J. Open Innov. Technol. Mark. Complex., Volume 3, Issue 3 (September 2017) – 10 articles

Despite the increase of government spending on R&D in South Korea, there have been limits in enhancing the challenging trait and creativity of research outcomes. A new approach to the current mode of R&D is considered necessary to tackle this problem. In 2015, South Korea operated fifteen programs, namely “High-risk Highreturn R&D,” from seven government ministries. The purpose of this study is to examine the actual conditions for adoption and to further promote early establishment and wide implementation of the new “High-risk High-return policy” in National R&D, and to suggest ways to improve it. In this study, we have approached the case with a life-cycle perspective of planmanagement- evaluation of R&D by carrying out a survey and unstandardized interviews with key staff from R&D management agencies. Based on the results of the analysis, we suggest improvements in three aspects: 1) flexible system operation, 2) government ministries’ autonomy and accountability, 3) effective incentives. Finally, we discuss possible improvements, future directions, and the limits of this study. Full article

With its Leading-Edge Cluster Competition (in German: Spitzencluster-Wettbewerb; LECC), the Federal Ministry of Education and Research (Bundesministerium für Bildung und Forschung, BMBF) is supporting innovation clusters in a nationwide contest for the first time. In three waves, 15 cluster initiatives were selected and provided with funds to support them on their way to becoming international leaders in their field of technology. This paper presents the results of empirical studies regarding several important aspects of the LECC. The analysis of network relations shows that the LECC's short-term goal of intensifying or enhancing networking between innovative stakeholders in the cluster regions has been achieved. At the same time, certain types of regional impulses of the LECC can already be observed, primarily an improved visibility of the Leading-Edge Cluster regions and enhanced regional R&D activity. When looking at causal programme effects, we find that the programme increases firm-level R&D expenditure, but also that the programme design influences the programme impulse, e.g. by promoting additional activities of SMEs. Full article

Despite pervasiveness of the market forces and supplementary role of the state and in some cases, even civil society organisations, there are unmet social needs which remain unaddressed by the existing institutions. With industrial growth becoming jobless, the need for new models of social innovation is being felt all around the world to provide jobs to the youth, skills for the new economy and entrepreneurial opportunities for transforming resources and skills. The persistence of some of these unmet needs (also referred as wicked problems sometimes) or unaddressed problems for a long time shows that the existing institutional arrangements are inadequate for the purpose. Innovations are imperative. A socio-ecological system that recognizes and rewards innovation can withstand many external shocks, provided it is agile and innovates quickly to remain responsive to emergent challenges (Anderies, Janssen, & Ostrom. Ecology and society, 9(1)2004). Whether corporations will follow an open innovation approach to blend grassroots ideas and innovations with their expertise in a reciprocal, responsible and respectful manner (Gupta et al., Journal of Open Innovation: Technology, Market, and Complexity 2: 16, 2016) is still an open question. The design of appropriatemanufacturing and frugal supply chain will then become closely linked with other features of open innovation ecosystem. The debate on the role of social innovation in multi-stakeholder context in European focused on how these innovations fostered trust among different actors and influenced policy (Defourny and Nyssens. Social Enterprise Journal 4: 202–228, 2008). In this paper, we describe the market and social forces which influence the emergence of social innovations through various processes. We then look into the evolutionary pathways for social innovations (Mulgan, Innovations 1: 145–162, 2006), to avoid inertia and spur initiatives to bridge the social gap in an inclusive manner through mobilization of youth in particular. The ecosystem for social open innovations provides scope for connecting corporations and communities (Herrera, 2015; Gibson-Graham and Roelvink, Social innovation for community economies: how, 2013). Following the theory of reciprocal and responsible open innovation systems (Gupta et al., Journal of Open Innovation: Technology, Market, and Complexity 2: 16, 2016), we explore the way barriers are overcome on the way to reach the base of economic pyramid [BOEP] customer. Technological adaptability and institutional or market adaptability are explored to understand how communities get empowered to deal with corporations through an open innovation platform. The corporations need to be empowered to understand the decision heuristics followed by grassroots and community frugal innovators (Gupta, Innovations 1: 49–66, 2006). Just as communities need to be empowered to negotiate fair and just exchange relationship with corporations (Honey Bee Network, 1990–2017). Finally, we conclude with the recommendations based on the experiences of grassroots innovators that can enrich both social innovations and social enterprises following commercial as well as social business models for meeting the unmet needs of the disadvantage section of the society. Full article

