Today's economy can be described as "knowledge based" since knowledge is arguably the most important factor of production. The key challenge for companies therefore is to develop and apply knowledge, that is, to learn. Increasingly, companies are collaborating with other firms in this process. This book asks why companies seek to collaborate with one another in developing and applying knowledge and how they organize this process of inter-firm learning. The book takes a single knowledge based perspective and demonstrates a detailed argument with the qualitative discussion of an actual "innovation network". Knowledge and Innovation in Regional Industry brings a fresh approach to an important subject. Its readable yet authoritative style will be popular amongst students and academics studying industrial economics along with knowledge and innovation studies. The book will also be of interest to business leaders and policy-makers internationally.