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Paper on
UNIDO Technology Foresight Programme
&
Business Incubation
Presented by
Dr. T. Miyake
Table of Contents
2. Business Incubation
Types of Incubation Systems
Japanese Experience in Business Incubation
UNIDO was established in 1966 and became a specialized agency of the United Nations in 1985. As part of the United Nations common system, UNIDO has the responsibility for promoting industrialization throughout the developing world, in cooperation with its 169 member countries. Its headquarters are in Vienna, and with 36 country and regional offices, 10 investment and technology promotion offices and a number of smaller offices related to specific aspects of its work, UNIDO maintains an active presence in the field.
UNIDO Services
UNIDO services are designed to be integrated into country-specific packages and local ownership ensures a custom-made approach. The comprehensive services provided by UNIDO cover:
· Industrial Governance and Statistics
· Investment and Technology Promotion
· Quality and Productivity
· Small Business Development
· Montreal Protocol
· Industrial Energy and Kyoto Protocol
· Environmental Management
· Agro-Industries
The major elements of UNIDO’s Technology Promotion Programme are shown in the next diagram.
Support to Innovation and Technology Transfer
The UNIDO Technology Management and Innovation programme aims at supporting developing countries and transitional economies in strengthening their innovation systems and making them effective drivers of sustainable competitiveness. Support is provided at policy, institutional and enterprise levels. In support of innovation, UNIDO assists developing countries and their enterprises to identify technology sources as well as to acquire and negotiate technology.
Technology Acquisition and Transfer
UNIDO assists developing countries in the process, including gaining access to technology and promoting technology transactions, building capacities (at the institutional level and at the enterprise level) conducive to increased and more effective technology flows and supporting technology transfer operations.
Technology Foresight and Monitoring
As the most upstream element of the technology innovation and development process, UNIDO’s Technology Foresight and Monitoring provides inputs for the formulation of technology policies and strategies. These, in turn, guide development of technological infrastructure, support innovation, provide incentives to enterprises and assist them in technology management and technology transfer, leading to competitiveness and growth.
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The approach of the programme is based not on the aim of delivering a finished package of assistance but to establish a continuous and systematic instrument for advising industrial actors in LAC in the formulation, implementation and integration of the TF approach in the national decision making process. TF is a systematic process to visualize science, technology, industry, economy and society in the long run, with the purpose of identifying technologies that can generate economic and social benefits.
During the last ten years the number of countries around the world which have carried out TF has been considerably enlarged. Although the objectives for most countries are similar as being the identification of critical sectors, establishing of priority areas and formulation of recommendations, there are differences as to where special emphasis is being placed. Some countries like Japan, which is conducting TF for more than 20 years, use it especially to be aware of the technology development in the long run and determine their S&T policy recommendations. For others like Great Britain the consensus building capacity of TF and its value in linking science and industry is a key objective as well.
UNIDO’s Targets
with TF in Latin America and Caribbean- Determining the long-term technology policy of specific countries (e.g. Uruguay)
- Preparing sectorial foresight studies for the private and the public sector (e.g. Brazil)
- Assuming a catalytic role in the Global Forum for TF as a resource of knowledge benchmarking as well as a consolidator of TF experiences worldwide
-Opening new opportunities like identifying specific TC needs through the use of TF methodology
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Argentina |
Brazil |
Uruguay |
Venezuela |
Mexico* |
|
– Biotech in the Agro-Food Sector – Petroleum and Gas – Confectionary – Energy – Transport |
– Wooden Furniture – Civil Construction – Textiles and Confectionary – Plastic Transformation
|
– Energy – Biotech in the – Agro-Food Sector – Transport and Logistics |
– Mining, Petroleum and Petro chemistry – Infrastructure and services – Agriculture and services – SMEs – Tourism – Energy – Transport |
–Informatics and Software Development –Telecommunications –E-Commerce –New Materials –Biotech and Agro industry –Energy –Tourism and Entertainment –Environment –Virtual Education |
*Tentative areas of study
UNIDO’s approach towards the achievement of Technology Foresight Knowledge by a country can be described by a set of steps that conform to the so-called UNIDO’s national TF process in Latin America and Caribbean.
