Download as pdf or txt
Download as pdf or txt
You are on page 1of 20

OUP-FIRST UNCORRECTED PROOF, March 26, 2014

T r a de Shows i n t h e G l oba l i z i n g
­K n ow l e d g e E c on om y

00-Bathelt-Prelims.indd 1 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

00-Bathelt-Prelims.indd 2 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

Trade Shows in
the Globalizing
Knowledge Economy

by

Ha r a l d Bat h e lt, F r a n c e s c a G ol f e tt o,
AND Di e g o R i na l l o

00-Bathelt-Prelims.indd 3 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

1
Great Clarendon Street, Oxford, OX2 6DP,
United Kingdom
Oxford University Press is a department of the University of Oxford.
It furthers the University’s objective of excellence in research, scholarship,
and education by publishing worldwide. Oxford is a registered trade mark of
Oxford University Press in the UK and in certain other countries
© Harald Bathelt, Francesca Golfetto, and Diego Rinallo 2014
The moral rights of the authors have been asserted
First Edition published in 2014
Impression: 1
All rights reserved. No part of this publication may be reproduced, stored in
a retrieval system, or transmitted, in any form or by any means, without the
prior permission in writing of Oxford University Press, or as expressly permitted
by law, by licence or under terms agreed with the appropriate reprographics
rights organization. Enquiries concerning reproduction outside the scope of the
above should be sent to the Rights Department, Oxford University Press, at the
address above
You must not circulate this work in any other form
and you must impose this same condition on any acquirer
Published in the United States of America by Oxford University Press
198 Madison Avenue, New York, NY 10016, United States of America
British Library Cataloguing in Publication Data
Data available
Library of Congress Control Number: 2014931563
ISBN 978–0–19–964308–0
Printed and bound by
CPI Group (UK) Ltd, Croydon, CR0 4YY
Links to third party websites are provided by Oxford in good faith and
for information only. Oxford disclaims any responsibility for the materials
contained in any third party website referenced in this work.

00-Bathelt-Prelims.indd 4 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

For Waltraud, Tommaso, and Cassiano

00-Bathelt-Prelims.indd 5 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

00-Bathelt-Prelims.indd 6 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

Preface

This book focuses on providing an understanding, conceptualization, and


investigation of the role of trade shows in the globalizing knowledge economy.
Trade shows have long been seen as marketing or sales events, where firms
from a particular industry or technology group showcase their products to cur-
rent and potential customers. Alternatively, they have been viewed as events
that bring business tourists and related activities to certain trade show cities/
regions, providing jobs and income to a segment of the local/regional economy
that specializes in servicing them. Relatively little research has treated these
events as places where international business networks are created and main-
tained, where both technical and creative inputs for innovations are collected
and generated, or where decisive knowledge is created, circulated, exchanged,
and negotiated.
Indeed, studies in business management, economic geography, and other
disciplines have only recently begun to conceptualize and explore the role of
trade shows as key nodes in the global knowledge economy that enable the
generation and dissemination of decisive knowledge flows connecting agents/
firms, clusters, and regions in different parts of the world. Building on and
extending these contributions, this book draws on a knowledge-based perspec-
tive to develop a coherent conceptual understanding of the nature, extent, and
structure of interaction and learning at trade shows. Based on empirical evi-
dence regarding different trade shows in a variety of underlying industries in
different geographical contexts, we highlight the following aspects of knowl-
edge generation: (i) the knowledge acquisition and dissemination processes
carried out by participating firms (i.e. exhibitors and visitors); (ii) the types of
knowledge that are exchanged and co-produced by the actors involved in dif-
ferent industry groups; and (iii) the knowledge strategies through which trade
show organizers affect learning processes at their events.
Our main goal is to investigate how trade shows contribute to the establish-
ment of new geographies of circulation (Thrift 2000; Amin and Cohendet
2004), which enable knowledge creation and exchange between different loca-
tions around the globe, across different industries, and without permanent or
even frequent face-to-face contact. To understand this dynamic, we develop a
clear account of how these events operate in the knowledge economy, and how
they have become major building blocks in innovation and globalization pro-
cesses, despite important differences from country to country. This is done
from both a conceptual and empirical standpoint.
The book aims to demonstrate that trade shows are a key factor in under-
standing globalization, innovation, and local/national economic development

