Implementation of innovations in enterprises using the EU funds: A comparative analysis

Information
Title: Implementation of innovations in enterprises using the EU funds: A comparative analysis
Issue: Vol. 13, No 2, 2020
Published date: 06-2020 (print) / 06-2020 (online)
Journal: Journal of International Studies
ISSN: 2071-8330, eISSN: 2306-3483
Authors: Marcin J. Piątkowski
Cracow University of Economics
Keywords: implementing innovation, investments, enterprises, entrepreneurship, SMEs, EU subsidies, operational programmes, Poland, Małopolska region, comparative analysis, competitive advantage, financial support
DOI: 10.14254/2071-8330.2020/13-2/8
DOAJ: https://doaj.org/article/6798f3befeab473a97423fef60ea151a
Language: English
Pages: 109-126 (18)
JEL classification: O33, O39, M21, L20
Website: https://www.jois.eu/?606,en_implementation-of-innovations-in-enterprises-using-the-eu-funds-a-comparative-analysis
File https://www.jois.eu/files/8_9_851_Piatkowski.pdf
Licenses:
The article is financed by the Ministry of Science and Higher Education in the Republic of Poland from a subsidy allocated to the Cracow University of Economics (Project No. 066/WE-KPI/01/2019/S/9066).
Abstract

The European Union sees the role of innovations as measurably influencing the improvement of social and economic development in the regions of its member states. Actions that promote the implementation of innovations in the SME sector as one of the elements having a positive impact on the European Union's cohesion policy have a special role in supporting enterprises. Therefore, the EU operational programmes dedicated to small and medium-sized enterprises are a valuable source of external financing for innovations in these entities. The implementation of innovative investment projects positively influences the development of enterprises. A company resistant to implementing innovations may lose its competitive position on the market and slow down its development. The aim of this article is to conduct a comparative analysis of the implementation of innovative investments between the enterprises that received financial assistance from the European Union in relation to the enterprises that implemented innovations using other sources of financing. The study shows that enterprises covered by financial support from operational programmes have a higher level of innovative investments than other economic entities. Companies receiving EU aid are more often implementing production innovations among all four types of innovations as compared to other enterprises. In addition, it was found that in the lack of financial support from the EU, almost half of the companies would not be able to implement innovations as such. Therefore, the issue of innovations implemented in enterprises with the use of the EU financial aid should be considered as a currently relevant topic and an extremely important one from the standpoint of entrepreneurship development. This study should be considered unique, as there are no studies, to the best of the author's knowledge, containing comparative analyses in this area.

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