Association of Research in Industrial Economics. He is the author of over fifteen books on industrial economics and innovation, and has contributed to numerous journals on the subject. Richard R. Nelson is George Blumenthal Emeritus Professor of International and Public Affairs, Business and Law at Colombia University, and heads the Program on Science, Technology, and Global Development at the Columbia Earth Institute, New York. He is a seminal figure in the revival of evolutionary economics, and is the co-author of An Evolutionary Theory of Economic Change (1990) with Sidney G. Winters. Luigi Orsenigo is Professor of Applied Economics at IUSS, University of Pavia. He is the editor of the Journal of Evolutionary Economics, and the author of three books on biotechnology and industry, and of more than one hundred publications in major international journals. Sidney G. Winter is the Deloitte and Touche Emeritus Professor of Management at the Wharton School, University of Pennsylvania. With Richard R. Nelson, he co-authored the highly cited book An Evolutionary Theory of Economic Change (1990). He was the winner of the Viipuri Prize in Strategic Management in 2008 and the Global Award for Entrepreneurship Research in 2015.
1. Innovation and industrial evolution; 2. History-friendly models: methods and fundamentals; 3. The US computer industry and the dynamics of concentration; 4. Vertical integration and dis-integration in the computer industry; 5. The pharmaceutical industry and the role of demand; 6. Reprise and conclusions.