Private Investment In Research Research Articles

The effects of private sector companies’ research and development investments on the adoption of cloud computing services in the European Union

As European economies rely more and more on know-how and technology, the importance of investment in research and development, especially from the private sector, is increasing. Private investment in research and development leads to innovation and the creation of know-how and technologies that can increase productivity, competitiveness and contribute to economic growth. Private investment in research and development is particularly important in dynamic sectors with high added value, such as the IT&C sector. Cloud computing is one of the most popular IT&C technologies in recent years, particularly because it bridges the gap between large and small and medium-sized companies in terms of IT&C infrastructure investment needs. Due to cloud computing, small companies can benefit from the same technology and infrastructure as the bigger ones, but at lower costs, without having to make large-scale investments in IT&C infrastructure elements such as: computing power, networks, data storage, specialized software products, etc. This paper analyzes the link between the intensity of investments in research and development (R&D), calculated as the share of research and development expenses made by companies in the business environment (business enterprise sector) in GDP or as a percentage of total research and development expenses, in relation to the adoption of cloud computing technology within companies in the Member States of the European Union. The research results indicate a direct and moderate relationship between the intensity of private R&D spending and the adoption of cloud computing technologies among companies in the Member States. This result can be attributed to both the increase in the overall digitization of the countries most active in terms of private R&D investment, as well as the need for affordable and strong IT&C infrastructure to maximize future returns and drive economic growth.

Poultry Production Nexus-Few: a Study About the Effect of Public and Private Investments on the Efficient Use of Water

Purpose: This paper aims to analyse how investments in innovation, research and development in poultry production affect the water's efficient use. Theoretical framework: To understand water stress, the literature review addresses content related to the analysis of the balance between water and food production (Nexus-Few), as well as those that support the analysis of the effects of investments in research and development in poultry production and improving the efficient use of water. Method/design/approach: The data were collected from the FAOSTAT database, where were analysed the investments in research and development (government and private), poultry production, water stress and efficient water use (US$/m3). The period of analysis is from 2005 to 2019, and priority was given to countries with the highest production of poultry, based on available data (Brazil, India, Mexico, Myanmar and Russia). Results and conclusion: the results reveal that there is interdependence between water and poultry production. On the one hand, factors that can lead to water stress (climate, competition for water, food production) can also affect poultry production, as the more water stress, the greater the risk for poultry production that depends on these resources. On the other hand, public and private investments in research and development (R&D) can be crucial to reduce water stress, improve water use efficiency and poultry production performance. Research implications: The study shows to poultry farmers that water stress (demand greater than supply) interferes with poultry production, and that private or public investment in R&D is important for the efficient use of water. The paper revewls to governments and companies what actions are necessary to encourage the sector to seek the Nexus Few (balance between water and food production). Originality/value: expands understanding of the sustainability of the poultry production chain and the goals of sustainable development, in order to encourage the efficient use of water. The sudy reveals too the importance of public and private investments to promote the balance between water use and poultry production .

Closing the Gap Between Emerging Initiatives and Integrated Strategies to Strengthen Science Diplomacy in Latin America.

Science diplomacy is a fast-growing field of research, policy, and practice dedicated to understanding and reinforcing the connections between science and international affairs to tackle national, regional, and global issues. By aligning science and diplomacy, countries can attract talent, strengthen their national research ecosystems, provide avenues for participation of scientists in policy, and coordinate integrated solutions to challenges with technical dimensions. While Latin America has a long tradition of bilateral and regional cooperation, science still plays a marginal role in foreign policy, as has become evidenced by the response to the COVID-19 pandemic. With few exceptions, Latin American nations have a relatively immature science, technology, and innovation ecosystem, compounded by low public and private investments in research, coexisting with profound socio-economic inequalities, and large vulnerable populations. Such challenging conditions have created barriers to a fluid relationship between science and diplomacy, fundamentally characterized by inefficient communication between scientists and policymakers, weak collaboration channels, and duplicated roles, which altogether perpetuate siloed mentalities and a lack of trust between the two communities. Over the last decade, a first influential wave of Latin American scientists, diplomats, and other professionals, including five of the co-authors, have undertaken science diplomacy training provided by specialized organizations. Through these experiences, we recognized the need to elevate awareness and build capacities in science diplomacy in our respective countries and overall, across Latin America. Here, we describe emerging efforts and mechanisms to bridge the gap between scientists and policymakers at the national and regional level. Furthermore, we offer recommendations to amplify the impact of those pioneering initiatives toward consolidating a robust science diplomacy practice across the region. The national experiences described from Costa Rica, Mexico, and Panama can serve as a roadmap for other Latin American nations in the early process of developing a science diplomacy strategy, so they can also align themselves to a collective pathway. Most critically, we propose a way forward so that Latin America can leapfrog beyond disjointed training of individuals into integrated institutional strategies that can harness the tools of science diplomacy to enhance science-informed multilateral cooperation and enable more effective science-informed policymaking.