Within this
process the first effort is the Inventory Stage, which consists of the
identification of Technology Foresight and/or Technology related fields’
national experts, expertise, studies, as well as institutions, with the aim to
explore the national standing, if any, and identify the competencies and
resources available in order to articulate the national efforts and enhance
multi-sectoral synergies for a consensual and broader execution of the TF
programme. At this stage the necessary alliances are established for setting
the direction and plan of action for the Technology Foresight Programme, and
enhancing, if it is not existing, the creation of the National Innovation
System.
The outcome of this stage will become available for all countries through the UNIDO/ICS regional on-line network.
As a next step, the national counterparts begin with the Preparatory Stage elaborating, together with all the key actors, the national plan of action and drafting the tentative costs for implementing the programme. Awareness-building seminars and events are conducted for the relevant national actors and the society as a whole, and the methodologies appropriate to the country’s setting are chosen. Furthermore the tentative sectors to be foresighted are selected and the experts that will conform to the sectoral panels for each exercise are identified.
Once the preparatory stage is finalized and following the drafted plan of action, the country should begin with the TF Implementation Stage, conducting the Technology Foresight exercises in the selected sectors by applying the corresponding TF methodologies using UNIDO/ICS on-line software tools, a step in which the counterparts should provide the national experts with conducting the exercise, delivering the analysis of results and assisting in the drafting of technology policy recommendations.
UNIDO supports the national efforts by making available on-line software tools and mobilizing, when requested, international and regional experts.
The outcome of the exercises should be diffused with the aim to raise public awareness. This is called the Dissemination Stage, which goes along with the last and most relevant stage of the process: Promotion & Monitoring through national and regional events, which seeks that the results are not only used as study material, but as a decision-making and policy formulation tool to enable an environment that fosters innovation and technological change aiming to support and enhance industrial technology based competitiveness.
Parallel to the National TF Process, all countries are part of the regional network looking forward to exchange of experiences and expertise accumulated along their national advancing process. Furthermore the network looks forward to making available all national and regional knowledge on TF by sharing the final outcomes of the national exercises, including the expert recommendations, and the resulting policies and programmes developed by the governments.
By December 2000 Argentina, Bolivia, Brazil, Chile, Mexico, Uruguay and Venezuela were participating in the UNIDO/ICS initiative. At the same time, Colombia, Ecuador, Guatemala, Panama and Peru were requested to join the network. Some participating countries (Argentina, Brazil, Mexico, Uruguay and Venezuela) have developed the TF Plan of Action, all the participating countries have completed the inventory stage. In the beginning of 2001 Peru joined the network.
Some facts on Technology Foresight in Latin America & the Caribbean
The programme has been:
* utilizing an internet based channel of communication with the client
* systematically using video-conferencing as a training and learning tool
Thanks to the use of modern communication tools:
* the network has been managed directly from UNIDO HQ by FOA/ LAC and ICS Trieste.
* more than 200 experts are systematically involved in the programme
Countries benefit from economies of scale by using software and methodologies provided through UNIDO network worth over US$ 200.000 that have been made available at low or no cost to the participating countries.
The programme was featured extensively in various newspapers, magazines and bulletins throughout the region such as the Mercado of Argentina or the renowned Bulletin of OPTI (Observatory of prospective industrial technology) of Spain.
Background
On the basis of the conclusions and recommendations of the Regional Conference on Technology Foresight for Central and Eastern European countries in the Newly Independent States, held on 4-5 April 2001 in Vienna, UNIDO was encouraged to establish Technology Foresight programmes for the Eastern Europe region. The Conference requested UNIDO to support this initiative at the national and regional levels. The Expert Group Meeting, held in Vienna on 18-19 June 2001 elaborated on the highlights of the envisaged programme, defining the basic lines and approaches to be followed.
Objectives
The immediate objectives of a Regional Initiative are: (a) to raise awareness of the critical importance of foresight for improving competitiveness of industry by exploiting emerging and future trends on science and technology; (b) to develop and adapt methodologies and tools for technology foresight in the region; (c) to establish/strengthen national and regional knowledge and capability to use technology foresight for designing innovation policies and strategies; (d) to undertake demonstrational regional studies for specific sectors or themes, and (e) to provide solutions to relevant problems in the region, which can be addressed through the proper application of technology. Special attention should be given to the pre-accession and late accession countries to the European Union.
