Analyzing the legal environment for public procurement as a demand-side innovation policy measure

Abstract

Purpose This paper aims to analyze Brazil’s legal and institutional arrangements for the design, implementation and accountability of public procurement for innovation (PPI) and to investigate how this apparatus has been adjusted, modified and even replaced to enable its use in innovation policies. Design/methodology/approach It is a descriptive analysis of the legal framework for PPI in Brazil supplemented with case reports of ongoing PPI contracts. Findings Despite the significant advances in the PPI legal framework in Brazil, this instrument’s implementation is still limited. A disconnection between PPI and innovation policy goals and legal-institutional constraints are reasonable answers to this problem. Social implications Law is closely related to the design, implementation and control of public policy tools. However, there is still a tine understanding of how the legal framework can corroborate or constrain new mechanisms to state purchase power, such as PPI. Originality/value Public procurement is the most crucial tool of demand-side policies for innovation, and it is implemented according to the legal framework in each country. This paper adds to the law and innovation research agenda, providing an overview of the Brazilian PPI legal framework and how it is going so far.

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