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2016/2017  KAN-CCMVV2506U  Business in Smart Cities: Value Creation in Urban Innovation Environments

English Title
Business in Smart Cities: Value Creation in Urban Innovation Environments

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration One Quarter
Start time of the course First Quarter
Timetable Course schedule will be posted at calendar.cbs.dk
Max. participants 70
Study board
Study Board for MSc in Economics and Business Administration
Course coordinator
  • Jan Annerstedt - Department of Operations Management (OM)
Kontaktinformation: https:/​/​e-campus.dk/​studium/​kontakt eller Contact information: https:/​/​e-campus.dk/​studium/​kontakt
Main academic disciplines
  • Innovation
  • Management
  • Strategy
Last updated on 06-04-2016
Learning objectives
To achieve the grade 12, students should meet the following learning objectives with no or only minor mistakes or errors:
  • Intangible asset management: Course participant will be equipped with analytical skills for managing intangible assets in urban business contexts. The student awarded the highest mark should be able to apply a limited number of key concepts, analytical approaches and theories for value creation by using intangible assets (such as organizational leadership and access to urban business systems).
  • Innovation economics: Critically reflect on the growing body of knowledge on smart city development through innovation, entrepreneurship and city-based business development. He or she will know how cities can be defined in economically functional terms rather than in spatial terms only. The participant should be able to engage in an evidence-based discourse on urban business development.
  • Policy analysis: As future manager the student will be able to understand policies by city governments that benefit from interactions with business enterprises such as real estate developers, with managers at universities and R&D centers, with civic institutions and organized interest groups among citizens.
  • Practical insights and know-how: The student will explore case studies on electromobility (with related infrastructure), city logistics, urban resilience strategies and alternative resource consumption. Examples provided are ICT-based solutions for mutual urban planning; Big Data for managing energy, water and waste; and design and prototyping of new citizens’ services.
The Business of Smart Cities: Value Creation in Urban Innovation Environments:
Exam ECTS 7,5
Examination form Oral exam based on written product

In order to participate in the oral exam, the written product must be handed in before the oral exam; by the set deadline. The grade is based on an overall assessment of the written product and the individual oral performance.
Individual or group exam Oral group exam based on written group product
Number of people in the group 2-4
Size of written product Max. 10 pages
Definition of number of pages:
Groups of
2 students 5 pages max.
3-4 students 10 pages max

Students who wish to have an individual exam might be able to write a term paper in the course. Please see the cand.merc. rules for term papers for more information.
Assignment type Synopsis
Written product to be submitted on specified date and time.
15 min. per student, including examiners' discussion of grade, and informing plus explaining the grade
Grading scale 7-step scale
Examiner(s) Internal examiner and second internal examiner
Exam period Autumn
Make-up exam/re-exam
Same examination form as the ordinary exam
Re-take exam is to be based on the same report as the ordinary exam:

* if a student is absent from the oral exam due to documented illness but has handed in the written group product she/he does not have to submit a new product for the re-take.

* if a whole group fails the oral exam they must hand in a revised product for the re-take.

* if one student in the group fails the oral exam the course coordinator chooses whether the student will have the oral exam on the basis of the same product or if he/she has to hand in a revised product for the re- take.
Course content and structure

This course is on business development, social and other entrepreneurship, and innovation environments in cities. Special attention is put on so-called ‘smart cities’ adapting to digital technology solutions. The ‘smart city’ notion has displaced ‘sustainable city’ and ‘digital city’ as the words of choice to denote advanced urban infrastructure based on mobile and fixed information and communications technology (ICT).


Smart cities evolve along with business-driven value creation through the intermediation of public-private partnerships, cross-sectoral collaboration, city-led “open innovation” marketplaces for public services and other modes of governance. More generally, ICT applications empower consumers in the urban marketplace as well as citizens in the wider society. The course participants will be introduced to a series of smart city business cases at the level of the firm, at the level of the city or of the city district as well as at the regional level.


Special attention in the course will be placed at new collaborative spaces within the urban fabric. Increasingly, a rising number of startups and innovative firms, along with entrepreneurs and young professionals, congregate in compact, resourceful enclaves in the smart city. They tend to co-locate with other firms, R&D labs and universities in order to share ideas, co-produce new solutions and engage in “open innovation” activities.


Third Generation Science Parks, business incubators and dedicated urban innovation districts are organized manifestations of mega-trends altering the location preferences of people and firms more to the center of the city. Science parks across Europe are being urbanized and moved to central city areas.


Within such urban contexts, the course participants will explore business firms and entrepreneurial organizations that master intangible assets (‘hidden resources and capabilities’) when shaping strategy, managing innovation and incremental change for the purpose of creating value.


This course represents a contribution also to the ‘science of cities’, which is emerging as an inter-disciplinary field of study and related business practices. New concepts, models and analytical approaches are being tested against an increasingly complex economic reality.


From a management perspective, the course participants will be offered a variety of analytical approaches to identify, measure and assess intangibles in business firms and other organizations and in collaborative networks among companies. We will discuss how to put intangibles into effective use, thereby also promoting more ‘knowledge-intensive’ or ‘intelligent’ organizations to succeed in a swiftly changing urban environment, which could be highly competitive and well-connected to world markets. Emphasis is put on methods of managing intangible resources and capabilities in large corporations and in public institutions as well as in small and medium-sized business enterprises, including start-up firms.


