National innovation systems Sub-regional seminar on the commercialization and enforcement of intellectual property rights Skopje, Macedonia 1 - 3 April 2009 1 Today’s presentation Innovation Facts Innovation and growth Innovation process National innovation systems Innovation actors Role of the state in the NIS Innovation supportive infrastructure Innovation policy instruments Future challenges 2 Innovation facts Innovation is an old phenomenon Humans tend to think about new and better ways of doing things and try them out in practice 3 Innovation and growth Innovation is essential for a country’s competitiveness Innovations can become products that drive growth Institutions are important for the support of innovative activities 4 Innovation – non-linear process Basic research Need for new knowledge New knowledge Applied research Desired new product characteristics Application of knowledge to specific subject Development Development of products Commercialization Market feedback (desired product alterations) 5 Complexity of the innovation process Overlap between basic and applied research, as well as between development and commercialization Principal investigators, patents and processes are mobile (not company dependent) Unexpected outcomes 6 Complexity of the innovation process – Cont. New knowledge creation Universities Academy of science Universities Application of knowledge into new products Academy of science Innovative enterprises Innovative enterprises Commercialization of products Particularized companies 7 Complexity of the innovation process – Cont. Invention Innovation Different stages and different actors need different support 8 Complexity of the innovation process – Cont. Inventions need specific demand, production capabilities, inputs, complementary inventions and innovations to succeed at the innovation stage 9 National innovation systems National innovation systems – different institutions and their interaction (technical, commercial, legal, social, and financial), which influence the innovation process and give direction of the technological changes in the society. Differs for different countries Need to be flexible, adjust to the needs of the society 10 Innovation actors 11 Role of the state in the NIS States need to create the framework conditions for incentives for innovation With efficient instruments there can be strong support with less state investments Direct support assumes non-existence of information asymmetry let the market make the decision 12 Innovation supportive infrastructure Higher education system (supply of labor) Knowledge intensive business services IPR Enforcement Supply of knowledge Entrepreneurship friendly environment Local, regional and international interaction possibilities 13 Innovation supportive infrastructure - Protection of IPR and Innovation Incentive for innovation Knowledge transfer Efficiency of the investments Costs of IP protection (efficiency losses from support of innovation, double investments in R&D) 14 Innovation supportive infrastructure - Innovation supportive culture Adoptive capacity Freedom for experimenting Entrepreneurship supportive environment 15 Innovation supportive infrastructure - Role of the universities Teach next generations Conduct research Commercialize Provide: • • • • A return to public investments in research A source of new companies and jobs Justification for new research allocations Services to companies within the innovation ecosystem (clusters) 16 Innovation supportive infrastructure - S&T Parks Provide infrastructure Encourage entrepreneurial culture, research cooperation and public support for research Attract industry and promote regional development 17 Innovation supportive infrastructure - Financing innovation Potential investors do not have perfect knowledge, information asymmetry for new innovative ideas Institutions for innovation financing (exp. venture capital) 18 Innovation supportive infrastructure - SMEs Importance of the SMEs – small companies can drive high-tech innovation Knowledge intensive SMEs SMEs support: • • • • • • • • • • information on financing possibilities creation of business plans improvement of the SMEs infrastructure implementation and coordination of SMEs support organizing networking education and trainings consulting services support for knowledge transfer management and marketing research R&D support 19 Innovation policy instruments IPR enforcement Technology Transfer Technology parks and centers Networks Support for financing Marketing/promotion support 20 Future challenges Stronger NIS Learn from each other Regional Innovation systems Cooperation, cooperation, cooperation 21 THANK YOU
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