Interpreting the role of proximity on Industrial District competitiveness using a complexity science-based view and Systems Dynamics simulation

The paper investigates how proximity affects Industrial District competitiveness. We adopt the complexity theory by analyzing the influence of the proximity on the Industrial District adaptive capacity. Our argument in fact is that the more adaptive the Industrial District, the more the competitive success. Based on the complexity theory, we identify the structural features that allow Industrial District adaptation and their best values. Then, by developing a computational model based on the Systems Dynamics, we conduct a simulation analysis to evaluate the influence of proximity on the values of Industrial District structural features affecting its adaptive capacity. Results show that too much proximity is detrimental for the Industrial District competitiveness.