The role of SMEs in innovation-oriented economic development

INDUSTRY & HIGHER EDUCATION

Universities are increasingly encouraged to take a leading role in economic development, particularly through innovation. Simultaneously, economic development policy itself is increasingly focused on small and medium-sized enterprises (SMEs), creating overlapping interactions in the roles of government policy, universities and SMEs and the processes of innovation creation and dissemination. This paper examines issues arising from these developments and relating to the key stakeholders (industry, government and universities in particular), the enabling mechanisms (network governance, relevant education, training and learning, and suitable structures), and local and cross-local links. The authors then use quantitative analysis of 450 SMEs in the UK to begin to evaluate the roles of universities and highlight areas for further theoretical development.

2020

Numerous empirical studies have long been indicated the importance of business infrastructure for economic and regional development. Ensuring long-term economic growth, as well as the creation and development of small and medium enterprises (SMEs), as key drivers of the development of modern economies, requires a high level of efficiency and flexibility of business infrastructure. In the Western Balkans, the absence of a coherent business infrastructure network is the biggest obstacle to the rapid growth of their economies. For this reason, the activities of the Western Balkan governments in the future should be aimed at developing a network of business infrastructure in order to increase the share of the knowledge and services sector with high added value in the economic structure. This paper aims to point out the role of innovative clusters as a model of associating SMEs in the context of regional development.

2020

The Exchange of knowledge between universities and SMEs became a source of sustainable competitive advantages. The innovation capacity of SMEs is under pressure for various reasons since knowledge management is more costly and innovation readiness more difficult to be achieved. Higher Education Institutions (HEIs) became in this context critical players in the knowledge-based economy to interact with small companies. The traditional functions of universities are the generation of knowledge (research) and its transmission (teaching) are reconsidered in order to better serve the managers. This paper investigate conditions SMEs and universities may better work together, assuming that a pro university-SMEs cooperation behaviour at the level of the SMEs managers and universities is an essential factor of an efficient transfer of knowledge. Evidence of this interaction from development regions of Romania are shown in order to identify emerging cooperation patterns. Another area this paper...

Industry and Higher Education, 1995

This article analyses the behaviour of ‘learning’ companies and ‘entrepreneurial’ universities in the context of the territorial and business ecosystems of innovation in which they are involved. Against a background of the fundamental differences between the higher education and the commercial sector, and the history of university—industry cooperation in Europe, the characteristics of territorial ecosystems for innovation (TEIs) are set out and the holistic, networking and interactive models of knowledge and technology transfer are discussed. This analysis provides a conceptual framework for the successful development of territorial ecosystems of innovation which are identified as crucial for future successful European socio-economic development. As concrete examples of activities which contribute towards this end, the authors offer brief case studies of the Economic Development Unit and Innovation Centre at the University of North London and the London Technopole Initiative.

Regional Science Policy & Practice, 2011

The background of this study is the realization that our current understanding of innovation in SMEs is relatively poor, yet the encouragement of innovation in SMEs is at the heart of policy initiatives for stimulating economic development at the local, regional, national and European levels. The sample used for this analysis is drawn from a survey that questioned Dutch SMEs about their involvement in three Eastern Netherlands knowledge clusters that were part of a national economic priorities stimulation programme. SMEs that were located in the more rural sub-region Zwolle, namely, indicated that they were not able to profit enough from the programme. The paper explores if the innovation perception of the SMEs in this sub-region is affected by its collaborative knowledge sources in terms of different types of partners, and if structure of the networks may explain the lack of involvement of these SMEs in the programme. Also, it aims to explore if the internal power relationships of an SME-represented in this study by the education level of the owner/ manager of the SME-influences these relationships. Powerful actors within and outside the organization, namely, may influence the knowledge absorption processes. Results support the strong focus of SMEs on customers and suppliers for new knowledge and the positive role of higher education on the innovation process. In this study, no significant proof is found for the interaction of higher educated entrepreneurs on the relation between knowledge sources and innovation perception. Preliminary insight into the positive and negative interaction effect of the education level of the entrepreneur on the relation between knowledge sources and innovation perception, however, may provide interesting new research directions.

Examining the Role of Entrepreneurial Universities in Regional Development, 2020

This chapter provides a conceptual framework of entrepreneurial universities' strategic role which has been viewed as an operational approach of promoting innovation–driven regional growth. Nowadays, entrepreneurial universities' strategic role and research institutions' innovative capabilities are distinguished as significant knowledge facilitators for regional economic development, due to their spin-off that adds value through knowledge creation and entrepreneurial discovery process. This chapter exemplifies entrepreneurial universities' strategic perspectives and their impact on a regional innovation system that enables a region to be more creative and innovative, especially new EU member states' territories in order to create their pioneering business opportunity with worldwide competency.

2014

Beyond interoperability to digital ecosystems: regional innovation and socio-economic development led by SMEs Article (Accepted version)

Higher Education Management and Policy, Volume …, 2006

The OECD is a unique forum where the governments of 30 democracies work together to address the economic, social and environmental challenges of globalisation. The OECD is also at the forefront of efforts to understand and to help governments respond to new developments and concerns, such as corporate governance, the information economy and the challenges of an ageing population. The Organisation provides a setting where governments can compare policy experiences, seek answers to common problems, identify good practice and work to co-ordinate domestic and international policies.

Research in Economics and Business Central and Eastern Europe, 2009

Currently universities are acting as eminent channels for structural fund interventions in EUcountries. Th is paper studies the experiences of regional universities in a long-standing EUcountry (Finland) and in a recently joining EU country (Romania). Results are based on expert interviews using the A'WOT-method. Th e results suggest that universities must have an appropriate understanding of the real development needs of SMEs and the region, including a good understanding about the ideas behind the regional development policies and structural fund programmes. Th is understanding cannot be established without strategic partnerships. By combining these two perspectives, universities should take a proactive role in the development of regional economies. Th is means a transformation from a follower into a co-explorer of future opportunities hand in hand with local enterprises.

Risk in Contemporary Economy, 2015

Globalization and competitiveness have affected how businesses engage in innovation, especially for small and medium enterprises (SMEs). According to the European Commission (2013), 99% of businesses in Europe are SMEs. SMEs worldwide are regarded as the lifeblood of economies. The importance of this research is justified by the predominance of SMEs that are most enterprises in Romania (90%). SMEs help create jobs and increase economic competitiveness, especially in times of crisis. This study aims at identifying the specificity of innovational activity in SMEs and the main barriers to carrying out these activities. It was developed also a case study for Romania’s Development Region 2 South East (SE).