Timo Pihkala, Vesa Harmaakorpi, Satu Pekkarinen
A shift in the techno-economic paradigm will affect regions; regions, however, are path-dependent units. This path-dependency often leads to considerable socio-institutional inertia in the process of transformation whereby regions aim to remain competitive in the face of worldwide competition. The present article assesses the role of the dynamic capabilities of social capital in the process of regional adaptation. A survey conducted in the Lahti urban region in Finland is used as empirical data. The results of the survey reveal the respondents' fairly good awareness of the prevailing techno-economic paradigm and of the strong socio-institutional inertia confronting change in practice. The results suggest, however, that there are systematic differences in responsiveness between local politicians and other decision-makers. The study concludes with a discussion of the relevance of shared common views on the development needed within the region.
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