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Restructuring and Embeddeness Of Business Enterprises - Towards An Innovation System Perspective On Diffusion Policy

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  • Morris Teubal

Abstract

The paper deals with the policies for an idealized transition of a National System of Innovation (NSI) from a system reflecting a relatively closed industrializing economy to an NSI which reflects the conditions of a well-developed "Information Society" and "Learning Economy". The analysis of the transition process analyse the NSI from the viewpoint of the needs of the existing firms of the business sector. The problem is how different types of industrial and technology policy may help the business-oriented restructuring of the NSI. The policies are: horizontal support for R & D of advanced firms; SME schemes for laggard firms, etc.; new institutions and organizations for the cooperative production of new technological inputs, such as customized chips; proactive diffusion policies; and market building. It is suggested that policies should initially contribute to the self-organised restructuring of advanced enterprises. On the basis is this preliminary change in the NSI it is possible to turn promoting the restructuring of imitators and laggards which have less awareness and fewer absorbtion capabilities of the new technological input. The goal is to generate a cumulative learning processes about restructuring which benefit both the firms receiving support and other less advanced firms. In the implementation of the policies it is important to recognize the time dependence (need to exploit the learning potential from advanced firm restructuring; and the need to assure sufficiently strong system effects).

Suggested Citation

  • Morris Teubal, 1997. "Restructuring and Embeddeness Of Business Enterprises - Towards An Innovation System Perspective On Diffusion Policy," DRUID Working Papers 97-6, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    • Handle: RePEc:aal:abbswp:97-6
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    References listed on IDEAS

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    8. Bianchi, Patrizio & Bellini, Nicola, 1991. "Public policies for local networks of innovators," Research Policy, Elsevier, vol. 20(5), pages 487-497, October.
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    Cited by:

    1. Bodas Freitas, Isabel Maria, 2008. "Sources of differences in the pattern of adoption of organizational and managerial innovations from early to late 1990s, in the UK," Research Policy, Elsevier, vol. 37(1), pages 131-148, February.

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    More about this item

    Keywords

    National Systems of Innovation; learning Economy; Diffusion of innovation; innovation;
    All these keywords.

    JEL classification:

    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights

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