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The Potential for Innovation and Entrepreneurship in EU Countries in the Context of Sustainable Development

Author

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  • George H. Ionescu

    (Department of Finance, Credit and Accounting, Romanian-American University, 012101 Bucharest, Romania)

  • Daniela Firoiu

    (Department of Commerce, Economic Integration and Business Administration, Romanian-American University, 012101 Bucharest, Romania)

  • Ramona Pîrvu

    (Department of Economics, Accounting and International Affairs, University of Craiova, 200585 Craiova, Romania)

  • Marian Enescu

    (Department of Management, Marketing and Business Administration, University of Craiova, 200585 Craiova, Romania)

  • Mihai-Ionuț Rădoi

    (Department of Economics, Accounting and International Affairs, University of Craiova, 200585 Craiova, Romania)

  • Teodor Marian Cojocaru

    (Department of Economics, Accounting and International Affairs, University of Craiova, 200585 Craiova, Romania)

Abstract

For the European Union, innovation and entrepreneurship are strong vectors to overcome global societal challenges from climate change and sustainable energy to food and healthy living. Innovation is a facilitator of entrepreneurship and a way of empowering people to take charge of their lives and economic prosperity. At the same time, entrepreneurship is the answer to innovation, the concepts of innovation and entrepreneurship being undeniably interrelated. This research proposes assessing the potential for innovation and entrepreneurship in EU countries in the context of sustainable development. With the help of hierarchical clustering analysis, EU countries were classified into four relevant clusters on the basis of the variables considered, which allowed the identification of common features and existing differences. The research was conducted using data provided by the Global Innovation Index, Global Entrepreneurship Index, Eurostat database, and Candriam ESG Country Report at the level of the 27 EU countries. The main results revealed high-performing countries in terms of innovation and entrepreneurship potential, providing relevant information for policy-makers, business practitioners, NGOs, and academics on the direction they need to take for good practice models to be adapted and implemented in countries with sub-optimal performance, to provide them with support for improvement of their innovation and entrepreneurship potential.

Suggested Citation

  • George H. Ionescu & Daniela Firoiu & Ramona Pîrvu & Marian Enescu & Mihai-Ionuț Rădoi & Teodor Marian Cojocaru, 2020. "The Potential for Innovation and Entrepreneurship in EU Countries in the Context of Sustainable Development," Sustainability, MDPI, vol. 12(18), pages 1-18, September.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:18:p:7250-:d:408845
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