00-Bathelt-Prelims.indd 7 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

viii Preface

processes. These processes engage a wide range of research questions from dif-
ferent disciplinary traditions. The book is thus directed to researchers and stu-
dents across the social sciences; yet we anticipate that it will also be relevant to
policy-makers, regional planners, public managers, local economic govern-
ments, as well as organizers in the trade fair industry:
(1) Policy-makers. The book provides important insights into how local and
national governments can use trade shows to avoid the institutional lock-in
and self-referential behaviour of firms overly embedded in local industry clus-
ters. It also speaks to the ways in which governments might support the devel-
opment of marketing competencies and market-based innovation, and foster
the competitive advantage of regional/national economies.
(2) Trade show industry. The book highlights the ways in which trade shows
may become knowledge-rich spaces that foster the competitiveness of their
exhibitors and visitors. It should, thus, be of primary interest to trade show
organizers who employ knowledge-based strategies to increase the competi-
tiveness of their events.
(3) Firms operating in business markets. The book complements the main-
stream perspective in the business literature, which typically views trade shows
as individual promotional events. On the one hand, this literature highlights
the critical role of trade shows in product innovation and in matching techno-
logical competences to evolving market needs. On the other hand, it empha-
sizes their role in collective marketing initiatives, which enable cooperation
among competitors (i.e. coopetition—Brandenburger and Nalebuff 1996) to
achieve common promotional goals.
(4) Economic organizations and policy-makers from new manufacturing
countries. Most of the existing scholarship on trade shows focuses on West-
ern European and North American contexts. This book departs from this
long-standing preoccupation to present a systematic overview of trade shows
activities, structures, and developments across many industries and countries.
In doing so, it offers a comprehensive perspective of these events and their role
in the world economy.
Needless to say that this book would not have been possible without valuable
feedback and help from ongoing collaborations and regular exchanges with
many friends and colleagues. Its limitations and imperfections, however, are
solely the responsibility of the authors. We have greatly benefited from inspir-
ing and insightful suggestions from Enrica Baccini, Stefania Borghini, Cristian
Chizzoli, Emanuele Guido, Nina Knippen (formerly Schuldt), Peng-Fei Li, Ben
Spigel, Guido Zakrzewski, Gang Zeng, and Fabrizio Zerbini. Rachael Gibson,
in particular, provided invaluable input at all stages of this project, for which we
are most grateful. Furthermore, we would like to thank Alexandra Eremia and
Yuefang Si for superb research support. We are also indebted to the various
trade show organizers that assisted us in collecting data and shared their

00-Bathelt-Prelims.indd 8 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

Preface ix

insights about these events, their strategic challenges, and their role in the
world economy. We are especially indebted to Fondazione Fiera Milano, which,
by continuously soliciting new research, allowed us to better understand trade
show activities and functions. Finally, we thank Oxford University Press, par-
ticularly David Musson and Emma Booth, and the anonymous advisers for
helpful comments on earlier drafts of the book and for managing this project so
effectively. Last but not least, we wish to thank our loved ones—Cassiano, Clare,
Fiona, Mauro, and Tommaso—for joining in our enthusiasm for this book and
for providing continuous support throughout the entire project.
As a last remark, we wish to emphasize that this project is an example of how
relationships can be created over distance based on shared interest in a novel
research perspective, how this process would not have been possible without
occasional face-to-face communication and temporary get-togethers, and
how ongoing interaction in professional relations can produce personal trust
over time.
Toronto, Milan, and Marseille, December 2013
Harald Bathelt,
Francesca Golfetto,
and Diego Rinallo

00-Bathelt-Prelims.indd 9 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

00-Bathelt-Prelims.indd 10 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

Contents

List of Figures xv
List of Tables xvii
Permissions xix

1. Introduction 1
1.1. Background of the Book 1
1.2. Goals of the Book 2
1.3. Distinguishing Trade Shows from Other Events 4
1.4. Trade Shows, Globalization, and the Knowledge Economy 7
1.5. Structure of the Book 8
Notes 12

