Efficiency Of National Innovation Systems Research Articles

Performance and efficiency of national innovation systems: lessons from the wine industry

Performance and efficiency of national innovation systems: lessons from the wine industry

The Efficiency of National Innovation Systems in Post-Soviet Countries: DEA-Based Approach

The efficiency of the national innovation system (NIS) is widely considered to be the most important factor of innovation-based economic growth. Using the wide spectrum of different metrics for measuring the efficiency of NIS, modern studies focus mainly on high-income or upper-middle-income countries, while the effectiveness of the NIS in post-Soviet countries has not been studied enough. The post-socialist transformation has led to different models of economic development in these countries, which can be divided into three groups: a group with developed European institutions, a group with a focus on the European path of development, and, finally, a group of countries with an economic model of “state capitalism”. These models formed the trajectory of innovative development. The main purpose of this study is to compare the performance of NIS in post-Soviet countries and to find out whether differences between development institutions can help explain differences in the performance of NIS. The study applies the DEA methodology and considers NISs as homogeneous economic agents, which transform the same types of inputs (knowledge gained using human and financial resources) into the same types of positive outcomes (innovative products and services). The results of a study conducted on data for the period 2011–2018 show that there is no evidence to support the hypothesis that EU institutions or the type of economic model of the country directly relate to the effectiveness of the NIS. The example of Kazakhstan shows that NIS can be effective, even with strong state intervention in the economy. Taken together, the results of the paper suggest that the structure of R&D expenditures by sources of funding and types of research plays an important role in the formation of effective NIS.

Efficiency evaluation of BRICS\u2019s national innovation systems based on bias-corrected network data envelopment analysis

The very limited studies that tried to measure the efficiency of national innovation systems (NISs) in BRICS economies were limited to the assumption that the innovation process at national level consists of one stage only and got different and conflicting results. Therefore, this study endeavours to measure the efficiency of sub-processes within the BRICS’s NISs and identify where the system failure lies in each NIS. Bias-corrected network data envelopment analysis (DEA) is used to measure the efficiency of total NIS and the efficiency of the other sub-processes within the system: (1) knowledge production process (KPP), and (2) knowledge commercialization process (KCP). The results showed that NISs in BRICS economies suffer from low performance in commercializing their outputs of universities and research organizations. While, on the other hand, their performance in creating scientific and technical knowledge is good in comparison to other studied countries. We suggest that the reason behind this imbalance is the network system failure associated with weak institutions and high uncertainty in the economy. In this study, we argue that the problem in BRICS NISs is not a problem of resources, but it is a problem of system management and institutions. Some bridging policies are suggested to be adopted by BRICS economies to improve their innovation performance and overcome the system failure of weak links between universities and industry.

National innovation system as the basis of the country economic growth

The need to development a national innovation system as a basis for economic growth was substantiated at the theoretical and empirical levels in the article. Within this goal, theories of economic growth were considered , the place of innovations in them was revealed, the concept of national innovation systems was study, the impact of the national innovation systems efficiency on the level of economic developmentidentify was identified. Theoretical models and results of empirical research show that the main strategic factors of long-term economic growth are innovations and their determining factors. In turn, economic growth on an innovation basis requires the creation of appropriate institutional structures, which are united by the concept of national innovation systems. The efficiency of national innovation systems is assessed and its impact on the level of economic development of European countries is revealed. The efficiency of the national innovation system of Ukraine is very low, amounting to 35.4 % of the European average. For Ukraine, there is a connection: low efficiency of the national innovation system → low level of innovation activity → low level of GDP per capita. Not a high level of economic development, in turn, impairs the efficiency of the national innovation system, there is a «trap» of inefficiency. This requires the formation and implementation of a scientifically sound set of measures at the state level to get out of the «trap». Such measures include the following recommendations: establish the indicator of knowledge intensity of GDP as the most important macro indicators of strategic economic development, recognize the financing of science as the most important priority of financing policy; stimulate private investment in research and innovation, expand initiatives such as the formation of venture funds to increase private investment and long-term capital; create a reliable national regulatory framework; simplify state aid rules in the field of science and innovation, especially for small businesses, use common evaluation standards for research and innovation projects; recognize the key role of higher education in providing promising skills and compe- tencies for the successful implementation of innovations, stimulate research in universities; support innovation cooperation.

