Table of Contents

Public–Private Innovation Networks in Services

Public–Private Innovation Networks in Services

Edited by Faïz Gallouj, Luis Rubalcaba and Paul Windrum

This book is devoted to the study of public–private innovation networks in services (ServPPINs). These are a new type of innovation network which have rapidly developed in service economies. ServPPINs are collaborations between public and private service organisations, their objective being the development of new and improved services which encompass both technological and non-technological innovations.

Chapter 16: From market and systemic failures to an integrative approach for ServPPINs

Bernhard Dachs, Oscar Montes Pineda, Iris Wanzenböck and Jorge Gallego

Subjects: economics and finance, economics of innovation, evolutionary economics, services, innovation and technology, economics of innovation, innovation policy


The new services economy has two main characteristics: first, the dominance of services in a service-industrial context, where services do not grow to the detriment of other economic activities, but complement industrial and socio-economic development (Maroto, 2009; Rubalcaba and Di Meglio, 2010). A second key characteristic of the new services economy is the increasing role of information and knowledge in the performance of economic systems where services, often through service innovations, play a catalytic role on growth and welfare (Di Meglio et al., 2012). Services, then, can be considered not only as an economic sector but also a perspective or a dimension of any economic and social activity. Service innovation, understood as a horizontal element is thus affecting the whole production system. The rapid expansion of the tertiary activities led to increasing interactions not only between goods and services, but also between public and private services, leading to the development of mixed forms (Rubalcaba and Di Meglio, 2010). Mixed public–private services are increasing in importance in many European Union (EU) countries in terms of their contribution to economic growth and welfare. Public–private innovation networks in services (ServPPINs) as a specific form of these mixed services are successful means contributing to the development of the service economy in Europe.

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