How peripheral regions can drive symbolic knowledge innovation - insights from the Bauhaus movement

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Applied Institute for Research in Economics

Effie Kesidou is Chair in Economics of Innovation & Sustainability at Leeds University Business School. Her research focuses on how businesses and regions achieve sustainability through innovation, with a focus on eco-innovation, green patents, sustainability standards, and the role of city-regions and local knowledge spillovers in driving environmental and economic performance. Emmanuella Plakoyiannaki is Chaired Professor of International Business at the Department of Marketing and International Business at the University of Vienna, Austria. Her research interests refer to qualitative research in International Business, SME and family firm internationalization, and international entrepreneurship. Janja Annabel Tardios is Senior Lecturer in Strategy and International Business at Brunel University of London. Her main research focus is on multinational companies and the determinants and consequences of their activities abroad.

Headshots of Effie Kesidou, Emmanuella Plakoyiannaki and Janja Annabel Tardios

In recent years, there has been a growing interest in how peripheral regions - those often distant from economic and cultural hubs - can drive innovation and growth. Traditional approaches to regional development emphasise centralised resources, research and development (R&D) capabilities, and institutional support as prerequisites for innovation.  

However, our pioneering research on the iconic Bauhaus movement reveals a different perspective, highlighting how “symbolic knowledge innovation” - the creation of new cultural or aesthetic ideas - can be cultivated in the periphery through collaboration, resourceful improvisation, and creative experimentation. 

The Bauhaus, launched in the small cities of Weimar and Dessau in Germany in 1919, transformed art, architecture, and design. It was more than an artistic movement; it was an example of how symbolic knowledge innovation, spurred by local and global networks of artists, manufacturers, and policymakers, can redefine the possibilities for economic and cultural growth in the periphery.  

Here, we unpack the lessons learnt from the Bauhaus and offer policy recommendations that can help today’s peripheral regions leverage their unique position to drive creative innovation. 

Understanding symbolic knowledge innovation in the periphery 

Symbolic knowledge innovation differs from other forms of knowledge creation. It thrives on cultural meaning, local connections, and face-to-face interactions. Symbolic knowledge innovation does not rely on codified research or engineering-driven solutions; rather, it focuses on the potential of ideas, aesthetics, and values, making it particularly valuable in creative industries like design and the arts.  

Symbolic knowledge drives innovation and growth within the creative industries, contributing to income generation across various regions. Creative industries are projected to grow further due to trends towards the emerging ‘experience economy’. This growth has the potential to benefit peripheral regions not only by driving economic growth through the creative industries, but also by enhancing the region’s identity, helping to attract talent and investment. 

This type of innovation is often localized and context-specific, which means that peripheral areas can provide a fertile ground for developing new aesthetic standards and cultural practices.   

In the case of the Bauhaus, symbolic knowledge innovation developed in three phases: 

  • Idea generation and articulation - The early Bauhaus faculty collaborated to create a novel artistic curriculum that emphasized unity between arts and crafts. This phase required a supportive environment where ideas could flow freely. 

  • Development of artefacts - Through creative experimentation, the Bauhaus produced pioneering designs and architectural forms, making use of the limited resources available in Weimar and Dessau. 

  • Commercial success - Finally, the Bauhaus gained traction beyond its regional confines as its artefacts, like the iconic Wassily chair, found acceptance in global markets, establishing it as a force in modernist design. 

Lessons from Bauhaus: policy recommendations for peripheral regions 

Drawing from these findings, here we provide policy lessons that policymakers in peripheral regions can use to drive symbolic knowledge innovation: 

1. Encourage local collaboration and cross-disciplinary exchange 

The success of the Bauhaus hinged on the interplay of diverse actors - artists, craftsmen, educators, and local authorities - who together fostered a supportive ecosystem for innovation. Local governments can nurture similar networks by creating “innovation hubs” where individuals from various creative and cultural fields can collaborate and share ideas. These spaces should encourage cross-disciplinary exchange, allowing individuals from diverse backgrounds to contribute to new aesthetic and cultural practices.  

Policymakers can establish regional art and design incubators that provide facilities, resources, and networking opportunities for local creatives and innovators to exchange ideas and experiment with new forms of symbolic knowledge. 

2. Leverage bricolage: making the most of limited resources 

One key to symbolic knowledge innovation is “bricolage” - the resourceful improvisation that comes with limited means. The Bauhaus excelled in making use of what was available, creatively adapting to their environment. Peripheral regions can benefit from this mindset by encouraging institutions and individuals to innovate with local materials, skills, and knowledge. 

Policymakers can support flexible funding models for projects that use local resources, enabling small and medium enterprises to experiment and innovate. For example, the Back to Baselines project in Circular Fashion & Textiles (B2b F&T), is a multi-disciplinary research project led by the University of Leeds and funded by the Natural Environmental Research Council, Arts and Humanities Research Council and Innovate UK. This work is seeking to establish a baseline of sustainable practices and eco-standards so that the UK fashion and textile sector transitions towards environmental sustainability.  

3. Cultivate “knowing communities” beyond borders 

The Bauhaus thrived partly due to its connections with a "knowing community" - an extended network of international artists, intellectuals, and policymakers. These global relationships provided valuable validation and exposure. Peripheral regions can build similar networks by fostering partnerships with educational institutions, art associations, and creative firms in core regions and globally. 

Policymakers can create regional programmes that facilitate artist residencies, exchange programmes, and collaborations between local creatives and their international counterparts. These programmes can establish credibility, attract attention to local innovation, and foster symbolic knowledge spillovers. 

4. Develop targeted educational programs for symbolic knowledge fields 

The Bauhaus school’s curriculum emphasised a balance between theory and practical application, making it a hotbed for creative learning and innovation. Similarly, educational institutions in the periphery can become centres for symbolic knowledge by offering programmes that focus on art, design, and cultural studies, integrated with hands-on experience. 

Policymakers can encourage regional universities to introduce or expand programmes that merge theory with applied practice in the arts and cultural industries. Supporting partnerships with industry practitioners can also provide students with a deeper understanding of symbolic innovation. 

5. Promote the region’s unique identity in creative markets 

The symbolic value of Bauhaus artefacts was not just in their design but in the movement’s origin story and philosophy. Peripheral regions should focus on what makes them unique and use that distinctiveness as part of their branding in the creative market. This can help build a local cultural identity that resonates with national and international audiences. 

Policymakers can develop branding and marketing strategies that highlight the region’s unique cultural heritage and innovation story. Engage local creatives to participate in national and international exhibitions that showcase their work under the regional banner. 

Transforming peripheral regions through creative innovation 

The Bauhaus story shows us that peripheral regions, often dismissed as isolated or under-resourced, hold immense potential for creative innovation. By fostering symbolic knowledge through local collaboration, resourceful experimentation, and global connections, peripheral regions can build a vibrant creative economy that not only enriches the local community but also contributes to global cultural landscapes.  

The Bauhaus legacy reminds us that innovation is not confined to core centres - it can thrive anywhere where ideas are nurtured, resources are creatively employed, and communities come together to innovate. 


Read the journal article: Symbolic knowledge innovation through bricolage in the periphery: the Bauhaus movement, Effie Kesidou, Emmanuella Plakoyiannaki and Janja Annabel Tardios, Journal of Economic Geography, https://doi.org/10.1093/jeg/lbae010 

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