Search results for: technology innovation.

Authors: Ilham Benali, Nasser Hajji, Nawfal Acha

Abstract:

Given the fact that the pharmaceutical industry is a commonly studied sector in the context of innovation, the majority of innovation research is devoted to the developed markets known by high research and development (R&D) assets and intensive innovation. In contrast, in developing countries where R&D assets are very low, there is relatively little research to mention in the area of pharmaceutical sector innovation, characterized mainly by two principal elements which are the presence of foreign-owned firms and licensed manufacturing agreements between local firms and multinationals. With the scarcity of research in this field, this paper attempts to study the effect of these two elements on the firms’ innovation tendencies. Other traditional factors that influence innovation, which are the age and the size of the firm, the R&D activities and the market structure, revealed in the literature review, will be included in the study in order to try to make this work more exhaustive. The study starts by examining innovation tendency in pharmaceutical firms located in developing countries before analyzing the effect of foreign-owned firms and licensed manufacturing agreements between local firms and multinationals on technological, organizational and marketing innovation. Based on the related work and on the theoretical framework developed, there is a probability that foreign-owned firms and licensed manufacturing agreements between local firms and multinationals have a negative influence on technological innovation. The opposite effect is possible in the case of organizational and marketing innovation.

Keywords: Developing countries, foreign owned firms, innovation, licensed manufacturing agreements, pharmaceutical industry.

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Authors: Mª del Valle Fernández Moreno; Isidro Peña García-Pardo; Jesús David Sánchez de Pablo González del Campo

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The search for competitive advantages as one of the main activities of a company has become a principle of contemporary theories on Strategic Management. Innovation facilitates a company's adaptation to the global competitive environment, representing the important strategic role that it has to play in relation to managerial performance and, as such, underlines the growing importance of innovation and the use of a company's technological assets. This paper therefore studies the effect in the results of four dimensions of technological innovation strategy on a sample of Spanish wineries, situated in the Castilla La-Mancha region of Spain, all of which are registered under the La Mancha Designation of Origin (DO).

Keywords: Company's strategy, factors of competitiveness, innovation strategy, wine industry

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Authors: Erik Pontiskoski, Kazuhiro Asakawa

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This is a conceptual paper on the application of open innovation in three case examples of Apple, Nintendo, and Nokia. Utilizing key concepts from research into managerial and organizational cognition, we describe how each company overcame barriers to utilizing open innovation strategy in R&D and commercialization projects. We identify three levels of barriers: cognitive, behavioral, and institutional, and describe the companies balanced between internal and external resources to launch products that were instrumental in companies reinventing themselves in mature markets.

Keywords: managerial cognition, open innovation.

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Authors: Peña Aguilar Juan M., Valencia Luis, Pastrana Alberto, Nava Estefany, Martinez A., Vivanco M., Castañeda A.

Abstract:

This paper seeks to compare the innovation of Mexico from an economic and human perspective, with the seven most innovative countries according to the Global Innovation Index 2013, done by the World Intellectual Property Organization (WIPO). The above analysis suggests nine dimensions: Expenditure on R & D, intellectual property, appropriate environment to conduct business, economic stability, triple helix for R & D, ICT Infrastructure, education, human resources and quality of life. Each dimension is represented by an indicator which is later used to construct a radial graph that compares the innovative capacity of the countries analyzed. As a result, it is proposed a new indicator of innovation called The Area of Innovation. Observations are made from the results, and finally as a conclusion, those items or dimensions in which Mexico suffers lag in innovation are identify.

Keywords: Dimension, measure, innovation level, economy, radar chart.

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Authors: R. Taiar

Abstract:

Sport is one of the sectors in which the largest technical projections regarding the functions of textiles can be found. He is a large consumer of high performance composite materials and new fibers. It is one of the sectors where the innovation is the most important when the greatest numbers of spectacular developments are aimed at increasing performance. In medicine, textile innovation is used and contributes in the amelioration of different materials such as dressing, orthosis, bandages, etc. The hygienic textiles in non-woven materials record a strong growth. The objective of this study is to show the different advances of development we obtained in the both ways (sport and medicine). Polyamide fibers where developed tacking into account the specification of the high level athlete’s performance like swimming and triathlon (Olympic Games, Brazil 2016). The first textile utilization was for skiing (Olympic Games, Sotchi 2014). The different textiles technologies where adapted for medicine.

Keywords: Medical textile, Smart textile, Sport textile, Textile innovation.

