University dynamic capabilities to boost innovation ecosystems : The case of a university alliance in Brazil

Abstract

This chapter unpacks how universities’ dynamic capabilities are mobilized to take on the role of fostering and orchestrating regional innovation ecosystems. Increasingly, universities are applying strategic and entrepreneurial management practices to be able to expand themselves into governance structures to deal with dynamic and changing environments. Different phases of an innovation ecosystem (initial stage, development, and renewal) require different key dynamic capabilities. We found that there is a fourth phase, the boost stage, in which an existing but declining innovation ecosystem requires an agent to be the propellant and revitalizer for its development cycle to be resumed and expanded. We address this issue with a unique Brazilian case study, an Alliance founded by three universities to develop the region into an environment conducive to innovation and entrepreneurship. This case study shows the role of universities as an orchestrator agent when there is a need to boost an ecosystem that is experiencing difficulties, by organizing, motivating, and supporting a network of stakeholders to drive the regional ecosystem. The research found that universities in declining ecosystems need to combine three dynamic capabilities at the same intensities in several actions to lead the local initiative.