The transformational role of a third actor within the Triple Helix Model – the case of Palestine

Abstract

Countries differ in terms of the effectiveness of their innovation ecosystem. The Triple Helix Model (THM) is useful in describing and analyzing the impact of the key actors in the national innovation system on the innovation performance of the industrial firms. The impact of Triple-Helix relationship on the firms’ innovativeness is measured using Ordinary Least Square (OLS) regression models. The results showed that industrial collaboration with every single actor as per the THM is weak and its impact on the ability of the industrial firms to innovate is not significant. However, this relationship becomes significant in the presence of the three key THM actors for all types of innovation except organizational innovation. In general, the sectors, the working environment, size of firms, and their ability to export are significant predictors of firms to innovate. Therefore, there is a need to promote trio relationships through an active government role.