December 7th 2010 Maximilian Foedinger This Project is funded by the European Union Joint Support Office (JSO) for Enhancing Ukraine’s Integration into the European Research Area (ERA) EuropeAID/127891/C/SER/UA Ukraine This Project is implemented by an ECORYS-led Consortium Role of state support of innovation development of region

Scientific Publications

Co-authorship 1998

Co-authorship 2008

The battle is on In the 2010 Bloomberg BusinessWeek annual rankings of Most Innovative Companies, 15 of the Top 50 are Asian—up from just five in In fact, for the first time since the rankings began in 2005, the majority of corporations in the Top 25 are based outside the U.S. The extended Top 50 list is dominated by companies from Europe, Asia, and, in another first, South America (Petrobrás of Brazil at No. 41). China's rise is biggest. As an exemple a year ago its only representative was PC- maker Lenovo Group at 46 now 29. The age of Asian innovation has begun. ontent/10_17/b htm

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The research Trends Material Science ICT Energy Biotech

8 Linear innovation model Base researchElaborationDesignEngineeringProduction the price of the contract will be increased by €2 billion; all liquidated damages related to current delays will be waived;

The Innovation Problem B1B1 B S $ A1A1 C1C1 A Science Business Public Support

Importance of Business model Innovation support also needs to support the business model Not the best solution will win – the best business model will win

Support for innovation Innovation Education Tax incentives Access to Finance Reduced Bureaucracy

Stakeholder and their role

Education The education system must encourage innovation Science has to be exciting Technical education has to have –Management of innovation –Languages –Presentation skills

Ideas for: Education The Innovation Assistant –Master students write their Master theses (innovation related) in a company that has an Innovation project. The university takes care about the scientific quality An Innovation Consultant takes care about the practical aspects of the master theses –The Company pays a minimum salary for the Student – state authorities pay the difference to a competitive salary

Access to Finance For innovation endeavours –Special loans for innovation projects –Loan guarantees –Grants –Seed capital / Venture capital

Ideas for: Access to Finance Non bank equity guarantees for innovative companies. –Private investors get a state guarantee when investing into innovative company Preparation costs for Proposals submitted for international R&D programs (FP7) –Cost for travelling, consultations are supported by the state

Tax incentives Income tax reduction for innovative projects Tax holidays for investors in innovative projects VAT examptions

Ideas for: Tax incentives Innovation Allowance –A company may, on top to the normal depreciation, deduct additionally 15% of the expenses on innovation. Reduced Income Tax –Incomes on products using self owned patents are subject to a reduced income tax

Reduced Bureaucracy Reduction of custom duties on equipment needed for research Simple regulations for PPP models Official assistance in getting permissions from authorities (licences, VISAs)

Ideas for: Reduced Bureaucracy VAT / duty exemptions for Ukrainian participants participating in FP7 programs VISA service for Researchers / Innovative companies Private Companies may finance Institutes / Universities in return of research results