Thinking Beyond The Box: Game-Theoretic and Living Lab Approaches to Innovation Policy and Practice Improvement

Abstract

This paper addresses a complex problem of finding optimal or suboptimal strategies and business decisions of (1) entrepreneurs, inventors, innovators, and other “economic actors” who are engaged, or want and can be engaged, in innovation activities, and (2) policymakers who want to secure both stability and development of a national or regional political and economic system. In contrast to many papers which separately discuss innovation behavior and innovation policies, our research aims to fill such a gap and show how these aspects are integrated. The authors suggest and present both qualitative and quantitative approaches using game-theoretic analysis and living lab simulation what triggers, catalysts and accelerators for entrepreneurial and innovative action and results can be better supported by policy and practice.