Moreover, the course is practical in orientation by the exploration of case material from comparative studies of firms and supporting institutions in different types of innovation districts in cities on three continents. Case material is drawn from smart city business environments in Barcelona and Milano, Copenhagen and Stockholm, London and Birmingham, Shanghai and Shenzhen, Chengdu and Harbin, Singapore and Saigon, Boston and New York. Here, ICT companies are investing heavily in the development of technology advancing new smart city services. In these cities, many enterprises tend to take a great interest in their locally based and globally networked markets. 

Teaching methods
Teaching format, course elements and learning methods:

The course pools several types of learning activity. It is based on individual readings and combines lectures with group work and plenary discussions, plus case presentations. Workshop activities connected with the plenary sessions are essential for reaching the learning objectives of the course. When case presentations are discussed, the students will be able to introduce their own project ideas and draft documents that could be edited into a synopsis for the individual examination.

The course builds on continuous interaction during the course period of eight weeks with other CBS teachers, external experts and resource persons from business and the public sector.

Quality enhancement:

Course participants will benefit from a quality assurance approach, developed at the CBS to make this course more relevant and adaptive to changing student demands. An elected group of course participants will support the course coordinator and the lecturers in securing a high level of quality and relevance of the contents of the course. The work of the quality assurance group (which meets briefly every week – immediately after class) will be pro-active and benefit from the flexible course organization. The quality assurance group should influence positively also the week-by-week planning of the joint course work.
Student workload
Readings and other preparations, incl. writing of the synopsis 125 hours
Session participation and follow-up 65 hours
Exam, incl. preparations 16 hours
Expected literature

Examples of readings:


Expected literature:


Ahrend, R. et al (2014). What Makes Cities More Productive? Paris: OECD Regional Development Working Papers 2014/05.


Amin, A. & Thrift, N. (2002). “Cities in a distanciated economy”, Chapter 3 in Amin, A. & Thrift, N. Cities: Reimagining the Urban, Cambridge: Polity, pp 51-77.


Annerstedt, J. (2006). ”Science Parks and High­Tech Clustering” in the International Handbook of Industrial Policy. Ed. by P. Bianchi & S. Labory. Cheltenham, Edward Elgar: pp. 279­297.


Bakhshi, H., A. Freeman & P. Higgs, D. J. (2013). A Dynamic Mapping of the UK’s Creative Industries, London: NESTA.


Bason, C. (2010). “Organising for innovation”, Chapter 5 in Bason, C.: Leading Public Sector Innovation: Co-creating for a Better Society, Bristol: Policy Press, pp. pp 87-113.


Batty, M. et al (2012). “Smart cities of the future”, London: University College London (Centre for Advanced Spatial Analysis Working Papers Series: Paper 188). Selected pages.


Deakin, M. & Al Waer, H. (2012). “From intelligent to smart cities”, Chapter 2 in Deakin, M. & Al Waer, H. (ed): From Intelligent to Smart Cities, London: Routledge, pp. 8-20.


Deloitte (2013). Shift Index Methology. San José, Deloitte Center for the Edge.


Fernandes, J. R. & P Chamusca (2014). Urban policies, planning and retail resilience, Cities 36, pp. 170–177.


Glaeser, E. (2005). Reinventing Boston: 1640-2003, Journal of Economic Geography, 5, pp. 119-153.


Glaeser, E. (2011). “How do cities succeed?” Chapter 9 in Glaeser, E: Triumph of the City, New York: Penguin, pp. 223-246.


International Integrated Reporting Council (2013). The International <IR> Framework, London: IIRC.


Kaplan, R. S. and D. P. Norton (2004). Strategy Maps: Converting Intangible Assets into Tangible Outcomes. Boston, Harvard Business School Press. Selected pages.


Katz, B & J. Wagner (2014). The Rise of Innovation Districts: A New Geography of Innovation in America, Washington DC: Brookings.


Komninos, N. (2013). “What makes cities intelligent? in Deakin, M. (ed). Smart Cities; Governing, Modeling and Analysing the Transition, London: Routledge, pp. 77-95.


Krugman, P. (1996). The Self-Organising Economy, Oxford: Blackwell. Selected pages.


Landry, C. & J. Hyams (2012). The Creative City Index, London: Comedia.


Le Gales, P. (2002). “Cities as incomplete societies: Actors and regulations”, Chapter 6 in Le Gales, P: European Cities: Social Conflicts and Governance, Oxford: Oxford University. Press, pp. 183-226,


Mortensen, J et al (eds) (2012), Danish Smart Cities: Sustainable Living in an Urban World. An Overview of Danish Smart City Competencies, Copenhagen: Copenhagen Capacity & Copenhagen Cleantech Cluster.


Mumford, L (1961). “Commercial expansion and urban dissolution”, Chapter 14 in Mumford, L: The City in History: Its Origins, Its Transformations, and Its Prospects, San Diego: Harcourt, pp. 410-445.


Paolo Neirotti, P et al (2014). “Current trends in Smart City initiatives: Some stylised facts”, Cities 38 (2014) 25–36.


Porter, M. (1995). “The Competitive Advantage of the Inner City”, Harvard Business Review, 73 (3), pp. 55-71.


Rosenberg, D (2002). “Tel Aviv, Israel”, Chapter 6 in Rosenberg, D: Cloning Silicon Valley: The Next Generation High-Tech Hotspots, London: Pearson, pp. 101-122.


Last updated on 06-04-2016