UDC 330.341.1:332.1(477) JEL · O38 · R11 · R58 DOI 10.32342/3041-2137-2026-2-65-2

Innovation Ecosystems and the Modernization of High-Tech Production at the Regional Level in Ukraine

An econometric assessment of how science parks, technology parks and innovation technology platforms shape the volume of high-tech production across 25 regions of Ukraine — using a Tobit model built for censored data.

V. Osetskyi A. Zavazhenko V. Kulish D. Osetska
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of Ukraine's high-tech output is in Kyiv city alone
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administrative-territorial units analysed (2023)
0
innovation-infrastructure objects in total
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regions report zero high-tech output
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added output per extra science park
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cross-sectional study year
Abstract

The case for building regional innovation ecosystems

The article provides a rare empirical assessment of innovation-ecosystem effectiveness in a country undergoing extreme external shocks and post-war transformation.

Amidst the new challenges facing Ukraine's economy, the problem of finding and implementing effective tools for structural modernization and the transition from a resource-based to a high-tech economic model has become a pressing issue. A key stage of this modernization is the formation of regional innovation ecosystems. According to the theoretical approach, innovation ecosystems are not merely a collection of separate structural elements, but a dynamic system of interconnected economic and social actors that, through cooperation networks, foster the creation of innovations, attract investment and enhance economic competitiveness.

The purpose of this study is to assess the impact of the infrastructural elements of the innovation ecosystem on the volume of high-tech production in the regions of Ukraine, which will allow for the identification of the most effective tools for stimulating innovation activity. An econometric analysis was conducted using regional statistical data and employing a Tobit model to account for the specific nature of the data. The results confirmed the research hypothesis that the considered infrastructure objects have a positive and statistically significant impact.

The analysis revealed that science parks demonstrated the largest positive effect, confirming their key role in generating innovations, while innovation technology platforms and technology parks also have a substantial, albeit somewhat smaller, impact on the regional development of the high-tech sector. Thus, the study empirically proves that the greatest returns are generated by those infrastructure objects that create and support links between the key actors of the ecosystem, namely science institutions and business. This confirms that synergistic effects within the ecosystem arise precisely at the intersection of fundamental knowledge and its practical commercialization. The obtained conclusions can serve as a basis for formulating priority measures of state policy for stimulating innovation development in the context of ensuring the post-war recovery of Ukraine's economy.

Keywords: innovation ecosystem, institutional change, high-tech production, regional development, innovation-driven modernization, innovation policy, post-war recovery.
Problem Statement

Why a resource-based model is no longer enough

In the context of global bifurcations, the structural transformation of the economic system becomes particularly pressing. A resource-based export model has inherent vulnerabilities that, in the long run, limit growth and increase dependence on external market conditions.

A vulnerable export model

A resource-based export model has inherent vulnerabilities that, in the long run, limit the potential for economic growth and increase dependence on external market conditions.

Toward a knowledge economy

A key component of the transformation is forming a knowledge-based economy, which involves the prioritized development of high-tech and science-intensive sectors and the development of human capital.

An unresolved research gap

Despite innovation-driven development being a priority, there are few empirical studies assessing ecosystem effectiveness — and the most influential factors stimulating high-tech production at the regional level remain unidentified.

The issue of identifying and substantiating effective public-policy instruments to stimulate innovation activity at the regional level acquires special theoretical and practical significance.

The Concept

What an innovation ecosystem actually is

The concept of the "ecosystem" was borrowed from biology, where it was first introduced into scientific discourse by the British botanist A. Tansley in 1935. This study adopts the definition proposed by Granstrand and Holgersson.

"An evolutionary set of actors, activities and artefacts, as well as the institutions and relations — including complementary and substitute relations — that are important for the innovative performance of an actor or a population of actors."

— Granstrand & Holgersson (2020)

Five components of the ecosystem

01 · Actors

Who participates

The organizations and individuals engaged in innovation activity.

02 · Activities

What happens

R&D, financing, product development, commercialization, education and policymaking.

03 · Artefacts

What is produced

Technologies, products, services, patents, software and scientific publications.

04 · Institutions

The rules

Formal "game rules" — laws, regulations, IP rights — and informal cultural norms and business practices.

05 · Relations

The links

Cooperation and complementarity, but also competition and substitution between actors.

Three infrastructural building blocks

These infrastructural entities create the physical and virtual spaces for interaction, commercialization and innovation — and are the independent variables tested in the model.

Science parks

Specially organized territories bringing together innovative companies, universities and research institutes. They typically have closer ties to universities and research institutions.

SP · academia-linked

Technology parks

More oriented towards industrial centres and integration with corporate R&D departments, promoting a culture of innovation and enhancing business competitiveness.

TP · industry-linked

Innovation technology platforms

Predominantly digital environments that serve as virtual infrastructure, eliminating geographical and organizational barriers among globally distributed participants.

