When Neighbors Work Together, Businesses Flourish

Picture a world where businesses can find exactly what they need without any hassle. That happens when nearby regions start to work together. This recent study looked into how this teamwork, or regional collaboration, helps businesses make the most of their resources. But why is this important? Region-to-region cooperation can solve the issue of businesses having the wrong resources. This makes things run smoother and more efficiently. How does it do this? By helping businesses get the cash they need, connecting them with the right talent, and even lowering their costs.Here's what's really surprising: not all businesses benefit in the same way. Bigger companies, those owned by the state, and ones in industries without a single dominant player gain the most. Businesses close to the coast and those with good leadership also see a bigger boost. The result? Improved productivity across the board. So, the study suggests a few steps to maximize this teamwork.