Entrepreneurial ecosystems and regional effects: Balancing diversity and focus

Anne Moroney.

A tale of people and place and prosperity…

Of comfort and complacence … and navigating gatekeepers and resistance to change

“ Our nation’s Future Depends on our ability to create jobs and to do that Australians need to be more creative about getting involved in global business growth opportunities” Bernard Salt 2018

Clusters illustrate why place still matters in the global economy. Businesses thrive in particular locations because their network of local connections to a specially skilled local workforce and the availability of strong local suppliers in proximity to one another generates business advantages that can not easily be imitated or competed away by low cost competitors.

Can Place then feed the entrepreneurial spirit?

PlaceSocial capital

Creative new

ventures

Riddell and Moore

Or a culture of resistance to scale….?

We can rebalance Australia’s economy with

creative industries Creative workers Many of those working in the

arts and creative industries see themselves as operating between these two spheres. They might work for one or the other across the course of a day or week, but equally their work, though never receiving public subsidy, might be described as ‘artistic’. Indeed, those working in commercial culture not only value ‘the arts’ but also see their own commercial activity as involving high levels of artistic or cultural purpose.

The Diversity path…

Performing Cluster

Derivative Industries

Specialisations at the Edge

Performing Cluster

Derivative Industries

Specialisations at the Edge

An enabling Ecosystem…

Economic Diversity

Business Competitiveness

Good Governance/Networks

People and Place

What is included…

Economic Diversity

Business Competitiveness

Good Governance/Networks

People and Place Natural Resources

Planning

Infrastructure

Built Environment

People

Skills

Creativity

Institutions Safety

Public Health

Integrated Design Processes Structures OrganisationInformation

Consultation Decision making Collaboration Partnerships Networks Shared purpose & vision

Innovation Gaps Capabilities Skills Knowledge

Relevance Research Innovative Capacity Entrepreneurship

Support Services Technical know-how Education Cluster Development Specialisations

Information

Research

Global Connections

New Markets readiness Start Ups

New Markets Knowledge

Access to Capital

Diversification at the edge of regional specialisations

A clear agenda

DESIGN

RESEARCHKnowledge/ Information

FACILITATE

VALUE ADD

Strengthen Competitiveness

DIVERSIFY

Expanding Opportunity, Specialisations, Markets and Investment

ENVIRONMENTAL, CULTURAL, SOCIAL AND ECONOMIC ACTIVATION

Integrated, joined up execution…

With apologies to Riddell and Moore

•Bottling and packaging managers•Designers•QC labs •Bottle makers•Packaging suppliers•Contract bottling and packaging•Storage facilities•Freight-bulk-package•Labour force contractors•Waste management

Goods produced and service provided

Vineyards

B2B Services

INDUSTRY VALUE CHAINS – WINE

Grapes

B2B Services

Wine

B2B Services

Co

ns

um

ers

Value chain stages

Vineyard

establishmentWine growing Winemaking

Marketing /sales

B2C Services

On and off-

License (includes cellar

door and on-line)

•Vine Nurseries•Vine Improvement Societies•Agricultural suppliers/contractors/services•Water infrastructure•Land Management•Councils

•Wine growers•Agricultural suppliers/•Contractors•Labour force contractors•Water infrastructure(irrigation network)•Cartage•Grower Liaison Officer

•Wine makers•QC laboratories•Logistic supply managers•Council regulators(noise, waste)•Winemaking suppliers•Cooperage•Storage facilities•Contract processing•Waste •Labour force contractors•management

•Restaurants and Café•Catering•Woolworths•Coles•Banner Groups•Independent retailers•Cellar doors•Hospitality sector•Online cellar doors and traders

Bottling/packaging/

despatch

Distribution- domestic

and export

Finished Dressed

Wine

B2B Services

Marketing/Sales/

Distribution

B2B Services

• Distributors• Wholesalers• Agents• Sales

departments• Export agents• Shipping

companies( sea, air, auto)

• Port authorities• Quarantine • Customs

Main actors

Processes and activities undertaken

Co

ns

um

ers

Feedback loop between consumers and each stage

Site selection

Establishment

Vine selection

Infrastructure est

Growing

Vineyard management Receival

Crushing

Making

Winemaking

Blending/Lab

Promotions

Consumer interfaceBottling/packaging Distribution

Bottling

Labelling/packaging

Storage

Receipt/Despatch

Export approval/licence

Trade promotionsFertiliser and chemicals

Pruning

Harvest

Despatch

PR/Advertising

Feedback loop between consumers and each stage

Services across the chainR&D: Wine Research Institute (AWRI) South Australian R&D Institute (SARDI) ASVO Au Society of Viticulture and Oenology CRCV Research centre for viticulture WIC Wine Innovation Cluster National Wine Industry Associations: WGGA Wine Grape Growers WFA Winemakers federation AGWA Au Grape and Wine Authority , WISA Wine Industry Suppliers Assoc. SA Wine Industry Associations: BGWA Barossa Grape Growers Assoc. SAWIA SA Wine Industry Association WGCSA Wine Grape Council SA PGIBSA Phylloxera Board of SA Education: UoA(including Waite), UniSA, TAFE, NWETC, Barossa Wine School, Wine Academy, National Wine Centre Government and NGO: DAFF, TA, PIRSA, SATC, DSD, SATIC, RDA Business support (accountants, lawyers, banks, Insurance, etc.)

Towards new clusters, new specialisations…..

“Innovation is by nature bottom up. Even if Government comes up with a grand and bold plan, it is bottom-up ideas and actions that give

substance to the plan to make it successful” Ong

Ye Kung, Singapore, 2018.