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Authors: Autjira Songan, Supattra Kanchanopast

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The objectives of this research were to compare the success of SME registered in Nakorn Pathom Province divided in personal data also to study the relations between the innovation knowledge and capability and the success of SME registered in Nakorn Pathom Province and to study the relations between the work efficiency and the success of SME registered in Nakorn Pathom Province. A questionnaire was utilized as a tool to collect data. Statistics utilized in this research included frequency, percentage, mean, standard deviation, and multiple regression analysis. Data were analyzed by using Statistical Package for the Social Sciences.The findings revealed that the majority of respondents were male with the age between 25-34 years old, hold undergraduate degree, married and stay together. The average income of respondents was between 10,001-20,000 baht. It also found that in terms of innovation knowledge and capability, there were two variables had an influence on the amount of innovation knowledge and capability, innovation evaluation which were physical characteristic and innovation process.

Keywords: ccountants, Innovation, Knowledge, Work Efficiency.

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Authors: Peña Aguilar Juan M., Arriaga Barrera H., Velázquez Alejos Miguel, Genis Ernesto, Valencia Pérez L. R., Bermúdez Peña M. Carmen

Abstract:

To give a general view of the innovation environments is the aim of this paper, we pretend to make an analysis between Mexico and BRICS (Brazil, Russia, India, China and South Africa- countries belonging to the group of five major emerging economies). The comparison takes by reference a set of various indicators that directly or indirectly affect innovation in a positive or negative way. Firstly, a research to obtain the values of each of the indicators was conducted, considering the main primary sources, then, within a set of radial charts is presented the resulting values of each nation and a comparison between them. Finally, a description of the gaps between Mexico and the BRICS were established, including the areas of opportunity for Mexico

Keywords: Innovation, triple-helix, innovation systems, indicators.

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Authors: F. Apaydın

Abstract:

In this empirical research, how marketing managers evaluate their firms- performances and decide to make innovation is examined. They use some standards which are past performance of the firm, target performance of the firm, competitor performance, and average performance of the industry to compare and evaluate the firms- performances. It is hypothesized that marketing managers and owners of the firm compare the firms- current performance with these four standards at the same time to decide when to make innovation relating to any aspects of the firm, either management style or products. Relationship between the comparison of the firm-s performance with these standards and innovation are searched in the same regression model. The results of the regression analysis are discussed and some recommendations are made for future studies and applicants.

Keywords: Innovation, performance evaluation standards

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Authors: Veronika Gruberová

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The strengthening of competitive advantage combined with the transformation of business strategy is necessary for the company to succeed in the time of market changes. And in this sense the innovation activities of the firm are exactly significanting. Virtual firms are a specific form of enterprise in which we can't suppose all regularities obtaining in other forms. The aim of the paper is to evaluate factors influencing the innovation activity of virtual firm with the determination of their importance and influences on the basis of selected metrics.

Keywords: Innovation, virtual firm, factor

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Authors: Soheila Raeisi, Meng Lingjie

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The interaction of customers with businesses is a process that is critical to the running of those businesses. Different levels of customer engagement and service innovation exist when pursuing value co-creation endeavors. The important thing in this whole process is for business managers know the benefits that can be realized when these activities are pursued effectively. The purpose of this paper is to first identify the importance of value co-creation when pursued via customer engagement and service innovation. Secondly, it will also identify the conditions under which value co-destruction can occur on the same. The background of the topic will be reviewed followed by the literature review with a special focus on the definition of these terms and the research design to be used. The research found that it is beneficial to have a strong relationship between stakeholders and the business in order to have strong customer engagement and service innovation.

Keywords: Customer engagement, service innovation, value co-creation, value co-destruction.

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Authors: Sara Tessitore, Tiberio Daddi, Fabio Iraldo

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The article aims to investigate the presence of a correlation between eco-innovation and economic performance within industrial districts. The case analyzed in this article is based on a study concerning a sample of 54 Italian industrial clusters entitled "Eco-Districts" that has compiled a list of the most eco-efficient districts at the national level. After selecting two districts, this study assesses the economic performance of the last three years through the analysis of trends in four indicators. The results show that only in some cases there is a connection between eco innovation and economic performance.

Keywords: clusters, industrial districts, eco-innovation, economic performance.

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Authors: T. Konst

Abstract:

Most jobs include training and communication tasks, but often the people in these jobs lack pedagogical competences to plan, implement and assess learning. This paper aims to discuss how a learning approach called innovation pedagogy developed in higher education can be utilized for learning development in various organizations. The methods presented how to implement innovation pedagogy such as process consultation and train the trainer model can provide added value to develop pedagogical knowhow in organizations and thus support their internal learning and development.

