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Business incubators in a developing economy: Evidence from Brazil's northeast region

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  • Ido Alon
  • Manuel Mira Godinho

Abstract

Business incubators (BIs) have become a common tool for promoting entrepreneurship and innovation in many parts of the world, Brazil being no exception. Several studies have been carried out to evaluate the performance and impact of BIs around the country, although the peripheral northeast region has been a less popular subject for critical analysis. This research surveyed 35 BIs (out of a total of 36) and 93 incubated firms (out of a total of 320). In addition, 14 interviews were carried out to assess the incubation process in the northeastern region. Our analysis points to a number of serious shortcomings in management, finance and mediation, which may cast doubt on the effectiveness of the BIs. This paper highlights a number of structural problems which may be common to other peripheral regions and suggests a series of measures that could be taken, in order to produce a better regional incubation process.

Suggested Citation

  • Ido Alon & Manuel Mira Godinho, 2017. "Business incubators in a developing economy: Evidence from Brazil's northeast region," Science and Public Policy, Oxford University Press, vol. 44(1), pages 13-25.
    • Handle: RePEc:oup:scippl:v:44:y:2017:i:1:p:13-25.
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    File URL: http://hdl.handle.net/10.1093/scipol/scw008
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    References listed on IDEAS

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    1. Bernardo Campos Serra & Fernando Ribeiro Serra & Manuel Portugal Ferreira & Gabriela Gonçalves Fiates, 2010. "Fatores fundamentais para o desempenho de incubadoras," Working Papers 63, globADVANTAGE, Polytechnic Institute of Leiria.
    2. Daniel Lederman & Julián Messina & Samuel Pienknagura & Jamele Rigolini, 2014. "Latin American Entrepreneurs : Many Firms but Little Innovation [El emprendimiento en América Latina : muchas empresas y poca innovación]," World Bank Publications - Books, The World Bank Group, number 16457, December.
    3. Aaron Chatterji & Edward Glaeser & William Kerr, 2014. "Clusters of Entrepreneurship and Innovation," Innovation Policy and the Economy, University of Chicago Press, vol. 14(1), pages 129-166.
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