Programme components
(a) Awareness building and creation of foresight culture in the region
On the basis of a Technology Foresight Network, prepare and disseminate promotional and information material to demonstrate utility of foresight approaches in Central and Eastern European and the NIS context to policy makers, companies and R&D institutions, and general public. This exercise will be done through conferences, forums, publications, electronic books, internet and media. Special attention will be given to motivating industry to participate in the programme. Concerning the content of the exercise, foresight work outside the region will be examined, summarised, evaluated and adapted to CEE/NIS perspectives; promotional materials and events will familiarise stakeholders with the concept, the practice and the results of regional foresight activities, hands-on experience will show how well different approaches to foresight work, demonstrating the value of the results to stakeholders. The target here is to build the foresight culture into the thinking of future generations of decision and policy makers.
(b) Development of national and regional capabilities
Develop a roster of regional and international experts on foresight and relevant areas of knowledge. Create national and sub-regional centres of excellence on foresight process, which could be mobilized for the preparation of foresight studies. Enhance skills of foresight practitioners through courses, workshops, seminars, fellowships and study tours. Develop exchange programmes with regional centres and institutions in other regions. Conduct selected foresight studies as base cases to demonstrate the applicability of foresight approaches for the definition of regional policies related to comment issues or themes. A regional virtual “centre”(or network) will be established to function as a repository of foresight knowledge and experience to ensure long-term sustainability.
(c) Coordination and implementation
A dedicated funds raising programme will be conducted to create appropriate financing mechanisms, such as multi-partners trust fund. A regional steering party and national focal points will be established to coordinate and implement regionally conceived foresight projects. These coordination bodies will harmonize regional foresight activities with a view to motivate national actors to adopt common foresight objectives, methodologies, infrastructure and management teams, and the use of foresight in the design of innovative technology policy. The national focal points should be equipped with the necessary human resources, organisation capacity, knowledge in the field, mandate to represent the country and direct access to the decision making bodies. The regional programme should make strong use of information and communication technology. UNIDO should play a role of overall coordination. The coordinating mechanism should promote creativity and initiative of the members of the regional network of institutions and experts.
Programme implementation
The following steps and activities are recommended for the implementation of the regional foresight initiative:
§ Awareness building exercise
To mobilise interest and support to the regional programme, a concentrated effort to disseminate the different events and their results will be made using electronic media and target communication.
§ Conference and expert meetings
Following the regional conference (April 2001) and the expert group meeting (June 2001), the programme will support different events and presentations in selected events. Expert group and focal point meetings would be organized to determine and monitor the scope, methodology, costs, and time frame and related details of studies and other activities of the programme.
§ Establishment of an electronic information exchange facility and tools
Taking the UNIDO Exchange facility and the Information Centre on Technology Foresight of the ICS as platforms, a special web site will be set up for the initiative, with a view to create a live knowledge sharing process.
§ Capacity building and elaboration of studies
To provide immediate contribution to the strategic decision-making in the region, special foresight studies will be promoted, with focus in areas of critical interest for the industry in the region. To facilitate the preparation of the studies, capacity-building exercises will be carried out both at the national and regional levels.
§ Selection of a regional facilitator and identification of financing mechanisms for the programme implementation
A high-level regional facilitator will be nominated, on a rotation basis, by the participating countries to promote the programme in the region and assist in funds mobilisation. A detailed strategy for funding the initiative will be developed, using UNIDO funds, donors and national contributions, and industry finance. Countries in the region must commit themselves in order to create a strong support for the programme.
§ Definition of counterparts and creation of the coordination mechanism
Following the commitment of a starting group of participating countries, UNIDO will support the constitution of a virtual regional centre (or network) for facilitating the coordination and implementation of the regional initiative. In order to create ownership at the regional level, a strategic steering party will be set up, involving government., research communities and industry.
The views expressed in this chapter are the personal views of the author and they do not represent the views of the organization.
The recent globalisation of markets continues to broaden the opportunities for SMEs in developing countries, it is also signaling that entrepreneurship in those countries urgently needs encouragement and strengthening. Management and technological systems must be promoted so that product and process technologies of existing SMEs can be upgraded and rationalized and new ventures can flourish. Local human resources will have to be developed for this purpose as development has so far been based largely on foreign investment or where there has been government intervention through State-owned enterprises or where recession has led to high unemployment.
