Variables Affecting Innovation-Related Competitiveness in Turkey

  • A. Or¸un Sakarya
Part of the International Studies In Entrepreneurship book series (ISEN, volume 21)


Innovation’s relation with competitiveness can be considered as a part of its emerging importance for the global economy. Accordingly, the main goal of this quantitative study is to foresee the main “macro” variables affecting Turkey’s innovation-related competitive performance in the long run by considering innovation concept, both in the global and European Union basis. Following the introductory part and literature review, the relationship between innovation and competitiveness has been emphasized in Section 5.3. In Section 5.4, European Union Innovation Scoreboard has been mentioned. In Section 5.5 and the final section of the chapter, innovation concept has been discussed as an extension to Summary of Innovation Index and factors affecting innovation-related competitiveness in Turkey have been examined. First, a brief exploratory factor analysis has been conducted to identify the relevance of selected variables. Then, for investigating factors affecting medium and long-run innovation-related competitiveness in the country, a VAR model has been utilized. Granger’s causality test has also been used to detect the cause-effect relationships between variables. As a result, it has been deduced that basic variables affecting innovation-related competitiveness are the number of patent applications and per capita R&D expenses. Moreover, it is also concluded that the Gross Domestic Product may also be relatively important in the long run.


European Union Innovation Performance Patent Application Granger Causality Innovation Policy 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.


  1. Audretch, D.B. (2004). Sustaining Innovation and Growth: Public Policy Support for Entrepreneurship. Industry and Innovation, 11(3), 167–191.CrossRefGoogle Scholar
  2. Bonilla, O.S. (2003). Competitiveness, Systems of Innovation and the Learning Economy: The Forest Sector in Costa Rica. Forest Policy and Economics, 5, 373–384.CrossRefGoogle Scholar
  3. Burbidge, I.B., Megee, L., Veall, M.R. (1985). On the Seasonality of Vector Autoregression Residuals. Economic Letters, 18, 137–141.CrossRefGoogle Scholar
  4. Crowley, P. (2005). Innovation Activity in the New Member States and Candidate Countries. Brussels: Statistics in Focus: Science and Technology.Google Scholar
  5. Dickey, D.A., Fuller, W.A. (1979). Distribution of the Estimators for Autoregressive Time Series with Unit Root. Journal of the American Statistical Association, 74, 427–431.CrossRefGoogle Scholar
  6. Engle, R.F., Granger, C.W.J. (1987). Cointegration and Error Correction: Representation, Estimation and Testing. Econometrica,55, 251–276.CrossRefGoogle Scholar
  7. European Commission (2004) European Innovation Scoreboard 2004, Comparative Analysis of Innovation Performance. In: Pro Inno EuropeGoogle Scholar
  8. European Innovation Scoreboard 2004, Comparative Analysis of Innovation Performance. Cited 21 Sep 2007.
  9. European Commission (2006a) Annual Innovation Policy Trends and Appraisal Report: Turkey 2005–2006. Brussels: Enterprise Directorate General.Google Scholar
  10. European Commission (2006b) European Innovation Progress Report, 2006: Trendchart. In: Pro Inno EuropeGoogle Scholar
  11. European Innovation Progress Report, 2006: Trendchart. Cited 14 Oct 2007.
  12. Hoskisson, R.E., Yiu, D., Kim, H. (2004). Corporate Governance Systems: Effects of Capital and Labor Market Congruency on Corporate Innovation and Global Competitiveness. Journal of High Technology Management Research,15, 293–315.CrossRefGoogle Scholar
  13. Kaplinsky, R., Paulino, A.S. (2005). Innovation and Competitiveness: Trends in Unit Prices in Global Trade. Oxford Development Studies, 33(3–4), 333–355.CrossRefGoogle Scholar
  14. Kline, P. (1994). An Easy Guide to Factor Analysis. New Jersey: Routledge.Google Scholar
  15. MERIT (2006) European Innovation Scoreboard 2006: Comparative Analysis of Innovation Performance. In: Report Prepared by Maastricht Economic Research Institute on Innovation and Technology and Joint Research Centre of the European CommissionGoogle Scholar
  16. http://www.proinno- European Innovation Scoreboard 2006: Comparative Analysis of Innovation Performance. Cited 09 Oct 2007.
  17. OECD (2004) Small and Medium Sized Enterprises in Turkey. In: Organization for Economic Cooperation and Development dataoecd/5/11/31932173.pdf/ Small and Medium Sized Enterprises in Turkey
  18. OECD (2005). Oslo Manual: Guidelines for Collecting and Interpreting Innovation Data.Paris: A Joint Publication of OECD and Eurostat.Google Scholar
  19. Parker, R. (2004). Foundations of Technology Development, Innovation and Competitiveness in the Globalised Knowledge Economy. Prometheus, 2(3), 293–309.CrossRefGoogle Scholar
  20. Solleiro, J.L., Castaňón, R. (2005). Competitiveness and Innovation Systems: The Challenges for Mexico’s Insertion in the Global Context. Technovation, 25, 1059–1070.CrossRefGoogle Scholar
  21. Tether, B.S., Hipp, C. (2002). Knowledge Intensive, Technical and Other Services: Patterns of Competitiveness and Innovation Compared. Technology Analysis and Strategic Management, 14(2), 163–182.CrossRefGoogle Scholar
  22. WEF (2004) The Lisbon Review, 2004: An Assessment of Policies and Reforms in Europe. In: World Economic Forum.Google Scholar
  23. cc The Lisbon Review, 2004: An Assessment of Policies and Reforms in Europe. Cited 20 Nov 2007.
  24. WEF (2006) Global Competitiveness Index: 2006. In: World Economic Forum. cc gcr_2006/ Global Competitiveness Index: 2006. Cited 08 Dec 2007.

Copyright information

© Springer Science+Business Media, LLC 2009

Authors and Affiliations

  • A. Or¸un Sakarya
    • 1
  1. 1.Administrative SciencesDepartment of Management Cankaya UniversityTurkey

Personalised recommendations