Keywords: Innovation pedagogy, learning, organizational development, process consultation.

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Authors: Jieun Kim, Yongtae Park, Hakyeon Lee

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The emergence of mobile application services and App Store has led to the explosive growth of user innovation, which users voluntarily contribute to. User innovation communities where end users freely reveal innovative ideas and needs with other community members are becoming increasingly influential in this area. However, user-s ideas in user innovation community are not enough to be new service opportunity, because some of them can already developed as existing services in App Store. Moreover, the existing services similar to new service opportunity can be significant references to apply analogy to develop service concept. In response, this research proposes Case-Based Reasoning approach to matching the user needs and existing services, identifying unmet opportunistic user needs, and retrieving similar services with opportunity. Due to its intuitive and transparent algorithm, users related to App Store innovation communities can easily employ Case-Based Reasoning based approach to their innovation.

Keywords: App Store, Case-Based Reasoning, Mobile Application Service, User innovation community.

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Authors: Pablo Cardozo Herrera

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In a dynamic market of Information Technology (IT) Service and with high quality demands and high performance requirements in decreasing costs, it is imperative that IT companies invest organizational effort in order to increase the effectiveness of their Information Technology Service Management (ITSM) processes through the improvement of ITSM project management and through solid support to the strategic decision-making process of IT directors. In this article, the author presents an analysis of common issues of IT companies around the world, with strategic needs of information unmet that provoke their ITSM processes and projects management that do not achieve the effectiveness and efficiency expected of their results. In response to the issues raised, the author proposes a framework consisting of an innovative theoretical framework model of ITSM management and a technological solution aligned to the Information Technology Infrastructure Library (ITIL) good practices guidance and ISO/IEC 20000-1 requirements. The article describes a research that proves the proposed framework is able to integrate, manage and coordinate in a holistic way, measurable and auditable, all ITSM processes and projects of IT organization and utilize the effectiveness assessment achieved for their strategic decision-making process increasing the process maturity level and improving the capacity of an efficient management.

Keywords: Innovation in IT services, ITSM processes, ITIL and ISO/IEC 20000-1, IT service management, IT service excellence.

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Authors: Yessengeldy Kuanyshpayev

Abstract:

Now in some countries of the world the cellular market is on the point of saturation, in others - positive dynamics of development kept on. The reasons for it are also different, but there are united by their general susceptibility to innovation changes, if they are really innovative. If to take as an example the cellular market of Kazakhstan it is defined by the low percent of smart phones at consumers, the low population density, undercapacity of the 3G channel, and absence of universal access to the LTE technology that limits dynamical growth of this branch. These moments are aggravated by failures of starting commercial projects by private companies which prevent to be implemented and widely adopted to a new product among consumers. The object of the research is possible integration of wireless and program technologies at which introduction the idea can regenerate in an innovation. The analysis of existing projects in the market and the possible union of the technologies through a prism of theoretical bases of innovative activity shows that efficiency of the company by development and introduction of innovations is possible only thanks to strict observance of all terms and conditions of the innovative process which main term is profit. Despite that fact that on a global scale the innovativeness issue of companies is very popular, there are no researches about possibility of innovative breaks in the field of wireless access to the Internet in the cellular market of Kazakhstan.

Keywords: Cellular market, commercialization, innovation, the effectiveness of company.

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Authors: Numtip Trakulmaykee, Ahmad Suhaimi Baharudin, Muhammad Rafie Mohd. Arshad

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This study investigates theoretical model of tourist intention in the context of mobile tourism guide. The research model consists of three constructs: mobile design quality, innovation characteristics, and intention to use mobile tourism guide. In order to investigate the effects of determinants and examine the relationships, partial least squares is employed for data analysis and research model development. The results show that mobile design quality and innovation quality significantly impact on tourists’ intention to use mobile tourism guide. Furthermore, mobile design quality has a strong influence on innovation characteristics, and cannot be the moderator on the relationship between innovation characteristics and tourists’ intention to use mobile tourism guide. Our findings propose theoretical model for mobile research and provide an important guideline for developing mobile application.

Keywords: Design quality, Innovation characteristics, Intention, Mobile tourism guide.