Purpose: The purpose of the article is to analyze Americanization patterns in Lithuania by exploring socio-economic and cultural factors and to determine the impact of Americanization on the level of globalization of the country and its economy.Design/methodology: The research employs both qualitative and quantitative methods by using primary and secondary data. Further descriptive statistics, correlation regression, and factor analysis is applied. Carrying out the survey has collected primary data. Secondary data was drawn from the Statistics Lithuania, Premiercapital, and Swiss Federal Institute of Technology Zurich.Findings/outcomes: The obtained and analyzed information on the spread of foreign capital, culture and their impact on social and cultural life in the host country which results in emigration and brain drain problems. On the other hand, the research allows us to examining the behavior of Lithuanians and their abilities to accept new culture and social life on the basis of own wealth. The results show that Americanization has much significant impact on economic growth rather than on globalization in Lithuania.Originality/value: It is an interdisciplinary research, which covers three scientific areas: sociology, economics and mathematics. It is unique as it extends to the theory of globalization and synthesizes both understandings of Americanization: cultural assimilation and Americanization as the form of internationalization. Full article

Knowledge across several segments appears to be a necessary ingredient to innovation in the case of an architectural shift. Innovative firms utilize their knowledge stock to confront the competitive market. This paper demonstrates that exploitation of accumulated knowledge leads to architectural innovation. Ironically, in the new development of products with a short life cycle, when a firm discards its accumulated knowledge, innovation can be the result. After architecture technology is fully emerged, the utilization of architectural knowledge is one of the critical innovations. Based on the findings, architectural changing from sequential rotation flip into simultaneous vibration feeding flip in Pick and Place is a result of discarding the existing accumulated knowledge. This paper enhances our understanding of how architectural innovation occurs. Full article

Our most pressing societal problems such as enhancing health care, developing alternate energy, revitalizing cities, and advancing the economy are complex innovation eco-systems. Complex innovation eco-systems are the next frontier in technology and innovation management, and require a transformation in strategic and institutional management so that managers can muster the staying power to persist and learn far into the future. I develop a framework to explain how participants can strategize across an entire eco-system, deal with the profound ambiguity from complexity, and handle the very long cycle times of complex innovations. Transformed strategic and institutional management combines abductive learning routines with clock-time and event-time pacing to map a portfolio of value creating opportunities far into the future. Eco-system participants use learning events, which represent available knowledge, to hypothesize new value creating opportunities and new kinds of governance structures for specific collaborations, evaluate these opportunities and governance structures by trying them out to explore assumptions and surface new possibilities, and reframe them over time. Full article