Tax Instruments Supporting Science and Research as a Factor of Economic Growth – Evidence from the Slovak Republic

Objective : The main aim of this paper is to provide a united view on the issue of tax instruments supporting science and research in the Slovak republic and to evaluate their impact on state budget revenues. Research Design & Methods : The research question that this paper tries to answer is whether the support of research and development in the Slovak Republic through tax instruments is sustainable and suitable for the business sector. Qualitative and quantitative methods are used in the research. The paper analyzes legislation related to the issue of super deduction in order to identify the factors that affect this tax instrument. At the same time, the authors adopt the descriptive and normative economic approaches. Based on the deduction, procedures are subsequently chosen to quantify selected factors and their impact on state budget revenues in the Slovak Republic. Findings : Apart from the last seven years, the Slovak Republic has been characterized by almost no state support for research and development. However, since 2015, new forms of tax incentives have included the provision of tax relief in the form of a deduction of research and development costs, a patent box, as well as tax breaks for new investments. In 2015, 83 entities claimed a deduction of research and development costs amounting to more than EUR 9 million, while in 2019 the amount of this deduction increased to more than EUR 119 million. The statistics of the Financial Administration of the Slovak Republic also show that small companies with 10 to 49 employees apply the deduction to the highest degree, followed by medium-sized companies with 50 to 249 employees, micro-enterprises with up to 9 employees, and large companies with over 250 employees. The highest rate of deduction of research and development cost in terms of regional distribution was recorded in the Bratislava, Trenčín and Trnava regions. Implications / Recommendations : Tax incentives for research and development encourage investment and are therefore considered an appropriate form of support for the business environment. However, the biggest positive is the duplication of the possibility of claiming costs with respect to the reported corporate tax base. The question arises here: how often should the percentage rate for duplicate costs be changed? The analysis of applicants for a deduction of research and development costs in the Slovak Republic also showed that the number of new applicants for the tax benefit is constantly growing. This may encourage the re-use of such a tax credit in future years. The decrease in the volume of the deduction of research and development costs in 2019, with a 1.5-times increase in its rate, can be assessed negatively. It is clear that the success of this instrument of tax stimulation of private investment in research and development in Slovakia may encounter a barrier such as the inability to claim the costs incurred in the form of a deduction of research and development costs against a sufficient tax base. Contribution : The question arises here: how often should the percentage rate for duplicate costs be changed? The success of this instrument of tax stimulation of private investment in research and development in Slovakia may also run into the barrier of not being able to claim the costs incurred in the form of a deduction of research and development costs against a sufficiently high tax base, especially in the current period, when there has been a significant decline in Slovak companies’ profits. What, then, is the perspective for deducting research and development costs in the pandemic period and in the post-pandemic period, respectively?

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.