The promotion of SMEs to mitigate poverty and to create employment is one of the highest priority policies in most developing countries 1). As the recent dramatic development of information and communication technology industries shows, an economy flourishes when new businesses are allowed to enter the market 2) . However, as Table 1 3) shows , even among developed countries, firm survival rates are not so high. In most of the OECD countries, a half of new firms die 5 years after the establishment. Therefore, it is important to invigorate small and medium size enterprises which have great potential for growth by providing them with assistance during their infancy period.
This is where a business incubator comes in. Such a system can nurture start-up and newly established firms by providing the above-mentioned services and office space on a shared, affordable basis. However, at its core is the financial, marketing and design support and the managerial training it gives to the emerging entrepreneur. Another by-product of a business incubator is the internal dynamics that come from working together in a shared physical space: the joint and cross-disciplinary learning that takes place and the opportunity to form the business networks and contacts are also critical to the launch of successful ventures.
Business incubators are one of the approaches adopted world wide to promote and support SMEs in particular innovative and technology-driven enterprises. Today, more than 1,500 incubators are in operation world wide, mainly in the United States of America, Europe and Japan, with over 500 incubators operating in the developing countries and the countries in transition to a market economy 4) . For example, there are now some 200 incubator-type institutions in France and over 100 incubators schemes of different sorts operate throughout the United Kingdom. In Germany, approximately 200 incubators offer premises for some 50005).
This paper reviews the basic concept of business incubators and examines the experience in business incubation in Japan. UNIDO’s programme for business incubators is also introduced.
2. Types of Incubation Systems
Incubators originated in the United States in 1959. According to the National Business Incubator Association, an incubator is “a facility which nurtures young firms, helping them to survive and grow during the start-up period, provide hands-on management assistance, access to financing and exposure to critical business or technical support, and shared office services, flexible leases and expandable space”. Types of incubation systems could be summarized as Table 2. 6)
Technology incubators are a technology-oriented variant on the business incubation. Technology incubators take a range of institutional forms, operating as integrated (or sometimes separated) organizations within science parks, universities and innovation centres.4)
Needs of incubator residents differ throughout the developing phases and Table 3 1) the shows needs at the initial phase, the early establishment phase, the startup phase and the development phase.
3. Japanese Experience in Business Incubation 2)
Japan’s first incubator was established in 1966 and the number of incubators has increased since Technopolis Law was issued in 1983 (see Fig. 1 ). Prior to the Technopolis Law, there had been de-facto incubator organizations. The majority of incubators are established based on the Technopolis Law and the Temporary Measures Law for Promotion of Building Specific Facilities by the Private Sector. These laws mandate Japan’s incubators to build basic facilities and enhance research/development functions. The laws seek to reinforce local industry structure, and invigorate the local economy. Below is an example of a Japanese incubation system.
Kanagawa Prefecture was the most industrialized prefecture in Japan until the 1970s. The 1980s, however, saw a decline in the heavy and chemical industries, and encountered hollowing-out of industries and unemployment problems, etc. due to changes in the nation’s industrial structure. Accordingly, the Kanagawa Prefectural Government has been shifting to a more advanced industrial structure, one that employs a knowledge- and technology-intensive approach, by establishing new industrial policies. As a result, Kanagawa Prefecture has evolved into Japan’s largest high-tech centre and an active research and development (R&D) area.
Kanagawa Science Park is one of the region’s strategic projects which promote such reform in the industrial structure. It has been engaged in various activities as a nucleus of creation toward the 21st century in which R&D-oriented businesses are established, grow, gather together and interact.
The Kanagawa Science Park (KSP) was established in 1989 as the first science park in Japan. With the initiative of the Kanagawa Prefectural Government and Kawasaki City Government, the science park project was promoted with the cooperation of the national government and private sector companies. The park features support services offered by the Kanagawa Academy of Science and Technology (KAST) and the Kanagawa High-Technology Foundation (KTF). KAST promotes R&D and KTF provides sophisticated test measurement services and facilitates the distribution/utilization of patented technologies. As many laboratories and R&D-oriented companies have seen this as the ideal R&D environment, and have located themselves in it, the park has become a "hall of fame" of science and technology.
In 1986, prior to the preparatory stage of KSP construction, KSP Inc. was founded as a third-sector (a sector jointly run by the public and private sectors) entity. It has been given the following two functions; 1) it is a core business entity responsible for the construction and operation of the science park, 2) it is an incubator to support entrepreneur development and business start-up. KSP Inc. has undertaken the challenge with creativity and experiments. A number of excellent companies have been started in the park and are leaving the nest today.