Purpose: This paper introduces and analyses the Business Model Prism (BMP) for the arts and cultural organizations as multidimensional framework to map the “as is” structure and the logic of their business model as well as to drive the design of innovation initiatives, i.e. the “as should be” business model. The framework can be used both for descriptive and normative purposes and comprises seven facets organized and represented with a tri-dimensional prism which defines the key business components of arts and cultural organisations. Design/methodology/approach: The research design and methodology are based on a literature review on the themes of business models and business models innovation with a focus on the characteristics and features of the arts and cultural organisations. This paper has a conceptual nature and it is based on a literature review. This includes also a desk research investigation of some key examples of arts and cultural organisations that have adopted innovations to transform the way how they work and deliver value to audience. The development of the novel framework builds the foundation for applying operatively and testing it in arts and cultural organisations and supports them in mapping and transforming effectively their business model. Originality/value: Traditionally great attention the studies on business model innovation have been focused on businesses and public organisations, while rather limited attention has been paid to the investigation of how arts and cultural organisations can develop and manage their business models. Most of the attempts in this direction are aimed at contextualising, in the cultural sector, frameworks that have been devised for the business sector. Although acknowledging the relevance of these contributions, they present weaknesses related to the capacity to take into account the specific characteristics and features of the arts and cultural organisations. The originality and the value of this paper resides, then, in the attempt to fill this gap, providing a new and industry-specific framework able to effectively support the management and the innovation of the business models in the arts and cultural sector.Practical implications: The proposed framework can support arts and cultural managers to understand the key dimensions characterising the business model of their organizations. In addition, it provides guidelines to map and design managerial initiatives to develop and transform the business model of arts and cultural organisations. Full article

Complex adaptive systems consist of a multitude of agents from whose individual adaptation efforts the adaptive behavior of the system as a whole emerges. In this paper it will be argued that capitalism is a complex adaptive system. Except for its particular mode of production many of its features are typical for such a system. A case in point is the way in which economic growth emerges as a collective outcome of individual adaptation strategies. The complex adaptive systems perspective offers a particular explanation for why the successive extension of the bounds of existing production possibilities is unsteady and rather wasteful in capitalism. Moreover, the strategies by which the agents try to adapt to crises – many of which imply some form of innovations – do not necessarily contribute to a re-emergence of new growth impulses. It is shown that the empirical record of economic growth in the most developed economies indeed reveals a trend of declining growth rates. This seems to suggest that successfully creating new economic growth through innovative strategies is the more difficult, the more prosperous an economy becomes. The paper discusses what can be conjectured to be the cause of this development and what to do about it. Full article

This paper aims to analyse scientific studies focusing on both environmental sustainability and smart city concepts to understand the relationship between these two. In order to do so the study identifies information about researchers, models, frameworks and tools focused on the chosen themes. This research uses a qualitative methodology, through a systematic review of the literature, which examines the terms, ‘smart city’ and ‘sustainability’, aimed at sustainable development of smart cities. For this, three databases were used: Scopus, Science Direct, and Emerald Insight. This paper provides detailed information on the most recent scientific articles focusing on smart cities and sustainability issues. The paper can serve as a basis for researchers seeking background information for further investigations. The findings provide invaluable insights for scholars researching on the subject, and public managers considering applying those into practice in their cities. Full article

This paper offers an account of the recent economic slowdown in the growth trajectory formerly enjoyed by South Korea as one of the first “Asian Tigers”. Indicators are provided that, unlike the others, Hong Kong, Singapore and Taiwan that have continued their upward profile, South Korea has stagnated. It is argued that the others and some more recent Asian growth economies have moved upwards to higher value, high skill and high profitability levels and deindustrialising as they did so. This even applies to recent breakthrough economies like China and Vietnam. In each case, “financialization” has been an important element in the growth of the Quaternary economy, even in such relative newcomers as Vietnam, where privatization of services has attracted private equity and other foreign direct investment financiers. Thus manufacturing is less pronounced than it was. Meanwhile, South Korea has a weak international presence of banks and other financial sectors because of the domestic focus in its indigenous growth model. Other weaknesses of closed versus open innovation and “cronyism” at the behest of the Chaebol system can be laid at the door of South Korea’s traditional conglomerates. A different model of “thin globalisation” led by knowledge-intensive high-tech, biotech and cleantech with prodigious financialization is characteristic of the new fast-growth regions and countries elsewhere, notably Israel, Silicon Valley and Cambridge. Here flattened hierarchies, reliable networking, and “crossover” innovation are pronounced and from which South Korean industrialists and policymakers could usefully learn to recover past growth performance. Full article