The process of entrepreneurial discovery in the context of regional smart specialization: some theoretical and conceptual aspects

The issue of shaping a new EU innovation policy based on smart specialization is new to the developed countries and to Ukraine in particular. Currently, regional state administrations are tasked with developing regional development strategies based on European approaches to smart specialization. One of the main principles of smart specialization is the entrepreneurial discovery process — EDP, to which this article is dedicated. The views of smart specialization theorists on the emergence of this phenomenon, peculiarities of its formation and development in interaction and interdependence on the factors of technological and knowledge influence on the economic growth of countries and regions, establish of their competitive advantages, make political decisions to support the development of priority technologies and sectors, attracting public and private investment in research and development were analyzed. The theoretical foundations of the concept of entrepreneurial discovery are considered, which have a decisive influence on the choice of the structure of regional smart strategies, as well as on the formation of priorities of innovation development, focusing on the existing strengths of the regional economy and innovations and using the results of private and public research and development carried out on this territory. The European Commission program documents have been studied, in which conceptual approaches to the entrepreneurial discovery process have been concretized and developed in the context of developing and implementing smart specialization strategies at national / regional levels. The Smart Specialization Research and Innovation Strategy Guide emphasizes the need for step-by-step development of a regional smart specialization strategy. The study found that the EDP principle more or less influence on the formation of each of the six stages of a smart strategy. Examples of such influence are given.

Regime of International-Public-Private Partnership in Scientific, Technical and Innovation Spheres in the Context of European Integration Processes

The possibilities of using public-private partnerships in scientific, technical and innovation spheres in the context of European integration processes have been substantiated. The European experience of using public-private partnership is considered. Four directions of application of public-private partnership are given: strategic cooperation in the spheres of social innovation and high technologies; ensuring interaction between science and business and transfer of technologies to the market turnover; smart support for business entities, private investment in research and innovation through partner financing and risk sharing between public and private partners; cluster-oriented policy. It is proposed to supplement the public-private partnership with an international component, taking into account the investments of international organizations and international donors, and to introduce the concept of “international-public-private partnership” into scientific and practical circulation, and to introduce the “regime of international-public-private partnership” to stimulate investment attraction. An algorithm for the introduction of a regulatory regime for international-public-private partnership for the creation of an innovative infrastructure and the implementation of innovative projects is proposed.

On the impact of public policies and wage formation on business investment in research and development

Against the backdrop of mediocre growth prospects in many countries, governments should do more to promote private investment in research and development (R&D). Public fiscal policies and the characteristics of wage formation are key as they affect both the incentives that firms face and their resources. This paper studies their impact at the macro level in a panel of 14 OECD countries since 1981, while we also account for the impact of unobserved common factors like the world level of knowledge. Tax incentives, government intramural expenditures on R&D, public R&D subsidies (if they are not too low nor too high) and especially investment in tertiary education, encourage business R&D investment. Wage moderation may also contribute to innovation, but only in fairly closed economies and in economies with flexible labour markets. In highly open economies with rigid labour markets, high wage pressure promotes investment in R&D. Innovation may then be the only competitive strategy for firms.

Market Making and the Role of Intermediary Firms in Marketing of Genetically Modified Livestock Products

Agricultural biotechnology, by changing the process of agricultural production in the agri-food sector has posed serious challenges for the industry. The fundamental problem was that the biotechnology industry, with tremendous vertical integration from the research sector through to farm gate, has still relied upon decentralized markets to commercialize their products. Their innovations have for the most part been left to find their consumer markets.
 This work was done by an illustrated review of the existing literature and reports.
 The major contribution of this study to the economic literature is three-fold. First, it addresses an important issue in marketing GM livestock products. Second, the study discusses the theory of market microstructure in production economics. Third, it provides policy implications for managers and policymakers in the industry.
 This paper examined the theory of market-making and the role of intermediaries in creating new markets and hypothesizes that without intermediation in the biotechnology market, the optimal market size will not be realized, reducing private research investment and depriving society of the potential social gains of this new technology.

Retos para las spin-off académicas en México como resultado de la valorización económica de I+D+i de las universidades

El modelo de valorización económica, de los resultados de investigación, desarrollo e innovación (I+D+i) de las universidades, mediante la creación de empresas spin-off, ha demostrado tener un alto índice de éxito e impacto social en diferentes países. En las universidades de Latinoamérica se está fomentando la cultura emprendedora para su creación, por los beneficios económicos que se generan para la universidad y los investigadores participantes. El objetivo del presente trabajo fue analizar el contexto nacional e internacional de las spin-off académicas, para identificar algunos de los factores que favorecen u obstaculizan su creación y éxito, como estrategia para acelerar su implementación en México. Al ser un modelo recientemente introducido al país, las spin-off académicas requieren la creación de un nuevo marco legal dentro de las universidades para establecer con claridad beneficios y compromisos de la institución y participantes, así como, favorecer su gestión, implementación y crecimiento. Además, de encaminar los resultados de I+D+i para que puedan ser comercializables, capacitar a los investigadores en emprendimiento y propiedad intelectual, aumentar la inversión en investigación privada, y generar políticas y condiciones para incrementar el número de investigadores en México.