Although it is not yet sufficient, the range of public support measures have been expanded and markets have been developed for capital investment and public offerings.
KSP Inc. is a core business entity and serves as a coordinator of the activities in the park. In cooperation with the Kanagawa Academy of Science and Technology (KAST) and the Kanagawa High-Technology Foundation (KTF), it supports R&D activities in the park, fosters the creation of new businesses, provides business support services and hosts educational courses and seminars. It has created and cultivated approximately 140 new enterprises since its foundation. Additionally, KSP Inc. plays an important role in the development and implementation of the industrial policies of the Kanagawa Prefectural Government and Kawasaki City Government, especially in terms of measures to develop and support venture businesses.
Facilities Available at Kanagawa Science Park
Innovation Centre Building, East Wing
- Incubation and start-up rooms to aid in the development of entrepreneurs and a variety of laboratories which are open to the public, including a prototype measurement facility. This area of the building is structured in such a way that it can respond to new and challenging research activities flexibly.
i) Equipped with high ceilings (2.7 m high on the 1st floor and 3 m high on the 2nd floor) and a high floor load sustainability (500 kg/m2 on the 1st floor and 800 kg/m2 on the 2nd floor) which allows for the installation of most of the types of machine tools, in addition to being designed to be earthquake-proof and vibration resistant.
ii) Water supply/waste water drainage and air supply/air exhaust facilities are available to all the rooms, and hot water is supplied to each floor.
iii) Air conditioning and heating are available on an around-the-clock basis.
Innovation Centre Building, West Wing
- This area serves as the main entrance to the entire KSP complex. This wing, in addition to the tenant office spaces, serves as a contact point to link KSP as an urban facility with the local community. It also includes service facilities to support research activities, such as conference rooms, training rooms, the Information Centre (internet server room), a clinic, banks, a post office and a JR (Japan Railway) counter, as well as shops and restaurants. It is also equipped with the Hotel KSP Club, a lodging facility.
R&D Business Park Building
- World-renowned and cutting-edge research and development-oriented companies of varying sizes reside here as tenants. Energy and other needed supplies are made available in this building in such a way that tenants can carry out diverse research activities ranging from hardware to software, while maintaining the complete independence of each tenant (ceiling height: 2.7 m; floor load sustainability: 500 kg/m2).
The rate of business starts in Japan for the period 1994-96 was 3.7% and the rate of business closure was 3.8%. In order to break out of the recession in the economy and secure employment opportunities,Ministry of International Trade and Industry enacted all-embracing legislation to support new business (Law for the Promotion of New Business Creation) and main measures incorporated in the Law are as follows:
1. Support for business starters.
The Law supports all new business starts, regardless of whether by individuals (retired company employees, housewives, students, etc.) or through split-offs of existing companies, and regardless of the business sector
- Grants by the Japan Small Business Corporation.
The Japan Small Business Corporation will award grants of between 1 and 5 million yen to around 1000 cases per year for new business enterprises attempting to turn new ideas into specific business, and for test manufacture and development, sales route development, and other efforts.
- Creating a special debt guarantee scheme for business starters.
As a trust supplementation system for business starters, the law sets up a special framework not requiring third-party guarantees (amount commensurate with self-capital, up to a maximum of 10 million yen), enabling the use of debt guarantees from the stage of pre-business start-up.
- Creating special exceptions to the stock option system.
To enable smoother procurement of human resources by recently started medium/small businesses, the law doubles the framework for the stock option system as special exceptions (from one-tenth to one-fifth of the total number of shares issued).
- Creating systems of debt guarantees and capital investment by the Industrial Structure Improvement Fund.
The law creates a system of debt guarantees (maximum 1.5 billion) for business starters who cannot easily be handled by the Credit Guarantee Association (such as spilt-offs from existing companies). At the same time, the law also provides capital investment for starters.
2. Support for business activities by medium/small enterprises making use of new technology.
- Priority investment of government research and development funds for medium/small ventures
The law requires the government and special corporations to draw up expenditure targets for the government and special corporations, including subsidies for research and development in new technology for medium/small companies.
To provide comprehensive support for efforts to create new business using the results of this R&D, the law, for example, expand the debt guarantee framework (e.g. from 200 million to 300 million yen) and create a special framework that does not require collateral or third party guarantees (20 million for those who receive the subsidies).
