A knowledge-based typology of university spin-offs in the context of regional economic development

Drawing on the literature pertaining to the role universities play in promoting technology transfer, this paper develops an insightful conceptualization of spin-off processes, and applies it to a current regional case study. The suggested typology of university spin-off/start-up firms is based on several variables, including the type of university sponsorship, university involvement in firm formation, the character of knowledge applied, and co-localization of the founders The empirical case study is used to demonstrate the usefulness of this approach in analyzing spin-off firms, and then dynamics. The study is based on interviews conducted with university spin-offs/start-ups in the information technology (IT) sector located in the Kitchener and Guelph metropolitan areas This region, which is home to the University of Waterloo - one of Canada's premier science and technology universities - has experienced an impetus of spin-off processes cm [Dilating from university research dating back to the 1970s The results of our analysis expose several trends Sponsored spin-offs are largely the result of particular university research projects, and apply specific knowledge inputs in the development of their initial core technology Unsponsored spin-offs, which find their foundation in decentralized idea development outside of the university setting, almost entirely rely on generic broad knowledge bases for the development of innovative products and services, which have enabled the firm-formation process Overall, it is surprising that even firms that have received some form of university support described the role the University of Waterloo had in their start-up process as marginal The dynamic research approach applied in this study, which outlines the university's changing role over time and the regional dynamics associated with spin-off firms, further demonstrates the potential of out typology As such, our typology of university-related start-up/spin-off firms is designed to support studies concerned with the wider impact of universities on technology transfer and regional development (C) 2010 Elsevier Ltd All rights reserved