Research and Development as a Basis for Technological Development in Slovenia

Abstract

In this article, we discuss the research and development (R&D) as one of the key determinants that promote innovation, technological development and, indirectly, economic growth and the competitiveness of economies and businesses. International comparisons at the macroeconomic level over the past 17 years show a slow rise in the coefficient (ratios) between R&D expenditures and GDP. In the most advanced economies, the share of R&D expenditure is approaching or even exceeding 3% of GDP. Slovenia is one of the countries that did not reach the OECD average, which stood at 2.3% of GDP in 2016. In the period 2013-2017, a negative trend in R&D expenditures in Slovenia was established for various reasons (change in R&D recording, tax relief, economic conjuncture). In a very small proportion of targeted applied research and experimental development, we can search for the causes of technological backlogs in the Slovenian economy.

In the future, research policy must, to a greater extent, promote interactive cooperation between enterprises, institutes, universities, and state institutions; change the structure of publicly funded research in favour of targeted applied research; increase internationalization through integration into international value chains; develop the market of innovative public procurement. R&D management in enterprises must accelerate innovation efforts not only in high technology segments, but also in the field of medium and low technology with a higher role of venture capital, a significant increase in the number of researchers in enterprises, and the use of a voucher system for research and consulting services, especially in small and medium-sized enterprises.