3. Improving the business environment using local industry resources.
- Application of advanced technology accumulated by industry to provide a springboard for creating new business
As a springboard for the new business creation, the law progressively incorporates the Technopolis Act and the Brain Location Act in order to make positive use of the industrial accumulation of advanced technology now being formed under these and other laws. Specifically, in addition to conventional tax measures and, MITI will establish special cases of medium/small company trust insurance, while the Japan Regional Development Corporation will provide capital for persons developing new Business support facilities (“incubators”).
- Developing comprehensive support system (platform) for the creation of new business in regional areas
The law develops a comprehensive support system (platform) for the creation of new business in regional areas, led by initiatives from prefectures and other local authorities. Existing industrial support bodies (the Technopolis Foundation, the Small Business Promotion Corporation, and others) will be unified and networked in order to create new business, and will provide comprehensive services from research and development to commercialisation. To this end, as well as vastly enhancing budget measures (1999FY) for related support activities, the law relaxes the conditions set out in the Law for Modernisation Capital and Other Aid for Small Business for special cases, in order to make it easier to unify the Corporation etc. with other Foundations.
At the same time, support for projects by new business support bodies aimed at training human resources in the IT industry will be provided.
UNIDO has developed specific tools (provided through technical cooperation assistance) to facilitate the access to the UNIDO services:
- A Manual on establishing business incubators: "Practical Guidelines for Business Incubation Systems"
- A Business Incubation Audit Questionnaire to analyze starting conditions and/or to improve existing incubator performance.
- "Incubati-on line" which is intended to facilitate the exchange of information and co-operation between business incubators operating in developed countries and in emerging economies.
Pakistan: This project aims to advise the Government on how business incubation systems can alleviate some of the social impacts of privatization. By focusing on target groups with entrepreneurial potential, such as retired military officers, and providing them with the supportive environment found in business incubation systems can help to start new ventures that will create "employability". This particular programme was one of UNIDO’s success stories recorded in the press.
Bahrain: UNIDO is assisting the Bahrain Development Bank to set-up a business incubator in the Hidd Industrial Area and ensure that it operates as efficiently and effectively as possible. Industries such as metalworking, wood, textile and food industries, electrical, electronics and software companies are to be located in this new area. The project will focus on the initial setting-up and operational strategy, in preparing a business plan. UNIDO is also assisting the training of potential incubator clients through an Entrepreneurship Development Programme conducted by various institutions such as University of Bahrain, Bahrain Training Institute with the support of experts from Entrepreneurship Development Institute of India. A follow-up project is expected to provide support in the actual establishment and operation of the incubator.
Poland: The project aims to assist in the operational phase of three business incubation systems established in the Southern part of Poland. It will enable the centres to help enterprises apply the best practices in start-up, finance, marketing and exports. The project will also arrange for the monitoring of the incubators and will produce and leave behind project specific software and guidelines.
Dominican Republic: By setting up a business incubation system in the Dominican
Republic, the project aims at complementing the national efforts to foster innovation in existing SMEs and at creating a framework that will nurture new SMEs. The assistance will ensure that the incubation services can be operated on a self sustainable basis.
Colombia: The project focuses at enabling Cali University and the Ministry of Economic Development to establish an incubation system. The system will facilitate the creation of new enterprises with growth potential and assist existing enterprises in advanced industrial sectors. The assistance will help to forge institutional links between academic research and business and foster sustainable development in the region.