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Authors: Sawsan J. Al-husseini, Talib A. Dosa

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Educational institutions are today facing increasing pressures due to economic, political and social upheaval. This is only exacerbated by the nature of education as an intangible good which relies upon the intellectual assets of the organisation, its staff. Top management support has been acknowledged as having a positive general influence on knowledge management and creativity. However, there is a lack of models linking top management support, knowledge sharing, and innovation within higher education institutions, in general within developing countries, and particularly in Iraq. This research sought to investigate the impact of top management support on innovation through the mediating role of knowledge sharing in Iraqi private HEIs. A quantitative approach was taken and 262 valid responses were collected to test the causal relationships between top management support, knowledge sharing, and innovation. Employing structural equation modelling with AMOS v.25, the research demonstrated that knowledge sharing plays a pivotal role in the relationship between top management support and innovation. The research has produced some guidelines for researchers as well as leaders, and provided evidence to support the use of knowledge sharing to increase innovation within the higher education environment in developing countries, particularly Iraq.

Keywords: Top management support, knowledge sharing, innovation, structural equation modelling.

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Authors: Heng Ma

Abstract:

Aiming at the problems existing in low-carbon technology of Chinese manufacturing industries, such as irrational energy structure, lack of technological innovation, financial constraints, this paper puts forward the suggestion that the leading role of the government is combined with the roles of enterprises and market. That is, through increasing the governmental funding the adjustment of the industrial structures and enhancement of the legal supervision are supported. Technological innovation is accelerated by the enterprises, and the carbon trading will be promoted so as to trigger the low-carbon revolution in Chinese manufacturing field.

Keywords: Low-carbon economy, traditional manufacturing industry, industrial structure, carbon emission reduction.

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Authors: Justin D. Olmanson, Fitsum F. Abebe, Valerie Jones, Eric Kyle, Lyrica Lucas, Katherine Robbins, Guieswende Rouamba, Xianquan Liu

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While emerging technologies continue to emerge, research into their use in learning contexts often focuses on a subset of educational practices and ways of using technologies. In this study we begin to explore the extent to which educational designs are influenced by larger societal and education-related factors not usually explicitly considered when designing or identifying technology-supported education experiences for research study. We examine patterns within and between factors via a content analysis across ten years and 19 different journals of published peer-reviewed research on technology-supported writing. Our findings have implications for how researchers, designers, and educators approach technology-supported educational design within and beyond the field of writing and literacy.

Keywords: Writing, emerging technology, learning, curriculum, pedagogy.

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Authors: Mohd Iskandar bin Illyas Tan, Iziati Saadah bt Ibrahim

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Logistics is part of the supply chain processes that plans, implements, and controls the efficient and effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customer requirements. This research aims to investigate the current status and future direction of the use of Information Technology (IT) for logistics, focusing on Supply Chain Management (SCM) and E-Commerce adoption in Johor. Therefore, this research stresses on the type of technology being adopted, factors, benefits and barriers affecting the innovation in SCM and ECommerce technology adoption among Logistics Service Providers (LSP). A mailed questionnaire survey was conducted to collect data from 265 logistics companies in Johor. The research revealed that SCM technology adoption among LSP was higher as they had adopted SCM technology in various business processes while they perceived a high level of benefits from SCM adoption. Obviously, ECommerce technology adoption among LSP is relatively low.

Keywords: E-Commerce, Johor, Logistics Service Providers, Supply Chain Management.

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Authors: Radostina Popova

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The paper presents an analysis of the innovation performance of small and medium-sized furniture enterprises in Bulgaria, accounting for over 97% of the companies in the sector. It contains advanced features of innovation in enterprises, specific features of the furniture industry in Bulgaria and analysis of the results of studies on the topic. The results from studies of three successive periods - 2006-2008; 2008-2010; 2010-2012, during which were studied 594 small and medium-sized furniture enterprises. There are commonly used in the EU definitions and indicators (European Commission, OECD, Oslo Manual), which allows for the comparability of results.

Keywords: Innovation activity, competitiveness of innovation, furniture enterprises in Bulgaria.