US Department of Agriculture and global biogenome initatives: policy challenges and opportunities

Biodiversity research is seeing unprecedented global collaboration with initiatives such as the Earth BioGenome Project, an effort to sequence all known eukaryotic life, and Genesys, a global database for sharing crop genetic resources. However, as in other disciplines, public funding and policy for scientific research in agriculture tend to follow national borders even when science and its collaborations do not. In addition, agriculture is similar to biomedicine in having significant private investment in research and development where competition could inhibit sharing. It would seem that significant challenges lie ahead for making progress on ambitious global initiatives at least where agricultural samples, collections, and data are concerned. In this talk we will review several activities at the United States Department of Agriculture that illustrate how policy and infrastructure can overcome difficulties. For example, recent policies for openness of publicly-funded research products and adoption of FAIR data principles even for private or proprietary data hold promise and have elevated the importance of data infrastructure. The US Department of Agriculture's Agricultural Research Service (ARS) launched its Ag100Pest contribution to the Earth BioGenome Project, including the use of the i5K Workspace@NAL platform for its sequenced and annotated genomes. The GRIN Global platform supports not just USDA germplasm data management but a growing network of plant and animal researchers and collections around the world. The Ag Data Commons provides standardized metadata and machine-readable data dictionaries to the publicly accessible products of these and other USDA-funded efforts. It is teaming with the ARS high performance computing system SCINet to explore cost-effective public access to big data storage for agricultural data and models. Finally, many of these efforts extend and contribute back to widely used open source software systems. While challenges remain in coordinating and sustaining these efforts with international stakeholders, engagement with groups like AgBioData, the Research Data Alliance (RDA) Interest Group on Agricultural Data, and the Global Open Data for Agriculture and Nutrition coalition will continue to bear fruit (pun intended). We seek similar engagement with the broader biodiversity data community in order to ensure that policy and infrastructure investments result in maximum mutual benefit.

Effects of National Science and Technology Programs on Innovation in Chinese Firms

This paper aims to evaluate whether national science and technology programs in China help boost private investment in research and development and improve firms’ productive efficiency and innovation performance. The empirical analysis is based on a survey of 443 innovative firms in China during the period of 2008–11. A matching estimator together with a difference-in-difference approach is employed to investigate the effect of undertaking national science and technology programs. The results show that the effectiveness of national science and technology programs may be over-estimated. There are also heterogeneous effects across firms of different sizes and ownership and with different programs.

Influence of basic research investment on corporate performance

PurposeThe purpose of this paper is to add to the existing research about how corporate performance is influenced by their basic research (BR) investment. On this basis, the authors examined the moderating effect of human capital structure (HCS) on the relationship between BR investment and corporate performance.Design/methodology/approachHypotheses were tested using static and dynamic models to analyze a large-scale data of Chinese A-share listed companies.FindingsThis study provides empirical evidence that contributes to the research about how private BR investment influences corporate performance in the digital age. In addition, human resource is an important dynamic ability for enterprise development. Based on the dynamic capability theory, further research finds that the human resources practice on the knowledge stock can enhance the company’s dynamic capability, thereby enhancing the company’s core competitiveness.Research limitations/implicationsThe results may be affected by the context of the data set. This study considers the influence of private research investment type on corporate performance, further studies considering the influence of specific contextual variables, such as corporate industry differences, could yield richer insights that would help validate the results of this study.Practical implicationsThis study provides useful information for managers. As well as increasing the investment in the BR of enterprise and creating the necessary conditions to increase the competitiveness of enterprise, they should strive to adjust the structure and quality of researchers involved in BR projects.Originality/valueThis research contributes to the enterprise’s BR investment and the management of human capital resource. It points that the investment of BR positively influences the corporate performance. In addition, the increasing of high-skilled labor’s proportion positively promotes the promotion of BR investment on corporate performance.

