Interactive Dynamic Capabilities and Regenerating the East German Innovation System
The paper sets out a speciﬁcation of capabilities and competencies derived from Sen’s work on consumer capabilities and welfare economics. This approach is one that proves remarkably easy to generalise, ﬁrst to producer and supplier capabilities, and thence to interactive and dynamic capabilities. The approach is then applied via the consequential perspectives of regional systems of innovation and network alignment to the case of the efforts to regenerate the innovation system in East Germany since reuniﬁcation. It is seen that this process can be divided into three periods, of which the most recent appears to meet some of the theoretical requirements for effective interactive capabilities. It is less clear that the criteria for dynamic capabilities—which involve considerations of speed-up and ﬂexibility, to meet the market requirements in real time—have yet been taken sufﬁciently seriously.