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Facilitating innovation in FinTech: a review and research agenda

Author

Listed:
  • Ahmad Alaassar

    (RMIT Europe
    RMIT University
    University of Agder)

  • Anne-Laure Mention

    (RMIT University
    Tampere University
    Singapore University of Social Sciences
    INESC TEC)

  • Tor Helge Aas

    (University of Agder)

Abstract

The purpose of this paper is to carry out content analyses on the existing literature to investigate the knowledge state of innovation facilitators adopted to promote financial innovation. In total, 56 papers were analysed using the NVivo software package. Three categories of innovation facilitators emerged from the literature capturing the perspective of regulators, incumbents and new entrants. Each identified instrument is defined and its processes and implications described. Many initiatives were led by regulators, revealing a regulatory strategy change from risk-based to opportunity-based regulation, with regulatory sandboxes being the most commonly adopted instrument. Incumbent-led innovation facilitators were also identified and typically took the form of corporate incubation models, co-working spaces, venture funds and innovation platforms to support financial institutions with partnerships, acquisitions or self-development. Lastly, the literature review revealed innovator-led instruments to support start-ups with raising capital. Based on our results, we discuss several important observations and propose avenues for future research capturing each of the identified perspectives. This paper contributes to incubation research and the financial innovation and FinTech literature streams.

Suggested Citation

  • Ahmad Alaassar & Anne-Laure Mention & Tor Helge Aas, 2023. "Facilitating innovation in FinTech: a review and research agenda," Review of Managerial Science, Springer, vol. 17(1), pages 33-66, January.
    • Handle: RePEc:spr:rvmgts:v:17:y:2023:i:1:d:10.1007_s11846-022-00531-x
    DOI: 10.1007/s11846-022-00531-x
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    Cited by:

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    6. Kou, Mingting & Yang, Yuanqi & Chen, Kaihua, 2024. "Financial technology research: Past and future trajectories," International Review of Economics & Finance, Elsevier, vol. 93(PA), pages 162-181.
    7. Wang, Jing, 2023. "Digital inclusive finance and rural revitalization," Finance Research Letters, Elsevier, vol. 57(C).
    8. Christoph Wronka, 2024. "Crypto-asset regulatory landscape: a comparative analysis of the crypto-asset regulation in the UK and Germany," Journal of Asset Management, Palgrave Macmillan, vol. 25(4), pages 417-426, July.
    9. Ding, Lei & Xue, Peng, 2023. "Incentives or disincentives? Intellectual property protection and FinTech innovation - Evidence from Chinese cities," Finance Research Letters, Elsevier, vol. 58(PB).

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    More about this item

    Keywords

    Financial innovation; FinTech; Innovation facilitators; Incubation models; Literature review; Research agenda;
    All these keywords.

    JEL classification:

    • G2 - Financial Economics - - Financial Institutions and Services
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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