Margit Kirs

The study contributes in the framework of the measure „Enhancing the Knowledge Intensity of Entrepreneurship in Ida-Viru: Developing Research Capacity in Ida-Viru County to Establish a RDI Network” during 2024-2028 to the development of a theoretically grounded framework for transition processes as well as methodology and models for empirical monitoring of relevant aspects of transition. The study consists of three themes: just transition governance, Ida-Viru innovation system, and changing business models of Ida-Viru companies. The aforementioned three thematic work packages contribute together with the remaining four (monitoring and prognosis of Ida-Viru employment, development of Ida-Viru technology intensive innovation niches, vulnerability of local population and innovation potential, health impacts of transition and development of health services) to the development of the transition processes framework and are implemented in cooperation with UT research teams.

Although there is a clear need in Estonia to make economic policy more responsible and smarter, the call for projects highlights the challenge of a lack of unified understanding of what sustainability entails across different sectors in the long term. Most of the described pain points are also noted in strategic documents guiding Estonia’s sustainable economic development. Hence, the key problems are more evident at the policy implementation level, where public sector interventions have sometimes yielded opposite results, had minimal impact, or progressed too slowly. The project aims to analyze and solve these problems through the following activities First, to analyze and synthesize what opportunities does the green transition offer for Estonia, and what prerequisites are needed to realize them? We will validate some of these opportunities, create cross-sectoral links, and obtain a realistic picture of what the green transition entails in sectors most crucial for sustainability transition. Second, clarifying the above and mapping the way forward will allow for a deeper investigation into necessary changes in policy measures: which public sector interventions should be increased, newly created, reduced, or discontinued. Third, to achieve real change in businesses, we will collaborate with the Client to design novel interventions for the next period's economic policy. We expect long-term results, as the project coincides with policy design for the 2027-2034 budget period, enabling the public sector to acquire skills that are more effective for solving today’s and future problems. The output will be policy recommendations (measure design and skills) implemented from 2027 onward.

Catching-Up along the global value chain: business models, determinants and policy implications in the era of the Fourth Industrial Revolution is a project built on a multidisciplinary and multi-sectorial exchange program focused on unravelling the process of Catching-Up from different sectorial perspectives at a country level. It analyses the role of business models (BMs) in entering, learning and upgrading the Global Value Chain (GVC), aiming at recognising the determinants and challenges faced by Small and Medium Enterprises (SMEs) in tackling the process of upgrading in a globalising economy. The outcome of the project will be the definition of policy tools and frameworks to support effective policy-making actions in the implementation of Research and Innovation Smart Specialization Strategy (RIS3), with respect to the new agenda of Europe 2020, mainly for low-income EU countries.