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Authors: Lovorka Galetic, Zeljko Vukelic

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The advanced concepts of strategic and innovation management in the sphere of company dynamic and innovation capabilities, and achieving their mutual alignment and a synergy effect, are important elements in business today. This paper analyses the theory and empirically investigates the influence of a company’s dynamic capabilities on its innovation capabilities. A new multidimensional model of dynamic capabilities is presented, consisting of five factors appropriate to real time requirements, while innovation capabilities are considered pursuant to the official OECD and Eurostat standards. After examination of dynamic and innovation capabilities indicated their theoretical links, the empirical study testing the model and examining the influence of a company’s dynamic capabilities on its innovation capabilities showed significant results. In the study, a research model was posed to relate company dynamic and innovation capabilities. One side of the model features the variables that are the determinants of dynamic capabilities defined through their factors, while the other side features the determinants of innovation capabilities pursuant to the official standards. With regard to the research model, five hypotheses were set. The study was performed in late 2014 on a representative sample of large and very large Croatian enterprises with a minimum of 250 employees. The research instrument was a questionnaire administered to company top management. For both variables, the position of the company was tested in comparison to industry competitors, on a fivepoint scale. In order to test the hypotheses, correlation tests were performed to determine whether there is a correlation between each individual factor of company dynamic capabilities with the existence of its innovation capabilities, in line with the research model. The results indicate a strong correlation between a company’s possession of dynamic capabilities in terms of their factors, due to the new multi-dimensional model presented in this paper, with its possession of innovation capabilities. Based on the results, all five hypotheses were accepted. Ultimately, it was concluded that there is a strong association between the dynamic and innovation capabilities of a company. 

Keywords: Dynamic capabilities, innovation capabilities, competitive advantage, business results.

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Authors: Y. W. Chen, H. L. Fan

Abstract:

Evidence shows that start-ups success is positively correlated with the launch of the first product. However, new ventures are seldom able to acquire abundant resources for new product development (NPD), which means that entrepreneurs may depend on personal creativity instead of physical investments to achieve and accelerate innovation speed. This study accentuates the role of entrepreneurial bricolage, which defined as making do by applying combinations of the resources at hand to new problems and opportunities, in the relations of creative self-efficacy and innovation speed. This study uses the multiple regression analysis to test the hypotheses in a sample of 203 start-ups operating in various creative markets in Taiwan. Results reveal that creative self-efficacy is positively and directly associated with innovation speed, whereas entrepreneurial bricolage plays a full mediator. These findings offer important theoretical and practical implications.

Keywords: Creative self-efficacy, innovation speed, entrepreneurial bricolage, new ventures.

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Authors: Kwok Tak Kit

Abstract:

The construction industry plays an important role in environmental and carbon emissions as it consumes a huge amount of natural resources and energy. Sustainable engineering involves the process of planning, design, procurement, construction and delivery in which the whole building and construction process resulting from building and construction can be effectively and sustainability managed to achieve the use of natural resources. Implementation of sustainable technology development and innovation, adoption of the advanced construction process and facilitate the facilities management to implement the energy and waste control more accurately and effectively. Study and research in the relationship of BIM and environment assessment tools lack a clear discussion. In this paper, we will focus on the synergy of BIM technology and sustainable engineering in the AEC industry and outline the key factors which enhance the use of advanced innovation, technology and method and define the role of stakeholders to achieve zero-carbon emission toward the Paris Agreement to limit global warming to well below 2°C above pre-industrial levels. A case study of the adoption of Building Information Modeling (BIM) and environmental assessment tools in Hong Kong will be discussed in this paper.

Keywords: sustainability, sustainable engineering, BIM, LEED

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Authors: Wen-Pai Wang

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The growing influence of service industries has prompted greater attention being paid to service operations management. However, service managers often have difficulty articulating the veritable effects of their service innovation. Especially, the performance evaluation process of service innovation problems generally involves uncertain and imprecise data. This paper presents a 2-tuple fuzzy linguistic computing approach to dealing with heterogeneous information and information loss problems while the processes of subjective evaluation integration. The proposed method based on group decision-making scenario to assist business managers in measuring performance of service innovation manipulates the heterogeneity integration processes and avoids the information loss effectively.

Keywords: Group decision-making, Heterogeneity, Linguisticcomputing, Multi-criteria, Service innovation

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Authors: Hugo Rodríguez

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The patenting of inventions is the result of an organized effort to achieve technological improvement and its consequent positive impact on the population's standard of living. Technology exports, either of high-tech goods or of Information and Communication Technology (ICT) services, represent the level of acceptance that world markets have of that technology acquired or developed by a country, either in public or private settings. A quantitative measure of the above variables is expected to have a positive and relevant impact on the level of economic development of the countries, measured on this first occasion through their level of Gross Domestic Product (GDP). And in that sense, it not only explains the performance of an economy but the difference between nations. We present an econometric model where we seek to explain the difference between the GDP levels of 178 countries through their different performance in the outputs of the technological production process. We take the variables of Patenting, ICT Exports and High Technology Exports as results of the innovation process. This model achieves an explanatory power for four annual cuts (2000, 2005, 2010 and 2015) equivalent to an adjusted r2 of 0.91, 0.87, 0.91 and 0.96, respectively.

