Challenges and opportunities in the ‘business-education-science’ system in the context of innovation development: cluster analysis

Abstract

The purpose of this article is to characterise challenges and opportunities in the ‘business-education-science’ system in the context of innovation development based on cross-country cluster analysis. The article examines the relationship between science, education and business and their mutual influence on modern society. The main challenges facing science, education and business are considered, and opportunities for cooperation between these fields to overcome them are identified. Key factors that influence the effectiveness of scientific research, the quality of education, and the success of business are also determined, with an emphasis on the important role of cooperation in the ‘business-education-science’ system in ensuring their impact. To reach article’s purpose, a complex methodology was applied, which includes the following stages: collection of information about the current state of science, education, and business; a review of expert opinions and analytical reports on the problems of the interaction of science, education and business; methods of cross-country cluster analysis using STATISTICA 10 software (the k-Means method, the square of the Euclidean metric, etc. for a comparative analysis between 19 countries from a sample to find out which of them have better indicators in the respective fields). The statistical base is formed from the European Union and the WIPO data, which cover 10 key indicators in the context of the development of science, education and business and their affect the country’s competitiveness in the global world. As a result, there are two formed clusters: the first includes the USA and China that have the highest level of education-science-business development and the second cluster includes other countries from the sample with a less developed education-science-business sector. For these countries the recommendations have been developed to strengthen their education-science-business sector, in particular: creating favourable conditions for investing in science and business, attracting talented scientists, and supporting their activities, increasing allocations for education, and improving the quality of education, strengthening partnerships between universities and enterprises to create innovative projects and other activities. The obtained results can be useful for further research and for making managerial decisions at different levels of government in the context of innovation development, including through the strengthening of coopetition between business, education, and science.