Innovation and competitiveness in Greece, Bulgaria and Romania, focusing on the special importance of innovation as the most important determinant of competitiveness: an analysis of the literature and benchmarking scores.

Abstract

Greece, Bulgaria and Romania are among the worst performers in the European Union on the two very important indicators of innovation and competitiveness. The three countries have a number of weaknesses and shortcomings that explain this poor performance and the distance that they have not just from the advanced nations of Western Europe, but from the “second tier” performers of Southern and Eastern Europe as well. However, while in the problems of Bulgaria and Romania are similar to those of the other former communist EU member states and can be resolved in a similar way over time, Greece suffers from deeper structural problems that are holding it back and making the drastic reforms needed extremely slow or impossible. Due to their difficult position and poor performance, all three countries can be particularly aided by any measures that can boost innovation, which in turn can improve competitiveness, which in turn can improve the economy and quality of life. European efforts to close the innovation and competitiveness gaps should be primarily focused on these three countries, as the weakest and most problematic links in the chain.