How proximity matters in interactive learning and innovation: a study of the Venetian glass industry

Drawing on the literature on proximity within industrial agglomerations, the authors develop a model to explain how social, cognitive and personal proximity influences interactive learning and innovation in industrial districts. A qualitative study of the Murano glassmaking district shows that interactive learning in an industrial district occurs on both horizontal and vertical dimensions, along which proximity plays different roles. Horizontal learning takes place through social and cognitive proximity and personal distance. Vertical learning occurs through personal proximity and social and cognitive distance. This study contributes to the literature on the proximity within industrial districts by highlighting the role of personal proximity, which is largely unexplored. This paper also considers the coevolution between the proximity dimensions and provides empirical evidence of two mechanisms of coevolution: a compensation mechanism between social and cognitive proximity and a substitution mechanism between personal proximity, and cognitive and social proximities.