The effectiveness of tax incentives for R&D+i in developing countries: The case of Argentina

There is increasing interest in developing countries in granting tax incentives in order to encourage private investment in research, development, and innovation (R&D+i). However, evidence on the effectiveness of such schemes in achieving policy goals in weak innovation systems contexts is still very scarce. This paper aims at narrowing this knowledge gap by focusing on the effects of a tax credit scheme for promoting firm-level innovation investment in Argentina. The analysis applies dynamic panel data techniques to a novel dataset, merging several waves of the National Innovation Survey collected by the National Institute of Statistics and Censuses. The results suggest that the elasticity of R&D+i investment to its user cost of capital is a greater than 1 in absolute terms, which implies that the intervention has been effective in increasing firms’ innovation efforts. However, effects vary depending on the type of innovation investment being subsidized, industrial sector, and size of the firm. Moreover, when innovation investment is divided into innovation related capital goods expenditures and only R&D, the results suggest that the absolute value of the elasticity for the R&D component of the innovation investment is less than 1. These heterogeneous effects should be exploited for further policy design.

State of the art and perspectives in catalytic processes for CO2 conversion into chemicals and fuels: The distinctive contribution of chemical catalysis and biotechnology

The need to reduce the emission of carbon dioxide into the atmosphere is pushing toward the use of “renewable carbon”, so to avoid as much as possible burning “fossil carbon”. It would be possible to complement the natural “carbon cycle” by developing man-made industrial processes for “carbon recycling”, converting, thus, “spent carbon” as CO2 into “working carbon”, as that present in valuable chemicals or fuels. Such practice would fall into the utilization of “renewable carbon”, as the man-made process would perfectly mimic the natural process. An order of complexity higher would be represented by the integration of biotechnology and catalysis for an effective CO2 conversion, using selective catalysts such as enzymes, or even whole microorganisms, coupled to chemical technologies for energy supply to enzymes, using perennial sources as sun or wind or geothermal as primary energy.These days all the above approaches are under investigation with an interesting complementarity of public–private investment in research. This paper aimed at making the state of the art in CO2 conversion and giving a perspective on the potential of such technology. Each atom of C we can recycle is an atom of fossil carbon left in the underground for next generations that will not reach the atmosphere today.

Research and innovation as sources of renewed growth? EU policy responses to the crisis

An important element of the EU policy discourse during times of crisis has been a call to invest more in research and innovation as sources of future growth. To study the effects of crisis in this policy area, this article draws on an analysis of expert interviews, policy documents and relevant literature. It argues that the crisis has led to incremental and path-dependent changes in EU policy instruments and priorities. To respond to the crisis, EU research and innovation policy has focused on two main issues. Firstly, it has aimed to facilitate structural reforms and to increase the level, quality and efficiency of public and private investments in research and innovation at the national level. Secondly, the EU has increased its own research and innovation funding. These decisions have involved compromises between the European Commission, the European Parliament, the Council and stakeholder organisations.

Освіта та конкурентоспроможність суспільства

The article analyzes the international rating of Ukraine according to the Human Development Index, a global index of competitiveness, Knowledge Economy Index, the Index of innovation. The author has done comparisons of world rankings of Ukraine among the countries (education, IQ population factor of quality of life). There are universal principles of strengthening competitiveness through the priority development of education and science, primary investment in education to provide intellectual and technological bases of carriers of knowledge and competencies through which operates innovative economy; significant (at a level not less than 3% of GDP) increasing public and private investment in research and development. It is designed for forming closer and distant prospects of the national innovation strategy, which clearly marked priority areas of science and technology, training of relevant professionals, political and economic mechanisms of commercialization of scientific research, entrepreneurship and access to capital. The author points to recognition and fixation in the order in which universities can be co-financed by the state and business, which will enable to implement public-private partnership; launching new and effective support traditional scientific schools for intensifying the process of entering the market of high technology products and services; the focus of attention of the state and private organizations on programs to encourage universities and research institutions, various companies for the implementation of basic and applied research in new products and processes; the political will of the elites, party and parliamentary leaders to create the institutional framework of intellectual property protection, liberalization of tax legislation to improve the competitiveness of Ukrainian Education, less bureaucratic regulations and licensing procedures, recognition, certification, etc.

