Breaking with the Past in Smart Specialisation: A New Model of Selection of Business Stakeholders Within the Entrepreneurial Process of Discovery

Abstract

The real core of the smart specialisation approach is embedded in what is known as the entrepreneurial process of discovery (EPD), which is a main novelty of this innovative policy framework. A successful EPD requires a relevant involvement of stakeholders, but this demands a careful actors' selection. This paper proposes an analytical method for the selection of private business stakeholders, based on a transparent and measurable criterion: the choice of the entrepreneurs who can best de…ne an adequate resource allocation over time in a context of uncertainty. On the basis of a dynamic general equilibrium model with monopolistic competition, the paper proposes a simple test comparing the optimal decisions on factors'demand taken in di¤erent periods. The closer the factors' demands are, the better the entrepreneur's ability will be to predict the most adequate level of resources. The main contributions are threefold. Firstly, it proposes an analytically-sound method to discriminate between entrepreneurs, which could minimise rent-seekers'behaviours. Secondly, the model incorporates new features in relation to previous references, such as monopolistic competition and consumer behaviour. Thirdly, the entrepreneurship discussion is broadened to consider not only labour but also private capital.

Optimizing entrepreneurial development processes for smart specialization in the European Union

“…The smart specialization literature considers EDP as one of the central elements of S3 (Foray, 2019; Martínez‐López & Palazuelos‐Martínez, 2019) and probably the most ambitious element when it comes to its practical implementation S3 (del Hermosa et al, 2015; Krammer, 2017; Ranga, 2013; Sotarauta, 2018). The EDP “that it is the heart of the S3 approach is by construction an inclusive, continuous, embedded and bottom‐up process” (Kyriakou, 2017, p. 5).…”

Facilitation of Entrepreneurial Discovery Processes by Policymakers: an Actionable Definition of Roles and Challenges

“…Landabaso (2014), for instance, argues for a public sector capable of taking risks and experimenting, one which is professional, accountable, and that works with the right system of incentives to achieve the common good. Governments are expected to be public entrepreneurs with the capacity to avoid some of the past mistakes made in past industrial and innovation policies when facilitating EDPs (Ahner & Landabaso, 2011;Landabaso, 2014;Lepore & Spigarelli, 2018;Martínez López & Palazuelos Martínez, 2015). In this regard, public sector innovation cannot be the only means to build smart public administrations that are better suited to the rationale of new place-based development policies (Morgan, 2017).…”

“…(a) Creating Spaces for Dialogue A dialogue is not merely a conversation but also a transformation process. This function entails not only making decisions about who should participate (Nissinen, 2017;Grillo, 2017;Rodríguez-Pose & Wilkie, 2015;Martínez López & Palazuelos Martínez, 2015;Mieszkowski & Kardas, 2015) but also which role each person should play, what the aims of the space are, and the rules of the game. Facilitators work for the connection of a wide network where they encourage collaboration (Müür, 2021).…”

“…Many guides and handbooks offer insights to policymakers involved in EDPs (Mieszkowski & Kardas, 2015;Periánez-Forte et al, 2016;Gianelle et al, 2016;Marinelli & Periánez-Forte, 2017;Detterbeck, 2018). While some of them focus on specific operationalisation challenges (Todeva & Ketikidis, 2017;Vivanco et al, 2016;Martínez López & Palazuelos Martínez, 2015), others offer a holistic process approach (Roman & Nyberg, 2017). Müür (2021), for example, attempts to do so by analysing the role of intermediary agents who facilitate interaction among territorial actors in Estonia and Finland.…”

Smart specialization and place leadership: dreaming about shared visions, falling into policy traps?

“…The concept of smart specialization has rapidly acquired a central position in European policy and academic circles. It is an institutionalized European strategy approach that serves as an 'ex-ante conditionality' for the European Union Structural Funds (2014-20) (Martínez-López & Palazuelos-Martínez, 2015). According to Morgan (2017, p. 569), 'smart specialisation is the most ambitious regional innovation programme ever to be launched in the European Union', and 'it affords a unique opportunity to explore the interplay between institutions, innovation and development'.…”