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Proceedings of the 3rd European Conference on Intellectual Capital

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Katia Rodrigues and Eduardo Tomé<br />

The knowledge base c<strong>on</strong>sists in <str<strong>on</strong>g>the</str<strong>on</strong>g> creative and educati<strong>on</strong>al levels <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> whole populati<strong>on</strong>, <str<strong>on</strong>g>the</str<strong>on</strong>g><br />

prestige <str<strong>on</strong>g>of</str<strong>on</strong>g> universities and research centers, <str<strong>on</strong>g>the</str<strong>on</strong>g> knowledge management, <str<strong>on</strong>g>the</str<strong>on</strong>g> organizati<strong>on</strong>al<br />

skills and <str<strong>on</strong>g>the</str<strong>on</strong>g> artistic and cultural creativity;<br />

The ec<strong>on</strong>omic base includes <str<strong>on</strong>g>the</str<strong>on</strong>g> various ec<strong>on</strong>omic activities, <str<strong>on</strong>g>of</str<strong>on</strong>g>ten organized into clusters, <str<strong>on</strong>g>the</str<strong>on</strong>g> city<br />

has to <str<strong>on</strong>g>of</str<strong>on</strong>g>fer to <str<strong>on</strong>g>the</str<strong>on</strong>g> outside world and which distinguish it from o<str<strong>on</strong>g>the</str<strong>on</strong>g>r cities;<br />

The quality <str<strong>on</strong>g>of</str<strong>on</strong>g> life is essential to attract knowledge and creative workers;<br />

C<strong>on</strong>nectivity and accessibility are essential for a high level <str<strong>on</strong>g>of</str<strong>on</strong>g> physical and digital accessibility,<br />

including excellent telecommunicati<strong>on</strong>s services and access to internati<strong>on</strong>al airports and excellent<br />

mobility soluti<strong>on</strong>s in its interior and also pervasive digital c<strong>on</strong>nectivity for its residents;<br />

Urban diversity results from <str<strong>on</strong>g>the</str<strong>on</strong>g> diversity <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> populati<strong>on</strong> in several respects (cultural, ethnic,<br />

nati<strong>on</strong>al, lifestyle, etc.). Studies show that <str<strong>on</strong>g>the</str<strong>on</strong>g> creative class prefers cities with a thriving cultural<br />

life, a cosmopolitan orientati<strong>on</strong> and high levels <str<strong>on</strong>g>of</str<strong>on</strong>g> human and social development;<br />

The urban scale means that <str<strong>on</strong>g>the</str<strong>on</strong>g> size <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> city accounts for its opportunities in <str<strong>on</strong>g>the</str<strong>on</strong>g> "Knowledge<br />

Ec<strong>on</strong>omy". Not all cities can be knowledge cities, and this impossibility is is more likely to exist in<br />

<str<strong>on</strong>g>the</str<strong>on</strong>g> case <str<strong>on</strong>g>of</str<strong>on</strong>g> small cities. However <strong>on</strong>e can’t deduce from this statement that all big cities are cities<br />

<str<strong>on</strong>g>of</str<strong>on</strong>g> knowledge. In fact even medium-sized cities can be knowledge cities especially if <str<strong>on</strong>g>the</str<strong>on</strong>g>y can<br />

benefit from externalities. The c<strong>on</strong>cept <str<strong>on</strong>g>of</str<strong>on</strong>g> urban scale will be important is <str<strong>on</strong>g>the</str<strong>on</strong>g> analysis <str<strong>on</strong>g>of</str<strong>on</strong>g> smart<br />

cities (see 2.5)<br />

Social equity results from creating c<strong>on</strong>diti<strong>on</strong>s that minimize <str<strong>on</strong>g>the</str<strong>on</strong>g> risks <str<strong>on</strong>g>of</str<strong>on</strong>g> social dividing that are a<br />

byproduct <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> "Knowledge Ec<strong>on</strong>omy".<br />

Figure 1: Knowledge cities (source: Winden and Berg 2004)<br />

According to Castells and Hall (1994), local knowledge is present in <str<strong>on</strong>g>the</str<strong>on</strong>g> society and <str<strong>on</strong>g>the</str<strong>on</strong>g> agents living<br />

in each regi<strong>on</strong>. The city area is a corridor <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> flow <str<strong>on</strong>g>of</str<strong>on</strong>g> knowledge that permeates <str<strong>on</strong>g>the</str<strong>on</strong>g> local society,<br />

within a decentralized territory that is integrated with <str<strong>on</strong>g>the</str<strong>on</strong>g> outside envir<strong>on</strong>ment. O<str<strong>on</strong>g>the</str<strong>on</strong>g>r authors point out<br />

that knowledge streng<str<strong>on</strong>g>the</str<strong>on</strong>g>ns <str<strong>on</strong>g>the</str<strong>on</strong>g> cities, through cultural, historical and human factors (Diniz and<br />

G<strong>on</strong>çalves, 2005). Also, cities are formed by diversity, attracting, creating and transforming value<br />

(Duarte, 2002).<br />

Social embeddedness postulates that <str<strong>on</strong>g>the</str<strong>on</strong>g> attractiveness <str<strong>on</strong>g>of</str<strong>on</strong>g> a locati<strong>on</strong> depends <strong>on</strong> a set <str<strong>on</strong>g>of</str<strong>on</strong>g> systemic<br />

elements; those are <str<strong>on</strong>g>the</str<strong>on</strong>g> local, ec<strong>on</strong>omic, social, cultural and political factors that generate unique<br />

identity <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> regi<strong>on</strong> (Granoveter,1985).<br />

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