Exploring causal linkages between sustainable forest ecosystem management and technological progress in Canadian logging industries

Logging poses socioeconomic, ecological, and environmental dilemmas. On the one hand, it plays a significant role in sustaining the forest sector’s contributions to the national economy. On the other hand, however, logging operations are major causes of ecological and environmental damages. It was hypothesized that if timely investments in various silvicultural operations were made to restore ecological integrity disturbed by logging operation, if the guiding principles of sustainable forest ecosystem management were strictly upheld, and if public and private investments in research and development were made, with a view to realize technological progress in the forest sector, then logging operations would be technically and economically efficient, firms in each regional industry would have comparative cost advantages in the marketplace, and the adverse effects of logging operations on ecological integrity would be socially, economically, and environmentally tolerable, all reflected through total factor productivity (TFP) growth. Two complementary methodologies were applied to test this hypothesis. First, the guiding principles of sustainable forest ecosystem management were synthesized to establish the conditions and the principles that logging firms must uphold to be stewards of ecological integrity. Second, TFP growth was measured and analyzed, using a nonparametric model. Sluggish but upward trends in TFP growth appeared to validate the hypothesis. Implications of the study for policy making and the benefits that society derives from TFP growth are highlighted.

Можливості та перспективи застосування європейських практик державного управління у сфері інновацій

Стаття присвячена теоретичному аналізу можливостей застосування позитив-ного досвіду європейських практик державного управління у сфері інновацій. Про-аналізовано основні державні програми щодо стимулювання розвитку інновацій українах-членах ЄС та виділено основні управлінські підходи щодо залучення при-ватних інвестицій у науково-дослідницькі та інноваційні проекти (поширення та пе-редача новітніх технологій, залучення венчурного і початкового капіталу для про-ведення науково-дослідних та дослідно-конструкторських робіт, а також наданняподаткових пільг для інноваційної діяльності та стимулювання розвитку інноваційв європейському дослідницькому просторі). Визначено, що ключовими проблемами,пов’язаними із впровадженням інновацій, є: скорочення фінансування інноваційної,наукової та науково-технічної сфери; неефективність системи бюджетного фінансу-вання інноваційної, наукової та науково-технічної сфери; наявність законодавчихобмежень, що ускладнюють фінансування інноваційної, наукової та науково-тех-нічної сфери; відсутність економічних стимулів у суб’єктів господарської діяльностіздійснювати технологічну модернізацію шляхом запровадження нових науково-тех-нічних розробок та ін. Також проаналізовані особливості функціонування науковихпарків у країнах-членах ЄС, діяльність яких направлена на розвиток науково-техніч-ної та інноваційної діяльності у вищих навчальних закладах та наукових установахз подальшою комерціалізацією результатів наукових досліджень та їх впровадженняна вітчизняному та закордонному ринках.

Governmental Research Support Programs and Private Entities in Slovakia

Abstract The paper analyses public subsidies aimed to enhance development and innovation in the Slovakian private sector. The paper reviews theoretical approaches of the necessity of public support to research and development activities in order to increase private investment in research and development. An overview of research and development support tools in Slovakia is presented. The analytical part of the work is oriented on a comparative analysis of two granting agencies in Slovakia [Agency for Research and Development (ARD) and Agency of Operational Program Research and Development (OPRD)]. Special attention is given to direct public financial support. Logit analysis showed a relationship between success of grant applicants and their characteristics. We find that the following have impact on success of the application: Age of the company, amount of the grant required, legal form of the company, and the agency to which the application for grant was submitted. Applicants with legal form Ltd. (limited liability company) have a higher chance of receiving grant than other legal forms. The highest chance of success has a request for a grant of up to 500.000 €. According to the results of our analysis, the chance to obtain a grant decreases with each passing year.