Keywords: Development, exports, patents, technology.

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Authors: Marco Ogê Muniz, Luiz Fernando Gonçalves De Figueiredo

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Design, as an area of knowledge, is subject to changes that affect it through different approaches, both theoretical and practical; its include matters related with responsibility, environment, social worries, and things alike. Commensurately, such contemporary aspects open room for social initiatives. This scenario begins to be looked at, especially in creative communities. Such proposal for a systemic approach of design is seen as a way to involve the stakeholders in the processes of investigation and of social innovation, which can decisively contribute for the development of traditional local communities. As a theoretical basis for the research, this paper outlines some especial features of design and social innovation, in their particular and in their complementary aspects, as well as in the way they relate with each other.

Keywords: Responsible design, social innovation, creative community, systemic approach, network.

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Authors: Victoria Wolf, Renata Dobrucka, Robert Prezkop, Stephan Haubold

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The COVID-19 causes a worldwide crisis and has an impact in every dimension of the economy. Organizations with the ability to adapt to new developments and which innovate solutions for the disrupted world during and after the Corona crises have the opportunity to not only survive the crisis but rather to use new trends to implement new business models and gain advantage. In this context, startups seem to have better opportunities to manage the Corona crisis through their innovation-based nature. The main result of this paper is the understanding that by applying a startup orientated innovation (SOCI) strategy, established companies can be motivated to meet the challenge of COVID-19 in a similar way like startups. This result can be achieved by describing the role of innovation and a SOCI strategy as helpful methods for organizations to meet the coming challenges during and after the COVID-19 epidemics. In addition to this, this paper presents a practical application of SOCI through the PANDA approach of the Fresenius University of Applied Sciences in Germany and discuss it in the context of COVID-19 as an exemplary successful real-world implementation of SOCI strategy.

Keywords: COVID-19, innovation, open innovation, startup, SOCI framework.

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Authors: Mariann Veresne Somosi, Zoltan Nagy, Krisztina Varga

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Innovation is the key element of economic development and a key factor in social processes. Technical innovations can be identified as prerequisites and causes of social change and cannot be created without the renewal of society. The study of social innovation can be characterised as one of the significant research areas of our day. The study’s aim is to identify the process of social innovation, which can be defined by input, transformation, and output factors. This approach divides the social innovation process into three parts: situation analysis, implementation, follow-up. The methods associated with each stage of the process are illustrated by the chronological line of social innovation. In this study, we have sought to present methodologies that support long- and short-term decision-making that is easy to apply, have different complementary content, and are well visualised for different user groups. When applying the methods, the reference objects are different: county, district, settlement, specific organisation. The solution proposed by the study supports the development of a methodological combination adapted to different situations. Having reviewed metric and conceptualisation issues, we wanted to develop a methodological combination along with a change management logic suitable for structured support to the generation of social innovation in the case of a locality or a specific organisation. In addition to a theoretical summary, in the second part of the study, we want to give a non-exhaustive picture of the two counties located in the north-eastern part of Hungary through specific analyses and case descriptions.

Keywords: Factors of social innovation, methodological combination, social innovation process, supporting decision-making.

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Authors: Ujjwala Bhand, Mridula Goel

Abstract:

Global Competitiveness Index (GCI) prepared by World Economic Forum has become a benchmark in studying the competitiveness of countries and for understanding the factors that enable competitiveness. Innovation is a key pillar in competitiveness and has the unique property of enabling exponential economic growth. This paper attempts to analyze how the pillars comprising the Global Competitiveness Index affect innovation and whether GDP growth can directly affect innovation outcomes for a country. The key objective of the study is to identify areas on which governments of developing countries can focus policies and programs to improve their country’s innovativeness. We have compiled a panel data set for top innovating countries and large emerging economies called BRICS from 2007-08 to 2014-15 in order to find the significant factors that affect innovation. The results of the regression analysis suggest that government should make policies to improve labor market efficiency, establish sophisticated business networks, provide basic health and primary education to its people and strengthen the quality of higher education and training services in the economy. The achievements of smaller economies on innovation suggest that concerted efforts by governments can counter any size related disadvantage, and in fact can provide greater flexibility and speed in encouraging innovation.

Keywords: Innovation, Global Competitiveness Index, BRICS, economic growth.

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