Authors : Juliette Rault and Gilberto Sarfati
Abstract: This study investigates the criteria in which entrepreneurs base their decisions when selecting the localization of their venture. The research follows the method of a comparative case study based on the exploration of two neighborhoods: Vila Leopoldina in Sao Paulo and the Colonia Roma Norte in Mexico City. The consolidated results based on the qualitative interviews carried out in both neighborhoods first reveal that the urban place, defined as the local ties as well as the general atmosphere of the environment, remains important for the actors despite the increasing use of high-speed communications that generate more interactivity within regions. Furthermore, the relation between the entrepreneurs and their local environment is highly dependent on the stage of development and the nature of the activity of their ventures; informal networks prove to be instrumental in identifying the business opportunities before progressively being replaced through institutionalized relations with venture capital firms or incubators.
Juliette Rault and Gilberto Sarfati, 2015. Where Should I Be Located? Entrepreneurial Clustering in Mexico City and Sao Paulo. International Business Management, 9: 1309-1324.