Antti Pelkonen

How Beneficial is a Knowledge-based Development Strategy for Peripheral Regions? A Case Study

Abstract This paper aims to contribute to the debate on the success factors of peripheral regions in the knowledge economy. It explores the viability of the knowledge-based development model for peripheral regions by examining the experiences of a follower region in Finland. The empirical case is Seinäjoki region in Western Finland which adopted a determined knowledge, research and innovation-driven development strategy in the 1980s. The article analyses the evolution of this strategy and assesses the progress and results that have been achieved until 2012. The results show that the strategy has improved the preconditions and structures for innovation, but there have been difficulties in turning these into real innovation outcomes. Peripheral regions may benefit from a knowledge-based development strategy but the development is slow and only takes place through building base capacity in the region.

Can service innovations be procured? An analysis of impacts and challenges in the procurement of innovation in social services

This paper addresses the challenges that arise when service innovations are being promoted through public procurement. The academic and policy debate on public procurement of innovation has recently been very vivid, but it has mostly focused on procurement of technologies and tangible goods while considerably less attention has been paid to public procurement of innovation in services. By drawing on conceptual tools from the literature on service innovation and public procurement of innovation, the paper examines an empirical case of procurement of social services for substance abusers carried out by the city of Helsinki, Finland. In particular, the article analyzes whether the characteristics of services and service innovation are compatible with processes and requirements of public procurement. The article shows that service innovations can be procured, but the features of services and service innovation such as intangibility, interactivity, and difficulty to measure the impacts of new services affect the procurement process and set particular requirements for it.

Rescaling and urban-regional restructuring in Finland and in the Helsinki region

While Finland has traditionally been a country where major political forces have put important emphasis on balancing the regional structure and supporting the peripheral regions, development since the 1990s has been characterised by growing regional differences and increasing dominance of centralising tendencies. In the first decade of the new millennium, these tendencies have further intensified. This article analyses the processes, dynamics and underlying rationalities of this state restructuring and state spatial transformation in Finland and in the Helsinki region, the capital area of the country. The developments in Finland are placed in broader international context as they are analysed in relation to recent debates on state rescaling. The validity of some of the core arguments presented in these debates is examined in the Finnish context. The case of the Helsinki region and Finland is also set into a Nordic perspective by presenting a comparison of rescaling tendencies in the Nordic countries (Sweden, Denmark and Norway). The findings are mixed, as there are both elements supporting the rescaling thesis and clear deviations from the core arguments.

Science, technology and innovation systems of small economies under pressure – sketching three possible future pathways of the Finnish system

Purpose The purpose of this paper is to explore and discuss possible future pathways of the Finnish science, technology and innovation (STI) system. The paper sketches three speculative pathways for the Finnish STI system. Design/methodology/approach Theoretical considerations behind the pathways are based on analyses of the determinants and behaviour of small open economies, their innovation systems and governance. The empirical background of the paper is in the current trends of the Finnish economy and STI system. The analysis of pathways is based on three dimensions: institutionalized policy environment and economy, domestic interest groups and policy and STI institutions and funding. Changes in these dimensions are analysed by paying special attention to two variables: the position of the nation state and the general economic development. Findings The first future pathway outlined is based on an optimistic view by setting Finland on the basis of past success factors as an European and global STI hotspot. The second pathway is based on the assumption that the Finnish STI system will be increasingly subordinated to international structures and decision-making. The third one is geared around the assumption that the Finnish STI system will be dominated by industries. Research limitations/implications While Finland has been seen as a European showpiece of innovation since the early 2000s, currently the country’s national economy and STI system are undergoing a critical period. The paper sheds light on this transformation and its potential future outcomes and attempts to raise debate on the options policy makers may face in the increasingly complex global environment in small countries. Originality/value The paper introduces potential future avenues for the Finnish STI system and provides a contribution to the debate of the future of small countries’ STI systems and innovation policies by emphasising the limited space of the STI policy choices and how the development paths and space for policy making evolve from the interaction of socio-economic factors between domestic and wider international context.