Regional innovation systems in EU-10: A typology and policy recommendations

This paper depicts a typology of regions, capturing the diversity of regional innovationsystems across the EU-10 (the enlargement member States). Following the RegionalInnovation Systems (RIS) literature, our research selects 21 variables related to theability of a region to generate and absorb knowledge, and its capacity to transform R&Dinto innovation and economic growth. Based on the results of principal components andcluster analyses, we identify 3 types of regional innovation systems where regionsgroup together according to their sectoral specialisation, technological and economiccapacity, and performance. For each group a number of policy recommendations aresuggested, contingent to their local-specific characteristics. Moreover, the paper allowsus to identify similar and more advanced regions so as to facilitate comparisons andbenchmarking between homogeneous regions, thus enabling more accurate policylearning. In short the contribution of this paper is twofold. In the first place it providesthe first RIS typology for the EU-10 regions completed using a large number ofvariables. Secondly, the conclusions obtained from the analysis may be used to leadpolicymakers' actions in the field of regional innovation policy in the EU 10, whichgroups the less developed countries in the European Union from the economic andtechnological points of view. Moreover, policy implications in this paper could givecertain insights useful to policy makers in other parts of the world (always with a needto adapt them and take into account local social and economic conditions, institutionsand development paths).