There are competing views in the literature about the influence of the level of geographical and cognitive proximity on the level of innovation. Many scholars agree that geographical proximity has a positive influence on the level of innovation. However, recent publications have criticised the importance of geographical proximity for innovation. They state that the current communication technologies (f.e. internet, e-mail) have the capacity to destroy' the distance between organizations. There is also a debate in the literature about the optimal cognitive distance between organizations. Hence, these competing views in the existing scientific literature ask for in-depth research about these topics.