Does innovation support and maturity matter for firms’ performance in a moderately developed regional innovation system in Central Europe?

Abstract

Regional innovation systems in Central and Eastern Europe suffer from many handicaps connected with generally lower levels of business activity and unfavourable positions of firms within global value chains. In this paper, results of business coaching programmes implemented in South Moravia (Czechia) are evaluated. The success of support is assessed (1) in terms of turnover, value added and employment growth (using a counterfactual analysis), and (2) according to the maturity of companies. Average annual growth of the treated companies was higher compared to a control group of non-supported firms. Apart from the initial dynamic growth, the supported start-ups underwent the fastest growth between 2 and 3 years after entering the programme, when the impact of the support on their performance was fully expressed. The findings bring new insights into the effects of targeted support of companies, using unique company data combined with qualitative information on the results of evaluated measures.

Keywords:

• start-ups
• innovative companies
• regional innovation system
• counterfactual analysis
• Czech

Additional information

Funding

Financial support of the Czech Ministry of Education, Youth and Sports [grant number LO1407] and the Czech Science Foundation [grant number 17-06621S] is greatly acknowledged. This work has been also supported by the Charles University Research Centre Programme [grant number UNCE/HUM/018].

Notes on contributors

Miroslav Kostić

Miroslav Kostić works as a policy analyst for research, development and innovation in the Technology Centre of the Czech Academy of Sciences. He has been involved in the design of national policies and programmes in this area (National R&D&I Policy, National Priorities of Oriented R&D&I, Operational Programme Research, Development and Education 2014-2020, etc.). Due to his specialisation in regional aspects of R&I policies, he has participated in several international projects dealing with strengthening regional competitiveness through research and innovation.

Viktor Květoň

Viktor Květoň is an assistant professor at the Department of Social Geography and Regional Development, Charles University, Czechia. His research interests revolve around evolutionary economic geography, smart specialisation strategies, regional innovation systems, diversification, industrial dynamics and path development. In his area of expertise, he has been involved in national and international research as well as consultancy projects.