Assessing the efficiency of national innovation systems in developing countries

Abstract Despite the growing importance of developing countries to the global economy and their increasing role in innovation, limited academic attention has been given to the national innovation systems (NIS) of these countries. Given that they commonly suffer a lack of resources, efficiency in the operation of innovation seems crucial. This study aims to assess the innovation efficiency of developing countries. Breaking down the NIS into two stages, knowledge production and application process, we additionally introduce the knowledge absorption perspective in the latter stage as the consideration for the context of developing countries. Based on the results of the efficiency assessment, clustering analysis is implemented to identify several typologies of the operation of NIS in developing countries and to provide implications for each case. This study will constitute a meaningful attempt to provide a general understanding of innovation status and operations in developing countries, thereby suggesting policy directions for several cases.

Rozdiely v efektívnosti inovačných systémov Slovenska a vybraných krajín Európskej únie

The aim of the paper is to identify differences in innovation efficiency of national innovation systems of Slovakia and selected countries of the European Union (Austria, Belgium, Bulgaria, the Czech Republic, Estonia, Germany, Romania and Sweden) in the period 2006-2015. The relative efficiency model applied uses a non-parametric method known as data envelopment analysis (DEA) in a super-efficiency version with a constant-returns-to-scale technology and input orientation. The data selection is based on innovation indicators and methodological aspects of the model. The authors discovered that Austria and Germany achieved an efficient score for technological efficiency, Belgium, Estonia, Romania and Slovakia for economic efficiency, and only Austria for overall efficiency. The research identifies peers for Slovakia among all the EU countries at all levels of efficiency, provides several recommendations for improvement and also confirms the existence of small countries' resulting bias.

INFLUENCE OF DEVELOPMENT OF NATIONAL INNOVATION SYSTEMS ON THE ECONOMIC EFFICIENCY

Development of modern economic system is taking place based on the concept of “knowledge economy”. And thus the main method to stimulate economic development is to introduce innovations. Within the functioning of national innovation systems, there is the integration of science, education, capital, and production that, on the one hand, allows creating innovations and, on the other, stimulates the development of the economy precisely due to the formation of the synergetic effect of cooperation of many participants of innovative process. The subject of research is the interrelation of innovative activity with economic efficiency and economic growth at the macrolevel. Therefore, the purpose of the research is to evaluate influence of development of national innovation systems on the economic efficiency, and a number of tasks are carried out in order to achieve it: development of integrated indicators to evaluate operating efficiency of national innovation systems, identification of relationship between the level of development of national innovation systems and the level of economic development of countries, evaluation of development of individual national innovation systems, and determination of influence of the level of national innovation systems’ development on the economic growth of countries. The methodology of research of influence of development level of national innovation systems on the economic growth of countries is based on building integral indices, which are calculated by using the method of geometric average of partial indices and construction of regression models, which allow evaluating the influence of development of national innovation systems on the economic efficiency. In the paper, the author’s method of forming integral indicator to evaluate the level of development of national innovation systems is developed and a method of evaluating their influence on the economy is proposed. Testing of the methodology of evaluation of national innovation systems’ development is carried out based on data of national innovation systems of six countries: Ukraine, Great Britain, Latvia, Germany, Poland, and France. The work proves the existence of a close positive interrelation between the index of national innovation systems’ development and the index of GDP per capita, which is peculiar for all countries under study. Also, there are built regression models according to data of calculation of the index of national innovation systems’ development and its elements with a quite high reliability, which allows using them in order to forecast GDP per capita under conditions of national innovation systems’ development. Moreover, the paper identifies individual features of the influence of separate directions of the functioning of innovation systems on the level of economic development of the countries under study, which provides an opportunity to conduct strategic management for separate directions of the functioning of national innovation systems.

Efficiency of National Innovation Systems – Poland and Bulgaria in The Context of the Global Innovation Index

The purpose of this paper is to explain how national innovation systems may transform innovation input into innovation output in different counties. Using the Global Innovation Index (GII) we discuss what can be understood by the term ‘innovation’ and how it is translated into the national level. The research question is founded on the assumption that the higher the innovation input, the higher the innovation output attained by a country. We use cluster analysis to verify our assumption, referring to a total of 228 countries. Afterwards we conduct a more in‑depth analysis of two cases (Poland and Bulgaria), where the research question does not find confirmation. Using the cross‑comparison method we aim to verify how and why national innovation systems failed (or succeeded) in creating innovations.

