The efficiency of eco-innovation activities in EU countries. The DEA approach

Abstract

RESEARCH OBJECTIVES: Innovation is a significant factor in socio-economic development, and it is principal in achieving a competitive advantage among enterprises, regions, and countries. The purposes of this paper are: (1) to present, on the basis of the available literature, the essence and metrics of eco-innovation activities in EU countries, (2) to analyze the effectiveness of eco-innovation activities in EU countries using the Data Envelopment Analysis (DEA) method.
 THE RESEARCH PROBLEM AND METHODS: The research primarily focuses on a review of the recent literature and an analysis of the efficiency of eco-innovation activity using the DEA method. The empirical analysis is based on the Eco-innovation Scoreboard.
 THE PROCESS OF ARGUMENTATION: The analysis mainly determines the efficiency of eco-innovation. The theoretical basis for the considerations is a diagnosis of the existing state of eco-innovation in EU countries.
 RESEARCH RESULTS: The results illustrate the efficiency of eco-innovation activity in some EU countries against the backdrop of other EU countries. The analysis of eco-innovation activities and strategies to support them in the EU countries presented in this study is based on a diagnosis of the current state of their economies in this area using the methods of DEA and literature review. The results of this research enable us to draw concrete conclusions on the efficiency of eco-innovation activities.
 CONCLUSIONS, INNOVATIONS, AND RECOMMENDATIONS: The results of the Eco-innovation Scoreboard for these countries illustrate an inefficient use of materials, water and energy resources, as well as low resource productivity. The gaps in this scope between Central-Eastern and Western EU countries are diminishing, but there are still institutional, legislative, and economic shortcomings in eco-innovation that should be addressed. The analysis indicates the level of eco-innovation development in EU countries, its efficiency, and the potential for supporting activity in this field by these countries.