Chapter 6 Conclusion

Aiming to make contributions to the research on the dynamic characteristics of tech clusters and industrial concentration, this article not only analyses the distribution of tech clusters in the England area but also conduct regression analysis and spatio-temporal pattern mining. In addition, the relationship between the entry rate of tech companies in England and the different indicators of the clusters (including firms density and the concentration of tech industries) is also quantitatively explained based on the results of the regression model and the spatial autocorrelation test.

In a nutshell, under the current research framework, whether it is the entire area of England or the local tech clusters, the experimental results in the past 20 years (1998-2018) have shown that industrial concentration and company density have a strong relationship with the entry rate of cluster technology companies. For example, the higher the industrial diversity and the greater the density of local technology companies, the higher the entry rate of technology companies in the region. In addition, the visualisation of spatio-temporal patterns also found the shift of cold and hot spots. For instance, compared with England as a whole, the cluster effect of the entry rate in some areas in the north has declined more slowly, while the southwest has changed from a cluster with a high entry rate to a cluster with a low entry rate. These findings can help government planning decision-makers to optimise the investment distribution of science and technology industries in England, thus realising the fair development of resource allocation among the England science and technology industries in the future.

Although the research framework has some limitations, the regression model and spatial autocorrelation analysis methods have good reproducibility in explaining the areas whose administrative divisions are similar to the UK. For the expansion of research directions, this research can refer to Clementi’s (2016) analysis framework to investigate the dynamics of a cross-section of enterprises and their implications for aggregate dynamics. In addition, with the development of the technology industry and the trend of globalisation, the government’s collection and archiving of more dimensional data of these companies would help to employ quantitative methods to explore the survival mode of tech companies. In addition to a more multi-dimensional quantitative analysis, this research can also focus on studying the impact of corporates’ movement in the future, especially the change of the same company address and other corporate indicators such as the size of employees and assets before and after the relocation.