the role of trade and investment Michiko ENOMOTO Economic Cooperation and Integration Division UNECE Geneva 31 May 2013 Why do we promote innovation Economic crisis Environmental challenges ID: 777790
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Slide1
Promoting catch-up innovations – the role of trade and investment
Michiko ENOMOTO
Economic
Cooperation and
Integration
Division
/UNECE
Geneva, 31
May
2013
Slide2Why do we promote innovation? Economic crisisEnvironmental challenges Innovation and new technologies play a decisive role:economic and social development, economic growth, improved productivity and competitiveness, and improved quality of life.
Slide33What is innovation?Not
only
results
of R & D…
But also implementation
of
new
or
greatly
improved
product
(good or service), or
process
,
new
marketing method
, or
new
organisational
method
in business practices, workplace
organisation
or external relations
.
Definition (OECD Oslo
Manual)
Slide44Invention vs innovationNew inventions/technologies may lead
to a
patent
Innovation
only takes place when this novelty is
used
Then
the benefits for the economy/environment emerge.
Slide5Kyrgyzstan and TajikistanInnovation landscapeSource: The Global Innovation Index 2012, INSEADSource: The Global Innovation Index 2012, INSEAD
Slide6Diversity among PAM member countries
Slide7Diversity among PAM member countries (source INSEAD/WIPO)
Slide8Frontier innovationsFrontier innovations - new to world knowledge Most take place in high-
income
countries
R
& D in
firms
plays
major role.
Slide9Catch-up innovations and technology absorptionCatch-up innovations – new to country/firmTo acquire, adapt and use existing knowledge---less costly and less risky than creating new
Successful emerging economies imported what the rest of the world already knew; improved it, and exported it in a form the rest of the world wanted
S
trong
absorptive capacity made this
possible
Slide10Government as gardener
Discovery
and
importing
seeds
Access
to information, diaspora, open tradePlanting seed
and growing plants Joint ventures, FDI
Watering
Financing
Preparing
ground
= good absorption
capacity
Good
education
,
entrepreneurship
,
basic technological
literacyRemoving weeds
Poor business environmentImprovement
of the seed Catch-up
innovation – R & D.
How to grow innovation plants?
Slide11Absorptive capacity“The [a firm’s] ability to recognize the value of new information, assimilate it, and apply it to commercial ends” (Cohen and Levinthal)Access to knowledgeCross-border connectivity
Favourable
legal
framework
for
technology
transferGood business environmentEducation, vocational trainingManagement and entrepreneurship.
Slide12How to foster catch-up innovations and to stimulate technology absorption?Access: Open trade (imports)Information and Communication Technology policies
International collaboration in research networks
Diaspora
Business facilitation
:
Ease of business,
foreign direct investment
,
labour
mobility.
Slide13How to foster catch-up innovations and to stimulate technology absorption?Intellectual Property Rights legislation and enforcementPublic procurement, standards and regulationsSupport for finance to early
adopters/demonstrators.
Slide14How to increase absorptive capacity?Empowerment of local human resources:Education and life-long
learning
policies
Enterprise-
based
worker
training
, management and entrepreneurship trainingTechnical and vocational education and training.
Slide15How to increase absorptive capacity?Facilitate network with global suppliersDevelop linkages to global value chains
Rule
of
law
,
contract
enforcement
,
competitionBankruptcy and re-entry facilitationPolicies to attract and retain talented
workers.
Slide1616UNECE Innovation Performance Reviews
Policy recommendations
stimulate
innovation activity in the country
enhance innovation capacity
improve the
efficiency
of the national innovation
system
Follow-up
and capacity-building activities to support
implementation.
Slide1717
Slide1818Green technologies
UNDA
project "Building the capacity of SPECA countries to adopt and apply innovative green technologies for climate change
adaptation“
How to integrate environmental concerns into innovation policies?
How to
mobilise
the financing to introduce green technologies (PPP)?
How to bring together all stakeholders to make changes?
Slide19Thank you!ありがとうMichiko ENOMOTO (UNECE)
Michiko.Enomoto@unece.org