By Dr. Harald Legler, Dr. Georg Licht, Prof. Dr. Alfred Spielkamp (auth.)

The examine effects awarded during this publication are a part of the continual reporting at the technological functionality of the German financial system. the indications of technological functionality convey a excessive potency of the German innovation procedure within the brief time period. New wisdom is speedily transferred into patents, leading edge actions are turning out to be independently of the company cycle, and German organizations are good tested on foreign markets. With appreciate to the medium and long term, in spite of the fact that, the growth of the R&D-intensive sectors, R&D actions typically and start-ups don't appear to be powerful adequate, and the provider region lacks widespread beneficial properties in foreign comparability. whereas there are potentials, they don't seem to be sufficiently being mobilised. The energy of the German innovation method lies in complicated applied sciences. yet Germany is usually the technological chief in a few components. Being a "fast follower" by way of quick integrating new applied sciences in leading edge items and methods should still turn out a winning process. Innovation coverage should still advertise recommendations in all components of the financial system and society.

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Extra info for Germany’s Technological Performance: A Study on Behalf of the German Federal Ministry of Education and Research

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Government measures could possibly help overcome lock-in effects. • Modern policies could help avert the danger of insufficient investment in the R&D infrastructure and promote investment in the I&C infrastructure (with the goal of stimulating the development of innovative services in particular). • Rapid technological development, such as in the field of I&C technologies, leads to a swift decline in absorbing capacity and, as a result, reduces the scope for adaptation (particularly for small and medium-sized enterprises); training policy and support for lifelong learning processes help companies keep pace with technological progress.

Despite the shortage of highly qualified I&C specialists that is beginning to emerge, there has been an only gradual increase in the number of students in these fields. More students must be induced to study science or engineering and their numbers must be kept high. Having already chosen their respective fields, today's students have determined the education patterns of new recruits into the work force up through the first years of the next century. Greater thought must be given to short-term options for mitigating the effects that the shortage of skilled personnel with I&C training will have on German companies' competitive strength and growth.

In other words: traditions and longterm factors lay the foundation for the respective innovation system and its development. Key institutions for company-level innovation capability such as the education and science systems, the system for regulating the labor market, and the corporate financing system exhibit strong national peculiarities, and the information at hand does not indicate that this will change much in the future. 2 Distinctive characteristics of the German innovation system The principal features of the German innovation system are outlined in this section to facilitate understanding of the empirical facts described in subsequent sections.

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