Strategic timing of academic commercialism: evidence from technology transfer

While the markets for technology have received considerable attention because of the contribution to management and economy, universities and government research institutes have risen as important providers of technology. Their early licensing agreements may contribute to enhancing the licensor’s productivity, the licensee’s competency, and the efficiency of national innovation system. However, later licensing agreements enhance the licensor’s bargaining power. Thus, the timing of licensing is not only a policy consideration at the national level but also a key strategic consideration at the R&D entity level. We first theoretically claim that the ability to “invent around” determines the impact of uncertainty attenuation on the timing of licensing on the condition of market friction. Based on this claim, the paper argues that technology transfers from public research organizations differ from inter-firm licensing transactions in regard to their timing patterns. Using the data of commercialization activity through national R&D programs in South Korea, we empirically find that resolving uncertainties rather delays the licensing time for technology transfers, as opposed to inter-firm transactions. In addition, our findings provide evidence of frictions related to search costs associated with the unique nature of R&D processes in public research organizations.

Measuring National Innovation Systems Efficiency – A Review of DEA Approach

The paper reviews the application of the data envelopment analysis (DEA) method for measuring the efficiency of national innovation systems (NIS). The paper firstly visualizes the logic of DEA method and briefly summarizes the key advantages and main limitations of the DEA method. Further, this paper provides a comprehensive review of 11 empirical studies on cross-country analysis of NIS efficiency with DEA technique. In its main part the paper analyses the specifications of DEA models used in the reviewed studies, the content of the country samples, sets of input and output variables used and the resulting lists of efficient countries. The review detects general trends and differences in the sets of variables and the content of country samples. Moreover, this paper highlights the problem of “small countries bias” in the reviewed studies: situation when “small” (in terms of national innovation system scope and the level of development) countries (like Venezuela, Kyrgyzstan etc.) are included in the country sample, these “small” countries become the efficient ones. In general, empirical studies on cross-country analysis of national innovation systems efficiency using DEA method pay little attention to profound analysis of previous relevant studies. Therefore, this paper is among the first papers with deep review of such empirical studies.

Modeling the relative efficiency of national innovation systems

Although a large amount of past research has theorized about the character of national innovation systems (NISs), there has been limited process-oriented empirical investigation of this matter, possibly for methodological reasons. In this paper, we first propose a relational network data envelopment analysis (DEA) model for measuring the innovation efficiency of the NIS by decomposing the innovation process into a network with a two-stage innovation production framework, an upstream knowledge production process (KPP) and a downstream knowledge commercialization process (KCP). Although the concept of innovation efficiency is a simplification of the innovation process, it may be a useful tool for guiding policy decisions. We subsequently use a second-step partial least squares regression (PLSR) to examine the effects of policy-based institutional environment on innovation efficiency, considering statistical problems such as multicollinearity, small datasets and a small number of distribution assumptions. The hybrid two-step analytical procedure is used to consider 22 OECD (Organisation for Economic Co-operation and Development) countries. A significant rank difference, which indicates a non-coordinated relationship between upstream R&D (research and development) efficiency and downstream commercialization efficiency, is identified for most countries. The evidence also indicates that the overall innovation efficiency of an NIS is mainly subject to downstream commercial efficiency performance and that improving commercial efficiency should thus be a primary consideration in future innovation policy-making in most OECD countries. Finally, the results obtained using PLSR show that the various factors chosen to represent the embedded policy-based institutional environment have a significant influence on the efficiency performance of the two individual component processes, confirming the impact of public policy interventions undertaken by the government on the innovation performance of NISs. Based on these key findings, some country-specific and process-specific innovation policies have been suggested.

On the efficiency of national innovation systems

This paper presents a non-parametric approach to the disentanglement of the related effects of efficiency and productivity of a country's technological effort. The ultimate purpose is to identify the extent to which the alleged decrease in the productivity growth of many countries can be explained by differences in efficiency and by differences in its components, namely scale and congestion. The role of moderators in explaining productivity fluctuations if also assessed. The database consists of the countries included in the World Competitiveness Report.