Open, distributed and user-centered: Towards a paradigm shift in innovation policy

Today's innovation policies ignore that innovation is increasingly open, distributed and user-centered. In this paper we introduce the user-centered model as an alternative paradigm of how innovation 'works'. We discuss how it differs from traditional, linear producer-centered model, argue why it is legitimate to develop policies in support of it, and provide specific directions. �

Entrepreneurial Ventures and the Developmental State: Lessons from the Advanced Economies

A basic intellectual challenge for those concerned with the poverty of nations is to come to grips with the nature and causes of the wealth of the world?s wealthier nations. One might then be in a position to inform the poorer nations how they might achieve similar outcomes. This paper is organized around what I call ?the theory of innovative enterprise?, a perspective derived from the historical and comparative study of the development of the advanced economies. The theory of innovative enterprise provides the essential analytical link between entrepreneurship and development. Section 2 offers, as a point of departure, a contrast between entrepreneurship in rich and poor nations. Section 3 outlines the theory of the innovating firm in which entrepreneurship has a role to play. Section 4 identifies the roles of entrepreneurship in new firm formation in terms of the types of strategy, organization, and finance that innovation requires, and emphasizes the ?disappearance? of entrepreneurship with the growth of the firm. In Section 5 I argue that, in the advanced economies, successful entrepreneurship in knowledge intensive industries has depended heavily upon a combination of business allocation of resources to innovative investment strategies, and government investment in the knowledge base, state sponsored protection of markets and intellectual property rights, and state subsidies to support these business strategies. One cannot understand national economic development without understanding the role of the developmental state. At the same time, the specific agenda and ultimate success of the developmental state cannot be understood in abstraction from the dynamics of innovative enterprise. It is through the interaction of the innovative enterprise and the developmental state that entrepreneurial activity inserts itself into the economic system to contribute to the process of economic development.entrepreneurship, innovative enterprise, developmental state

The paradox of high R&D input and low innovation output: Sweden

This chapter takes its point of departure in the so-called Swedish paradox, according to which the Swedish NSI is plagued by low pay-off in relation to very high investments in R&D and innovation efforts. Using new data, we show that this paradox is still in operation, i.e. the productivity or efficiency of the Swedish NSI remains low. We also specify the paradox in several respects. By focussing upon nine activities in the NSI, we attempt to explain why and how the paradox operates. The paradox is also related to the moderate growth of labour productivity in Sweden. Further, we show that the paradox is linked to globalization: internationalization of production by Swedish firms has proceeded further than the internationalization of R&D. On the basis of this analysis, we identify strengths and weaknesses of the Swedish NSI – many of which are related to the Swedish paradox. We take account of the history of innovation policy in Sweden and – on the basis of the analysis as a whole -- we identify future policy initiatives that might help to mitigate the Swedish paradox.Innovation; innovation system; Swedish national system of innovation; Swedish paradox

Institutional environment, innovative entrepreneurial entry and venture capital financing

We analyse the determinants of high growth expectations entrepreneurial entry (HGE) using individual data drawn on working age population, based on the Global Entrepreneurship Monitor (GEM) surveys for the 1998-2004 period. Individual level explanatory variables are combined with country-level factors. Our results suggest that availability of venture capital and intellectual proper rights protection are strong predictors of HGE. In addition, we also find that innovative start-ups are associated with highest growth expectations in countries with extensive supply of venture capital and strongest intellectual property rights. Once we introduce venture capital, we detect no significant effects of other elements of financial systems on high-powered entry

Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs

The performance implications of innovation in small and medium-sized enterprises (SMEs) have attracted considerable interest among academics and practitioners. However, empirical research on the innovation–performance relationship in SMEs shows controversial results. This meta-analysis synthesizes empirical findings in order to obtain evidence whether and especially under which circumstances smaller, resource-scarce firms benefit from innovation. We find that innovation–performance relationship is context dependent. Factors such as the age of the firm, the type of innovation, and the cultural context affect the impact of innovation on firm performance to a large extent

Global Entrepreneurship Monitor 2009 The Netherlands

The Global Entrepreneurship Monitor (GEM) is a research program executed annually with the aim to obtain internationally comparative high quality research data on entrepreneurial activity at the national level. This academic research consortium started as a partnership between the London Business School and Babson College in 1999 and started with 10 participating countries in this same year. Over the years GEM has expanded to comprise 54 countries in 2009. Currently, GEM is the single largest study of entrepreneurial activity in the world. The GEM research program provides a harmonized assessment of the level of national entrepreneurial activity and conditions to which it is subject for all participating countries. The Netherlands has participated in GEM since 2001.

Entrepreneurship and Innovation Strategies in ICT SMEs in Enlarged Europe (EU25)

Innovation strategies of entrepreneurs are mapped with growth and performance of their firms in this study. Findings of the study are based on the data collected from 1238 small ICT firms located in 25 member states of European Union. The survey was conducted during October 2006 and March 2007. Results of Logit analysis suggest that firms that pursued continuous innovation strategies experienced more employment growth, higher profitability, and better sales dynamics than those that adopted occasional innovation approach. Market growth of continuous innovating firms realized faster pace than other type of firms. Another distinguishing characteristic of two types of firms emerged is market preference. Target market of continuous innovating firms has been European or global markets while innovative activities of other firms targeted domestic market. The study concludes that European innovation policies should be focused towards continuous innovation activities with due attention at human resource development policies.dynamic capabilities, continuous innovation, occasional innovation, competitiveness, human resources, internationalization

Entrepreneurship and Economics

This paper has as objective to show the relationship between the Entrepreneurship and Economics and in this work we have the opportunity to verify the impact of entrepreneurial activity on competitiveness of a country, and I used as example whose countries considered for studies edited by Global Entrepreneurship Monitor (GEM). We concluded that the relationship between Entrepreneurship and Economics is and will be always strong on measure that entrepreneurship is important to growth and development of the Nations, principally in the countries with strong necessities of that, to improve their life conditions, high their wealth, everything essential for their economic development.Keywords: Entrepreneur; Entrepreneurship; Economics

CUSTOMER-CENTRIC INNOVATION: CASE OF OMAN ENTREPRENEURSHIP

Purpose: The objective of the study is to explore the concept of customer-centricity in Oman and to analyze the challenges of implementing customer-centric innovations, and the strategies in building momentum for the customer-centricity.  Design/methodology/approach: For carrying out the research study, the concept of customer-centric innovation and the current practices by selected top companies of Oman were considered. Findings: The finding of the empirical study reveals that the organizations in Oman are finding the way to transition from its existing customer-centric approach to a more innovative and technology aligned strategy, keeping the core strategies in place that are focused on operational issues. Practical Implications: Only a few notable organizations in the country are very open about their initiative to improve customer interaction. It is apparent that organizations in the country are still yet to realize the importance of building core strategies that put customers in the middle. Companies in Oman can drive growth by means of business process improvement that will attract more customers and building stronger business-customer relationships. Social Implications: There are several ways in which innovation can be integrated into customer-centricity. The technologies available today provide the best tools for improving customer interaction. Originality/value: No study has investigated before the customer-centric innovation in Oman, and this study will help the organizations especially Small and Medium Enterprises (SMEs) to plan their strategies accordingly