The latter has a distinct tacit dimension. This is informal knowledge that has not been documented or made explicit by those who possess and use it and it has a certain degree of uniqueness. In the literature, knowledge bases have often been portrayed in their ‘pure’ forms, and it has been argued that industries tend to be dominated by either an analytical or a synthetic knowledge base. Knowledge bases are closely linked to the specific modes of innovation practiced by firms in different industries. Two ideal innovation modes have developed within the EEG literature: STI and DUI . Since research and development is critically important to STI, this innovation mode relies heavily on an analytic knowledge base. Alternatively, DUI highlight the importance of interactions between customers and suppliers. Thus, this innovation mode is based on experience and competence gained through everyday work operations . STI is more common in scientific-based and knowledge-intensive industries, while DUI is widespread in resource-based industries. Industries can also differ according to their geographical configuration. Some industries are dominated by regional actors and networking between regional firms, while others has stronger presences of knowledge and technologies developed in extra-regional and global networks. Binz & Truffer have introduced a typology of different geographical configurations for industries and differ between industries with a spatially sticky innovation system and industries with a ‘footloose’ innovation system. In spatially sticky system, both innovation, flood and drain table networking and valuation processes depend on regional embedded conditions and the system is dominated by a DUI modes of innovation.
Some extra-regional linkages also existing, and the system can be connected to global value chains. Resource-based industries often exemplify such a spatially sticky innovation system. In a ‘footlose’ innovation system there are ‘globally valid dominant design and quality standards’ that will homogenize valuation dynamics. Innovations are developed in international networks and communities and are oriented towards mass production and economies of scale. Typical empirical examples of industries with footloose innovation systems includes pharmaceutical and software production. In addition to these intra-industry characteristics, we must also investigate inter-industry dynamics, or the interactions among industry paths. The notion of co-evolution was introduced as an analytical category to explain how technologies, competencies, resources and practices from successful paths may spill over to an emerging industry path. Thus, co-evolution is an important factor in the dynamic emergence of a new industry niche and explains the connections among regional industry paths.The latter is the most relevant for our study analyzed the co-evolution of Norwegian salmon and cod farming, concluding that historical development within a path can lead to strong institutional specialization, and that knowledge and practices do not necessarily spill over to adjacent paths. Despite the growing conceptual popularity of co-evolution, there is a scant literature on the main conditions under which it occurs. It is important to know what factors co-evolve and why potential co-evolution materializes between adjacent industry paths, or not, in given situations. For instance, there is limited understanding of how the maturity, knowledge bases, innovation modes and spatial configurations of industry paths impact on how two paths connect and on the type of inter-path couplings that may be developed.
Much of the EEG literature has discussed co-evolution between related industry paths that are co-existing. In our case, one of the industry paths, is in a very early stage. However, we turn to the concept of convergent evolution within biology to add explanatory power for the potential for co-evolution between an established industry path and a potential new industry niche in a region. Convergent evolution is a common mechanism in biology where organisms with differing origins will independently evolve similar morphological traits when facing isomorphic selection pressures from e.g. similar ecological niches. Similarly, while the origin and development status of two industry paths may vary, global isomorphic selection pressures, such as a global market forces, can produce similar innovations. This may open up for future collaboration and inter-path couplings since market characteristics, value chains and knowledge systems start to overlap. Recent findings have for instance shown that more efficient value chains within the Norwegian salmon farming industry may benefit the downstream activities of other related and non-related industries. Cell-based seafood may reap the benefit of this development, and this may illustrate a process of industrial convergent co-evolution, ie. two industry paths evolving similar characteristics through the adaptation to generic selection pressures such as global market forces. Through analyzing the potential co-evolution between cell-based seafood and salmon farming in the Bergen region, our article expands our insight into how industry characteristics influence co-evolution processes between industry paths. Case studies of both the salmon farming industry and cell-based seafood industry have been conducted. Case studies can confirm, and nuance, theory-based assumptions. Herein, we elaborate on the EEG concepts and assumptions of path-dependent industry development and co-evolution. A main strength of qualitative case studies is their high level of conceptual validity, as they offer in-depth examinations of qualitative indicators and variables. Qualitative case study is appropriate for research that aims to contribute new knowledge on complex causal relations and to nuance theoretical assumptions.