Part I. Towards a Knowledge-Based Understanding


of Trade Shows 15
2. Functions of Trade Shows: A Historical Perspective 17
2.1. Introduction 17
2.2. Origin and Evolution of Trade Shows 18
2.3. Functions of Trade Shows for Visiting and Exhibiting Firms 22
2.4. Functions of Trade Shows for Networks of Firms
and Communities 34
2.5. Conclusions 38
3. Temporary Markets and Temporary Clusters 40
3.1. Introduction 40
3.2. Traditional Industrial Districts and the Export-Promotion
Function of Trade Shows 41
3.3. Trade Shows as Temporary Markets 43
3.4. Permanent Clusters and Global Market Access:
A Knowledge-Based Perspective 46
3.5. Trade Shows as Temporary Clusters 48
3.6. Global Buzz at International Trade Shows 50
3.7. Conclusions 55
4. A Knowledge-Based Typology of Trade Shows
and Knowledge Strategies of Trade Show Organizers 56
4.1. Introduction 56
4.2. Knowledge-Based Typology of International Trade Shows 58

00-Bathelt-Prelims.indd 11 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

xii Contents

4.3. Knowledge Exchanges at Export, Import,


and Hub Trade Shows 61
4.4. Trade Show Organizers and their Knowledge Strategies 63
4.5. Conclusions 73
Notes 74
5. Trade Show Specialization and Territorial Specialization 75
5.1. Introduction 75
5.2. Paradigmatic Views on the Relationship between Trade
Shows and their Underlying Industries 78
5.3. Territorial Specialization and its Impact on Trade Shows 80
5.4. Trade Show Specializati on And Its Impact On Territorial
Specialization 84
5.5. A Dynamic Two-Way Influence Model of Trade
Show Specialization and Territorial Specialization 90
5.6. Conclusions 92
Notes 93

Part II. Trade Show Dynamics in Geographical Context 95


6. Trade Show Dynamics in Mature Markets 1: Europe 97
6.1. Introduction 97
6.2. The Development of and Competition between European
Trade Shows 98
6.3. Trade Shows and Exhibition Centres in the Main Countries 104
6.4. Trade Show Functions by Country: Stakeholders
and Governance Models 109
6.5. Development Trends 119
6.6. Conclusions 121
Notes 121
7. Trade Show Dynamics in Mature Markets 2: North America 122
7.1. Introduction 122
7.2. Post-Second World War Trade Show Growth 123
7.3. Structures and Trends of North American Trade Shows
in the 2000s 125
7.4. Development Paths of Trade Shows in North America 132
7.5. Conclusions 137
Notes 138
8. Trade Show Dynamics in Emerging Markets: The Asia-Pacific
Region 140
8.1. Introduction 140
8.2. The Heterogeneous Trade Show Business
in the Asia-Pacific Region 142

00-Bathelt-Prelims.indd 12 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

Contents 
xiii

8.3. Rapid Trade Show Development in China 146


8.4. Emergent Chinese Trade Show Ecologies 150
8.5. Conclusions 154
Notes 155

Part III. Specific Knowledge Generation Practices and


Competition by Industry Group and Trade
Show Type 157
9. Different Knowledge Practices in Hub Shows: The Cases of Lighting
versus Meat Processing Technology 159
9.1. Introduction 159
9.2. L + B and IFFA as Hub Shows with a Different Design
and Technology Focus 161
9.3. Knowledge Circulation and Communication Practices at Hub
Shows 163
9.4. Conclusions 170
Notes 171
10. Cyclical Meetings or Field Reproduction? Knowledge Practices at
­International Lighting Shows 173
10.1. Introduction 173
10.2. Field Reproduction in Trade Show Sequences 174
10.3. Lighting Shows in Europe and North America 176
10.4. Participants and Goals of Participation 179
10.5. Producer–User Interaction and Knowledge Circulation 182
10.6. Conclusions 186
 Notes 187
11. Knowledge Practices and the Evolution of Export and Import
Shows: The Case of Fabrics 189
11.1. Introduction 189
11.2. The European Textile Industry and Trade Show Business 190
11.3. International Trade Shows for the Fabric Industry:
Import–Export Functions 194
11.4. Competition among European Fabric Trade Shows:
A ‘History of War’ 198
11.5. Conclusions 208
 Notes 209
12. The Impact of Trade Show Organizers on Industry Innovation:
‘Concertation’ Processes in Fashion 211
12.1. Introduction 211
12.2. Innovation in the Fine Fashion Apparel Industry 212