ITP · digital
Recent research increasingly recognizes regional innovation ecosystems as a distinct level of analysis. Each is unique — shaped by local cultural, economic and institutional environments — and acts as a catalyst for the co-evolutionary, structural modernization of entire countries.
The Data

An extremely concentrated landscape

The analysis draws on statistical data from 25 administrative-territorial units of Ukraine for 2023. The temporarily occupied territories of Crimea and Sevastopol are excluded due to the absence of official statistics for the period.

Fig. 1 — Regional share of high-tech production

Share of each region in Ukraine's total volume of realized high-tech production, 2023 (%). Kyiv city alone accounts for almost two-thirds of national output.

Source: elaborated by the authors based on [16]

Fig. 2 — Infrastructure by macroregion

Distribution of the 57 innovation-infrastructure objects across five geographical macroregions of Ukraine, 2023 (%).

Northern
Western
Central
Southern
Eastern
Source: elaborated by the authors based on [5]

Infrastructure inventory by region

Number of objects by type for the regions that host any infrastructure. Kyiv city dominates with 12 science parks and 7 technology parks.

Science parks (SP)
Technology parks (TP)
Innovation technology platforms (ITP)
Source: compiled by the authors based on [5, 16]
Table 1 — Descriptive statistics of the variables
Region Output_high, thsd. UAH Science parks Technology parks Innovation tech platforms
*Source: compiled by the authors based on [5, 16]
The Model

A Tobit model for censored data

High-tech production is absent in 5 of the 25 units. This data structure makes ordinary least squares on a logarithmized dependent variable inappropriate — it would drop those observations and create sample-selection bias.

To obtain consistent and unbiased estimates, a Tobit model was chosen. Based on the maximum-likelihood method, it is theoretically sound for analysing dependent variables censored at a certain level, allowing simultaneous assessment of a factor's impact on both the probability of observing a positive production volume and on its expected level. All estimations and diagnostic tests were performed using the Gretl software package.

Output_high*i = β0 + β1SPi + β2TPi + β3ITPi + εi
where Output_high*i is a latent variable representing the potential production volume, and the observed variable Output_highi is equal to Output_high*i if Output_high*i > 0, and 0 otherwise.

Diagnostic tests confirmed the model's robustness

No multicollinearity

Variance inflation factors were all well below the critical threshold of 10 (maximum VIF < 2.0).

Robust standard errors

Residuals deviated from normality and heteroskedasticity is likely in cross-sectional data, so robust QML standard errors were used.

Resistant to outliers

Re-estimating the model without Kyiv city (the largest residual) left all key variables with the same sign and significance.

Highly significant overall

The likelihood-ratio test confirms overall significance, with a Chi-squared p-value below 0.001.

Findings

A clear hierarchy of influence

All three elements of the innovation ecosystem have a positive and statistically significant impact on the volume of high-tech production — but their strength differs markedly.

1

Science parks

SP · significant at 0.1% (p < 0.001)
+₴2,044,800

The most powerful driver. Underscores the critical link between R&D activities, academia and the real sector for generating innovative products.

2

Innovation platforms

ITP · significant at 1%
+₴677,320

A strong impact, confirming their effectiveness as platforms for commercializing technology and supporting innovative projects.

3

Technology parks

TP · significant at 5%
+₴575,150

A significant positive effect, completing the picture and confirming their role in stimulating high-tech production.

Marginal effect on expected high-tech output

Average increase in expected regional high-tech production (UAH) from one additional object of each type, ceteris paribus.

Source: calculated by the authors
Table 2 — Tobit model estimation (n = 25, QML standard errors)
Dependent variable: Output_high*CoefficientStd. errorzp-value
const−2.02959e+06688673−2.9470.0032
ITP 1%8666723158392.7440.0061
SP 0.1%2.61639e+062917358.968<0.0001
TP 5%7359322938202.5050.0123
Chi-squared(3)126.4402p-value3.16e-27
Log-likelihood−326.8490Akaike criterion663.6980
Schwarz criterion669.7923Hannan-Quinn criterion665.3883
*Source: calculated by the authors. The significant negative constant reflects a conditional baseline level of production in the complete absence of the researched infrastructure facilities.
Conclusions

Relationships matter more than objects

The key conclusion

Science parks are identified as the most influential element of the ecosystem. This implies that state regional development policy should focus not merely on creating infrastructure facilities, but on ensuring their close ties with scientific and educational centres.

The close "relationships" between the key "actors" — scientific institutions and business — cultivated within science parks are crucial for creating innovative new products. This underscores the importance of prioritizing state support for science-oriented infrastructure that transfers knowledge and technology from academia to the real economy.

Limitations & future research

The study uses cross-sectional data for a single year (2023). It cannot control for time-invariant unobserved regional characteristics (e.g. entrepreneurial culture), nor for time-varying factors such as foreign direct investment or specific market conditions.

A promising avenue is the transition to panel-data analysis for more reliable causal estimates. Future work could also assess the socio-economic impact of infrastructure on labour markets and demography, and the role of the ecosystem in enhancing national resilience and defence capabilities.

Innovation policy should be strategically directed towards cultivating deep, collaborative linkages rather than merely increasing the number of isolated infrastructural objects — critical for the efficient allocation of limited resources and sustainable, innovation-driven modernization.

References

Sources

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