From a theoretical basis, we set out to investigate the potential for coevolution between an established industry path and an emerging path. Salmon farming in the Bergen region and cell-based seafood serve as typical cases through which we can gain a more general understanding of this phenomenon. Data were collected through both document studies and semi-structured in-depth interviews. Documents included news coverage and salmon industry and cell-based seafood white papers. Online news articles and social media posts were monitored for both industries during the first two quarters of 2019. We also conducted in-depth, semi-structured interviews with nine representatives in director like roles, such as managing-, program- or science director, from both salmon farming and cell-based seafood. The interview length ranged from 30 min to 120 min and were conducted in person, except one interview conducted over telephone due to rescheduling. Interviews were conducted between February and April 2019. Key informants were selected from both industries based on their in-depth knowledge of respective industry. Cell-based seafood industry actors were interviewed in San Francisco, USA, while aquaculture industry actors were interviewed in Bergen, Norway. Five informants from the Bergen region’s salmon industry were interviewed, including representatives from two network organizations and three industry actors. Cell-based seafood, a more footloose industry, has not yet been established in the Bergen region. As such, we interviewed five industry actors, all of whom were at the time headquartered in the United States of America but with plans for expansion into other regions, such as Europe. Audio recordings of interviews were made with participant agreement, and later transcribed by a combination of automation software and manual transcription by the authors. In Norwegian aquaculture, Atlantic salmon represents the overwhelming majority of farmed species, in terms of both value and biomass, with a production of 1.45 million tons and an export value of approximately $7,9 billion USD in 2019. These 1.4 million tons of Norwegian farmed salmon constitute more than half the total global Atlantic salmon supply. Over the past decade, Bergen has begun to be recognized as both a national and global centre for salmon farming.
This region includes all the municipalities in Hordaland County,with a population of approximately 520,000 inhabitants. Fifty-seven salmon and trout production companies operate within this region, which is the largest number in any Norwegian county. The two largest salmon producers in the world, Mowi and Lerøy Seafood Group, are headquartered in the Bergen region.Moreover, the region has a strong marine research environment, led by the University of Bergen and the Institute of Marine Research. These research institutions established the ‘Ocean City Bergen’ initiative, emphasizing Bergen’s world-leading position as a marine research and industry cluster; the importance of this region can also be measured by the volume of marine science publications by these institutions. The University of Bergen was also selected as the official ‘Hub Institution’ for Sustainable Development Goal 14 by the United Nations Academic Impact .In addition, the Bergen region is the site of the publicly funded cluster organization NCE Seafood, which represents more than 70 industry actors and has a goal of promoting sustainable growth by strengthening collaborations among firms, and between firms, entrepreneurs and R&D institutions, within the seafood sector. Cell-based seafood and the larger cell-based meat industry consist of over 70 startups and 40 life science firms backed by cumulative investments topping $350 m USD in 2020. Cell-based seafood is a subsection of the clean meat, or cell-based meat industry. This industry is based on tissue engineering, including cultured meat and leather systems in which cells or cell lines from living animals are tissue engineered to produce usable tissues. These tissues have minimal quantities of animal tissue input compared with livestock methods in which the cells themselves form the product. Starting materials can be biopsied from an animal argue that the development of biomedical engineering combined with modern aquaculture techniques, such as genetic modification and closed system aquaculture, can pave the way for innovations in cell-based seafood production. These authors have stated that hypoxia tolerance, high buffering capacity and low-temperature growth conditions for marine cell culture, as well as the availability of waste products from aquaculture,rolling bench make cell-based seafood production promising. Cell-based seafood is not necessarily tied to a specific region, and interest in establishing cell-based initiatives is developing around the world. There have been some historic centres where the clean meat industry developed, such as San Francisco.
Although much of this development now occurs within rapidly expanding early phase companies spread around the world. The cell-based seafood production has been touted as a novel way of improving the sustainability of seafood production as it carries none of the environmental risks of salmon farming, such as salmon lice and escapees as well as improving animal welfare by producing salmon without animals involved in closed containment systems. On the other hand, the novelty of the industry also carries a high degree of uncertainty. Cell-based seafood need to achieve close to price-parity with incumbent seafood products, where high value species such as salmon may be more likely in the short term, but ultimately it is unknown when and if price parity is reached. Regulations and national approvals for this novel industry are still missing, recent regulatory approvals in Singapore for cell-based meat is paving the way for products to entering the market in 2021. Salmon farming in the Bergen region is a mature industry with a specialized value chain, a stable and tested technology, a well established regulatory framework, and highly competent R&D institutions. It is an industry path in a stable state, dominated by a few large industry actors with global operations . The open-net pen technology of the industry was introduced in the early 1970’s and through incremental improvements it has become a cost-efficient technology for salmon farmers. New production technology has been developed and piloted by industry actors during recent years owing to a government initiative to develop solutions that minimize the industry’s environmental impacts. However, open-net pen technology is still the preferred option for almost all of the farmers, and thus the industry is characterized by a certain degree of technological lock-in. While salmon production is stable, significant changes in downstream are seen as salmon supply chains are developing in the same direction as supply chains for more processed food products such as cell-based seafood. There is interest from the aquaculture industry, entrepreneurs, intermediary organizations as well as environmental NGOs to establish ethical and sustainable novel salmon production systems such as cell based seafood. These visions and expectations are not only descriptive of future potential technologies, but also generative. The future is mobilized by the marshaling of resources, coordinate activities, and the common anticipation of future technology become connected through agents ideas about technology and technical opportunities. New industry paths emerge not only from technological relatedness, but also from distributed agency and common visions about future development. Thus, while cell-based seafood is still in a preformation phase in the region, the interest and vision from a plurality of actors can be formative and may initiate a viable future industry path.