00-Bathelt-Prelims.indd 13 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

xiv Contents

12.3. Première Vision as Organizer of the Main


Concertation Process 214
12.4. Concertation: How to Select the Future in Fashion 214
12.5. Conclusions 220
 Notes 221
13. Territorial Specialization and Trade Show Competition:
The Case of Italian Marble and Ceramic Technologies 223
13.1. Introduction 223
13.2. Marmomacc and the Stone Technology Industry 224
13.3 Tecnargilla and the Promotion of Italian
Ceramic Technology 235
13.4. Conclusions 242
 Notes 244
14. Knowledge Dynamics in Export Shows: The Affirmation
of the Italian Furniture Industry 245
14.1. Introduction 245
14.2. Furniture Trade Shows in Europe 246
14.3. Salone del Mobile: Organizers’ Strategies
for Industry Visibility 248
14.4. Conclusions 258
 Notes 259

Part IV.  Theory, Policy, and Management Implications 261


15. Implications of a Knowledge-Based Understanding
of Trade Shows 263
15.1. Main Findings 263
15.2. Theoretical Implications 266
15.3. Policy and Managerial Implications 272
15.4. Outlook 280

Bibliography 283
Index 311

00-Bathelt-Prelims.indd 14 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

List of Figures

Figure 2.1. The Role of Trade Shows in the Industrial Buyer


Information Mix 24
Figure 3.1. Local Buzz and Global Pipelines in Clusters 47
Figure 3.2. Pipeline Creation and the Complementary Relation
Between Temporary and Permanent Clusters  50
Figure 4.1. Typology of Trade Shows According to Exhibitor/Visitor Origin  58
Figure 4.2. Activities of the Trade Show Chain 64
Figure 5.1. Paradigmatic Views of Trade Shows and Their Relationship with
Underlying Industries (inspired by McQuail’s 1984 categorization
of theoretical positions regarding the relationship between media
and society) 78
Figure 5.2. Two-way Influence Model between Trade Show
and Territorial Specialization 90
Figure 6.1. Rented Trade Show Surfaces in the Main European Countries
(Germany, Italy, France, and Spain), 1975−2010  101
Figure 6.2. Market Share of International and National/Regional Trade
Shows in the Main European Countries, 2010  106
Figure 6.3. Trade Show Market Shares (Rented Surfaces) of the Main
European Countries by Industry Group, 2008/2009  107
Figure 6.4. Top 15 European Trade Show Cities by Number of Exhibitors
at International, National, and Regional Events, 2008/2009  108
Figure 6.5. Internationalization, Import–Export Function, and Size
of German Trade Shows by Industry Group, 2009/2010  113
Figure 6.6. Internationalization, Import–Export Function, and Size
of Italian Trade Shows by Industry Group, 2009/2010  115
Figure 6.7. Internationalization, Import–Export Function, and Size of French
Trade Shows by Industry Group, 2009/2010 117
Figure 6.8. Internationalization, Import–Export Function, and Size
of Spanish Trade Shows by Industry Group, 2009/2010  118
Figure 7.1. Total Number and Average Square Footage of North American
Trade Shows, 2001–2007 126
Figure 7.2. Number of Trade Shows in the Top 25 North American Trade
Show Cities by Selected Industry Groups, 2001–2007  127
Figure 11.1. European Textile-Clothing Trade Shows by Country,
1990 and 2009 194

00-Bathelt-Prelims.indd 15 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

xvi List of Figures

Figure 11.2. Spatial Dynamics of Fabric Trade Shows in Europe,


1986 and 2010 199
Figure 11.3. Exhibitors and Visitors at Interstoff, Première Vision,
and Milano Unica, 1986−2009 204
Figure 12.1. The Trend Concertation Mechanism at Première Vision
and the Players Involved 216
Figure 14.1. Evolution of the Number of Visitors and Exhibitors
at Salone del Mobile and Major Competing Trade Shows 248
Figure 14.2. Number of Articles per Year about Main Furniture
Trade Shows Published in International Press
Releases, 1981−2009 257

