Stand van zaken Innovatiebrief, 1 juli 2003

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ENTERPRISE AND INNOVATION
Entrepreneurial and industrial policies in the
Netherlands Luuk Klomp Dutch Ministry of
Economic Affairs
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Contents
ENTERPRISE AND INNOVATION

• Industry policy in the Netherlands
• Renewed instruments for entrepreneurs
• Budgetary system in the Netherlands
• Conclusions

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Industry policy (1) revival
ENTERPRISE AND INNOVATION

• Industry policy in the 70s and 80s
• Protecting industries picking winners
• Industry policy in the 90
• Governments almost completely stepped back
• Industry policy today
• Key areas, industry contacts within Ministry,
  more thematic approach, regional networking,
  etc.

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Industry policy (2) strategy
ENTERPRISE AND INNOVATION

• Improving the business climate and framework
  conditions
• Boost innovation
• Integrated and tailor made approach

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Industry policy (3) barriers to development
policy measures
ENTERPRISE AND INNOVATION

• Increasing regulatory pressure
• Lessen the administrative burden with 25 by 2007
• Business impact assessments
• Labour costs and inflexibility labour market
• Making the labour market more flexible (e.g. make
  it possible to work longer)
• Fiscal climate
• Step-by-step reduction of the corporation tax
  rate from 34,5 in 2004 to 30 in 2007

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Industry policy (4) barriers to development
policy measures
ENTERPRISE AND INNOVATION

• 4. Innovation
• Innovation vouchers
• Fiscal measure for process innovation
• 5. Specific bottlenecks for sectors and target
  groups
• Continuous dialogue with industry through
  established contactpoints

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Contents
ENTERPRISE AND INNOVATION

• Industry policy in the Netherlands
• Renewed instruments for entrepreneurs
• Budgetary system in the Netherlands
• Conclusions

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Renewed instruments (1) vision
ENTERPRISE AND INNOVATION

• One size fits all ? more flexibility and
  custom-made
• Less, more effective and simpler instruments
• Less and smarter counters
• Substantial reduction administrative burdens
• Focus and mass

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Renewed instruments (2) policy mix
ENTERPRISE AND INNOVATION
Programme Package
Basic Package
General conditions
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Renewed instruments (3) basic package
(high-tech) starter
Entrepreneursplaza Information and advice
GuidanceBrokerage Workshops,etc.
Bank or participationcompany Credit Guarantee
Participation
fast grower
innovating entrepreneur
starter on foreign market
capital intensive entrepreneur
Information advice
Capital
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Renewed instruments (4) programme package ?
fostering excellence
ENTERPRISE AND INNOVATION

• Focus on high-potential areas
• Strong emphasis on public-private cooperation
• Custom-made and demand driven programs
• Open to challengers
• Mix of grants, credits and guarantees
• Governance large role for agency in developing
  and implementing programmes in cooperation with
  public and private parties

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Contents
ENTERPRISE AND INNOVATION

• Industry policy in the Netherlands
• Renewed instruments for entrepreneurs
• Budgetary system in the Netherlands
• Conclusions

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Budgetary system in the Netherlands (1)
ENTERPRISE AND INNOVATION

• VBTB From Policy Budget to Policy Justification
• VBTB concerns a budgetary process which aims to
  bring effective and efficient (measurable) policy
  into place

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Budgetary system in the Netherlands (2)VBTB
indicators on entrepreneurship
ENTERPRISE AND INNOVATION
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Contents
ENTERPRISE AND INNOVATION

• Industry policy in the Netherlands
• Renewed instruments for entrepreneurs
• Budgetary system in the Netherlands
• Conclusions

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Conclusions (1)
ENTERPRISE AND INNOVATION

• Renewed instruments in areas of entrepreneurship
  and industry policy put firms at the forefront
• There is an awareness of the risk of government
  failure, i.e. avoid picking winners or
  unconditionally support declining industries
• Much attention is paid to easy access to
  information and financial instruments and to
  instruments aimed at fostering excellence

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Conclusions (2)
ENTERPRISE AND INNOVATION

• Permanent need for indicators ? prove the
  efficiency and effectiveness of instruments
• Challenge is to find indicators that are
• Linked to specific instruments
• Give an indication of the outcome / impact of
  policies
• Are available for a set of EU or OECD countries
• Availability over time, preferably within a
  time-lag of one year
• Official statistics have to be combined with
  indicators from other sources. We are interested
  in best practices from other countries.