How Beneficial is a Knowledge-based Development Strategy for Peripheral Regions? A Case Study

This paper aims to contribute to the debate on the success factors of peripheral regions in the knowledge economy. It explores the viability of the knowledge-based development model for peripheral regions by examining the experiences of a follower region in Finland. The empirical case is Seinäjoki region in Western Finland which adopted a determined knowledge, research and innovation-driven development strategy in the 1980s. The article analyses the evolution of this strategy and assesses the progress and results that have been achieved until 2012. The results show that the strategy has improved the preconditions and structures for innovation, but there have been difficulties in turning these into real innovation outcomes. Peripheral regions may benefit from a knowledge-based development strategy but the development is slow and only takes place through building base capacity in the region.