00-Bathelt-Prelims.indd 16 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

List of Tables

Table 2.1. Main attendance motives for visitors from buying firms, 2004 25
Table 2.2. Composition of trade show audiences, 2004 26
Table 2.3. Stand space distribution at textile/apparel trade shows by exhibited
products, 2004–2007 31
Table 4.1. Knowledge-based strategies of trade show organizers 67
Table 6.1. Trade show activity in the European Union (EU-27) by geographical
orientation, 2012 100
Table 6.2. Exhibition capacity in Europe by country, 2012 103
Table 6.3. Trade show stakeholders and governance models in leading
European countries 109
Table 6.4. Internationalization of trade shows in leading European countries
by industry, 2009/2010 110
Table 7.1. Average number of exhibitors, attendees, and square footage
of North American trade shows, 2001, 2004, and 2007 128
Table 7.2. Number of trade shows and trade show location quotients
by industry group in selected North American trade
show cities, 2005 130
Table 8.1. Exhibition centres and indoor exhibition space by world
region, 2006 and projection for 2010 141
Table 8.2. Number and size of trade shows and exhibition centres
in the Asia-Pacific region by country, 2008/2009 143
Table 8.3. Development of convention centres in China by location
and size (indoor exhibition space ≥ 50,000 square metres),
2009–2011148
Table 8.4. Number of trade shows, exhibitors and visitors, available
exhibition space, and turnover rate of the Shanghai New
International Expo Centre (SNIEC), 2002–2011 149
Table 8.5. Number of exhibitors, visitors, and exhibition space at case
study trade shows in China, 2010 150
Table 9.1. Number of exhibitors and visitors by origin and rented
exhibition space at L + B and IFFA, 2004 161
Table 9.2. Goals of trade show participation at L + B and IFFA, 2004 163
Table 9.3. Importance of contact with customers, competitors, and suppliers
at L + B and IFFA, 2004 164

00-Bathelt-Prelims.indd 17 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

xviii List of Tables

Table 10.1. Number of exhibitors and visitors at international lighting


shows by origin, 2004–2009 177
Table 10.2. Firms interviewed at international lighting shows by size,
2004–2009180
Table 10.3. Firms interviewed at international lighting shows by age,
2004–2009180
Table 11.1. Economic structure and evolution of the textile-clothing
industry in the European Union, 2002–2010 191
Table 11.2. International trade shows in the textile-clothing industry
in Europe, 1990–2009 193
Table 11.3. International fabric trade shows in Europe 195
Table 13.1. Main international marble and natural stone trade shows
in Europe, 1990−2010 225
Table 13.2. Main international marble and natural stone trade shows
outside of Europe, 1990−2010 227
Table 13.3. Main international ceramic technology trade shows in Europe,
1990−2010237
Table 14.1. Evolution of main furniture trade shows in Europe, 1990,
2000, and 2008 249

00-Bathelt-Prelims.indd 18 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

Permissions

Like many academic publications, parts of this book draw from earlier work
and publications. The arguments developed in several of its chapters are based
on or develop from ideas established in former research. We wish to acknowl-
edge the following original sources, in particular, and thank the publishers and
editors of the respective works for allowing us to use this material in building
our argument.
Permission to draw on ideas from prior publications are gratefully acknowl-
edged from the following sources: Journal of Business Research, 59 (2006),
1151–9 (Elsevier B.V. <http://www.elsevier.com>) with respect to Chapter 2;
European Planning Studies, 14 (2006), 997–1013 and 18 (2010), 1957–74 (Tay-
lor & Francis Ltd. <http://www.tandfonline.com>) in the context of Chapter 3;
Economic Geography 87 (2011), 453–76 (Clark University and John Wiley &
Sons, Inc. <http://onlinelibrary.wiley.com>) in the context of Chapters 3, 4,
and 11; Canadian Geographer, 56 (2012), 18–38 (Canadian Association of
Geographers and John Wiley & Sons, Inc. <http://onlinelibrary.wiley.com>)
with respect to Chapter 7; Regional Studies, 42 (2008), 853–68 (Taylor & Fran-
cis Ltd. <http://www.tandfonline.com>) in the context of Chapter 9; and
Industrial Marketing Management, 35 (2006), 856–69 (Elsevier B.V. <http://
www.elsevier.com>) with respect to Chapters 11 and 12. Permission to repro-
duce tables and figures are kindly granted by SAGE Publications Ltd. <http://
www.sagepub.co.uk> for Figure 3.1 (Progress in Human Geography, 28: 46),
Taylor & Francis Ltd. <http://www.tandfonline.com> for Figure 3.2 (Regional
Studies, 42: 856), and Clark University and John Wiley & Sons, Inc. <http://
onlinelibrary.wiley.com> for Table 11.3 (Economic Geography, 87: 460).

00-Bathelt-Prelims.indd 19 26/03/14 7:29 PM


OUP-FIRST UNCORRECTED PROOF, March 26, 2014

00-Bathelt-Prelims.indd 20 26/03/14 7:29 PM

You might also like