|
|
After 3 years |
After 5 years |
|
Denmark |
69 |
58 |
|
Finland |
63 |
55 |
|
France |
62 |
48 |
|
Germany |
70 |
63 |
|
Ireland |
70 |
57 |
|
Italy |
66 |
54 |
|
Netherlands |
74 |
- |
|
Norway |
68 |
53 |
|
Portugal |
56 |
47 |
|
Spain |
70 |
- |
|
Sweden |
70 |
59 |
|
United Kingdom |
62 |
47 |
|
United States |
60 |
50 |
Table 2 Types of Incubation Systems
|
Technopole |
Urban structure which can extend over several cities in one region. The technopole receives large enterprises and their research laboratories, universities and research institutes, new high tech enterprises and several services for technology transfer and includes residential zones for researchers and entrepreneurs and all required personnel. |
|
Science Park |
A property-based initiative which provides businesses with high-quality premises on a site in close proximity to a higher education institution. These businesses are generally either new start-ups establishment by academics wishing to commercialise their research, or branch operations of larger companies. |
|
Research Park |
Research Parks share features with Science Parks, but usually preclude production activities. They are generally established in conjunction with Research Centre activities generated by large enterprises for developing new models and prototypes. |
|
Business Park |
Business Parks provide firms with accommodations in a high-quality environment resembling a Science Park in many respects. Unlike the latter, there are no restrictions on the type of tenants admitted. |
|
Industrial Park |
An Industrial Park is a large site providing land and facilities for the establishment of factories, where specific incubation modalities such as Science Parks, Incubators, and Incubators Without Walls may be introduced. |
|
Business & Innovation Centre |
The Business & Innovation Centre concept is promoted by the European Commission as an instrument of regional development. BICs are managed facilities which seek to generate innovative new business start-ups engaged in high added value activities, but not necessarily of a technological nature. |
|
Technology Centre |
Technology Centre house their tenants in a building or complex of business units, rather than in a park. Their purpose is to provide accommodation for smaller firms engaged in high-technology activities with an emphasis on production rather than R&D. |
|
Managed Workshop |
A Managed Workshop provides premises for small businesses and individual entrepreneurs engaged in basic manufacturing and artisanal-type activities |
|
Innovation Centre |
An Innovation Centre provides smaller firms with advice and assistance with the development of new products and processes. Typically, this involves helping to develop prototypes for new firms, or helping existing small firms improve production processes. |
|
Enterprise Centre-Incubator Without Walls |
Enterprise Centres provide advice and assistance to entrepreneurs and small firms but, unlike managed workshops, usually do not offer premises. |
|
|
Initial Phase |
Early Establishment Phase |
Startup Phase |
Development Phase |
|
Characteristics |
Forming ideas Product development |
Opening preparation Company establishment |
Increase sales Seek to break even Increase customers |
Demand surges Sales increase Post profit |
|
Activities |
Testing ideas Market viability Organizing company system Business plan compilation |
Secure Office Company registration Making sales promotion materials Preparation of company official stamps, clerical papers |
Sales support Strengthen company credit Make company famous through PR |
Reorganization of system Securing more personnel System establishment |
|
Capital |
Capital plan compilation |
Securing capital Meeting with “angels” |
How to negotiate with banks |
Securing operating capital Negotiation with bank How to use public subsidy/loan capital |
|
Personnel |
Personnel planning |
Finding a business partner Securing employees Secure outside staff who undertake workload |
Secure outside staff who undertake workload |
Increase employees Employee training Secure outside staff who undertake workload |
|
Information |
Network creation Attending business establishment seminars Know-how concerning business plan creation |
Company establishment method Accounting knowledge Information regarding subsidy and loan systems |
Finding customers Management know-how in early stage Information on subsidy, loan systems |
Creating network for management Information on subsidy, loan systems |
|
Clerical Support |
|
Registration processing Clerical work regarding accounting, tax records Clerical work regarding general affairs Clerical work regarding social insurance Registration of patent, logo, service emblem Confirming legal issues Telephone receptionist, secretarial service Creation of brochures |
Clerical work regarding accounting, tax records Clerical work regarding general affairs Clerical work regarding social insurance Telephone receptionist, secretarial service PR activities |
Clerical work regarding accounting, tax records Clerical work regarding general affairs Clerical work regarding social insurance Telephone receptionist, secretarial service PR activities |
|
Facility |
|
Desk, table, cabinet, telephone, fax machine, copying machine, PC, mailing service, visitor’s room, conference room, company address of registration |
Desk, table, cabinet, telephone, fax machine, copying machine, PC, mailing service, visitor’s room, conference room |
Increase office space, desk, table, cabinet, telephone, fax machine, copying machine, PC, mailing service, visitor’s room, conference room |
Year
Fig. 1 Business Incubators in Japan
Acknowledgement
The author would like to express his sincere gratitude to Japan Small Business Research Institute and his colleagues in UNIDO, in particular Mr. F. Condorelli, Small and Medium Industries Branch, for providing all the necessary information for preparing this article.
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9. Ministry of International Trade and Industry, Government of Japan
Vienna International Centre
P.O. Box 300, A-1400 Vienna, Austria
Tel: +43-1-26026-3735
Fax: +43-1-21346-3735
E-mail: tmiyake@unido.org