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Is Innovation a Turks' Game to Create New Wealth? A. Mete Çakmakcı HE Ambassador of Spain’s Residence in Istanbul February 18th, 2010
Innovation Mercenaries Source : Sak (2009) “KüreselleşmeninTürkKOBİ’lerineetkileri”, TEPAV
Catching up or Lagging Behind? Turkey is labeled under “catching up with moderate growth” Source : European Innovation Scoreboard 2008
Demographics ,[object Object],registered in undergrad university  programs. 397,884 graduated from  undergrad programs. ,[object Object],were awarded. Source : US Census Bureau, 2010 ,[object Object]
 Many return with business ideas.,[object Object]
Innovation and Enterpreneurship ,[object Object]
 Market is where value is converted into other forms of value.
 Value is a perception and highly context dependent. Hence innovation is a dynamic process.
 Innovation involves acquisition/processing of knowledge.Knowledge (not necessarily technical or scientific) is the main barrier to/frontier of innovation.
Innovation Cycle Public Intervention Comfort Zone Knowledge VISION INVESTMENT Opportunity Equity EXECUTION Value MARKET Value
 Our Ecosystem of Innovation ,[object Object]
 OPPORTUNITY – BUSINESS DEVELOPMENT : Almost always focused on immediate opportunity, more of a follower’s attitude
 VALUE – DEVELOPMENT/PRODUCTION/SALES : Strongest component of the eco-system. Often top skills and top innovators around.
 EQUITY – OWNERS, INVESTORS, BANKER : Strongly conservative, often orthodox non-believers in innovation, often believe what they see on paper in numbers.  ,[object Object]
Innovation Dynamics Intrapreneurial Company is the Future Organizational skills to adopt new ideas and diversity. Intrapreneurship is underrated,  enterpreneurship is overrated. High Value Add ≠ New Company
Value Pyramid Cost of Innovation Barriers for Competition Risk of Innovation
Technical & Non-technical Innovation Source :  OECD STI Scoreboard, 2008
Systemic Linkages Firms collaborating on innovation with higher education institutions by size, 2004-06 Firms collaborating on innovation activities by size, 2004-06 Firms collaborating on innovation with government institutions by size, 2004-06 Source :  OECD STI Scoreboard, 2008
Structural Performance Elements of design for R&D Structure :  Profile of researchers, performers and Cross financing based on the  Characteristics of priority areas. Source :  OECD STI Scoreboard, 2008
Converting High-Tech to Low-Tech Source :  OECD STI Scoreboard, 2008 Source : TUSİAD, (2008) “Türkiye Sanayiine Sektörel Bakış”
Capturing Value Source : Linden, Kraemer, Dedrick (2007) “Who captures value in a global innovation system? The case of Apple’s iPod”
Cost of Innovation ,[object Object],failed innovation) is probably the single most important barrier to innovation. ,[object Object],additionality for various reasons.  ,[object Object],talent and skills are limited. ,[object Object],and conservative. Innovator Value Increases
A Map of Technological Innovation
A Regional Production Specialist Source :  The World Bank
Global Benchmarking Source :  www.worldbank.org/kam
European Benchmarking Source :  European Innovation Scoreboard 2008

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Spain Prez

  • 1. Is Innovation a Turks' Game to Create New Wealth? A. Mete Çakmakcı HE Ambassador of Spain’s Residence in Istanbul February 18th, 2010
  • 2. Innovation Mercenaries Source : Sak (2009) “KüreselleşmeninTürkKOBİ’lerineetkileri”, TEPAV
  • 3. Catching up or Lagging Behind? Turkey is labeled under “catching up with moderate growth” Source : European Innovation Scoreboard 2008
  • 4.
  • 5.
  • 6.
  • 7. Market is where value is converted into other forms of value.
  • 8. Value is a perception and highly context dependent. Hence innovation is a dynamic process.
  • 9. Innovation involves acquisition/processing of knowledge.Knowledge (not necessarily technical or scientific) is the main barrier to/frontier of innovation.
  • 10. Innovation Cycle Public Intervention Comfort Zone Knowledge VISION INVESTMENT Opportunity Equity EXECUTION Value MARKET Value
  • 11.
  • 12. OPPORTUNITY – BUSINESS DEVELOPMENT : Almost always focused on immediate opportunity, more of a follower’s attitude
  • 13. VALUE – DEVELOPMENT/PRODUCTION/SALES : Strongest component of the eco-system. Often top skills and top innovators around.
  • 14.
  • 15. Innovation Dynamics Intrapreneurial Company is the Future Organizational skills to adopt new ideas and diversity. Intrapreneurship is underrated, enterpreneurship is overrated. High Value Add ≠ New Company
  • 16. Value Pyramid Cost of Innovation Barriers for Competition Risk of Innovation
  • 17. Technical & Non-technical Innovation Source : OECD STI Scoreboard, 2008
  • 18. Systemic Linkages Firms collaborating on innovation with higher education institutions by size, 2004-06 Firms collaborating on innovation activities by size, 2004-06 Firms collaborating on innovation with government institutions by size, 2004-06 Source : OECD STI Scoreboard, 2008
  • 19. Structural Performance Elements of design for R&D Structure : Profile of researchers, performers and Cross financing based on the Characteristics of priority areas. Source : OECD STI Scoreboard, 2008
  • 20. Converting High-Tech to Low-Tech Source : OECD STI Scoreboard, 2008 Source : TUSİAD, (2008) “Türkiye Sanayiine Sektörel Bakış”
  • 21. Capturing Value Source : Linden, Kraemer, Dedrick (2007) “Who captures value in a global innovation system? The case of Apple’s iPod”
  • 22.
  • 23. A Map of Technological Innovation
  • 24. A Regional Production Specialist Source : The World Bank
  • 25. Global Benchmarking Source : www.worldbank.org/kam
  • 26. European Benchmarking Source : European Innovation Scoreboard 2008
  • 27.
  • 28. 1,254 firms (of which 53 are foreign owned with a total investment of 450 M USD) are operating in the region with 8,708 R&D staff
  • 29. 3,403 projects are active, 297 patents received, 540 M USD in exportsSource : OECD STI Scoreboard, 2008
  • 32.
  • 33. Second/third generation is taking over in the family owned SMEs.
  • 34. Investors and Banks are quickly adopting to finance innovation.
  • 35. Big companies are still a big ?
  • 36. Capacity on the demand side is developing faster than the suppy side of policy and programs. Civil initiatives are mobilizing.
  • 37. Innovation and related buzzwords are still crowding out the agenda.
  • 38.