Innovation and Interdependencies in the New Zealand Custom Boat-Building Industry

Custom boat-building in New Zealand is a globally competitive industry, with an interconnected community of small and medium-sized enterprises. Product and production process innovation is essential in the industry's success. Interdependencies and innovation in the New Zealand boat-building success are investigated, as an example of an innovative regional milieu. A benchmark study of the industry completed by one of the authors in 1998 which evaluates the sources of information and innovation is presented. A series of interviews with leading firms are offered to ascertain the characteristics of innovation. The cultural and social factors of New Zealand, especially Auckland, where the industry is spatially clustered, are significant in the growth of the industry. The contemporary importance of sports and recreational boating has also contributed to the industry's recent growth and exporting. (CBS)