Surveying on National Innovation Systems and
Intellectual Property on Iranian Industries,
Research and Technologies Centers
‫علی اکبر متحدی‬
Ali Akbar Mottahedi
IROST
Iranian Organization for Science and Technology
3-days regional workshop on
National Innovation Systems and Intellectual Property
October 7-9 2013, Islamabad, Pakistan
ISESCO
COMSATS
INIT
CIIT
1
About our discussion
industrial development strategy, SMEs
and their relation to national innovation
systems and intellectual property.
Pathology of their situation can help
improving countries to use experience as a
case study to improve national innovation
system to improve their technology and
economical condition.
2
Introduction
 To have better economic situation, countries
should abstinence from row export.
 Industries have an important role in national
development
 limitation of water recourse in Iran, agriculture
shall be by developed technology.
 for development of technology, countries shall
intentness to national innovation systems and
intellectual property.
3
Table 1: Iranian Population by different sex and ages-2006
Age
total
0-4
5-9
10-14
15-19
20-24
25-29
30-34
35-39
40-44
45-49
50-54
55-59
60-64
65-69
70-74
75-79
80-more
sum
Number
70,495,782
5,463,978
5,509,057
6,708,594
8,726,761
9,011,422
7,224,952
5,553,531
4,921,124
4,089,158
3,522,761
2,755,420
1,887,981
1,464,452
1,197,550
1,119,318
694,122
645,601
percent
100,00
7.75
7.81
9.52
12.38
12.78
10.25
7.88
6.98
5.80
5.00
3.91
2.68
2.08
1.70
1.59
0.98
0.92
male
number
35,866,362
2,801,568
2,820,524
3,441,245
4,443,901
4,511,851
3,660,167
2,837,969
2,511,545
2,081,679
1,792,481
1,386,063
9,3,536
726,449
622,470
598,231
372,570
335,113
percent
100,00
7.81
7.86
9.59
12.39
12.57
10.21
7.91
7.00
5.8
5.00
3.86
2.57
2.03
1.74
1.67
1.04
0.93
female
Number
34,629,420
2,662,410
2,688,533
3,267,349
4,283,860
4,499,571
3,564,785
2,715,562
2,409,579
2,007,479
1,730,280
1,369,357
964,445
738,003
575,080
521,087
321,552
310,488
percent
100,00
7.69
7.86
9.44
12.37
12.99
10.29
7.84
6.96
5.80
5.00
3.95
2.79
2.13
1.66
1.50
0.93
4
0.90
Employment Policy and SMEs task on
national innovation system in Iran
 Considerably Iranian population is young. Most of the






Iranian populations are below than 30 years old (60%)
now days the rate of unemployed are even more in the
graduated young people.
Iran shall work mostly in technology base occupation.
So: improve SMEs Companies. Because, SMEs Company
needs:
little capitals, (comparison to medium and large companies)
no need to sophisticated experience and professional
management,
No need so much times to be productive.
5
Roles of Industrial SMEs on Employment and Economy in Iran
 small factories (workers up to 9), have the most important
role in employment and economic development.
 SMEs have an important role in jobs creation, economic and
Industrial development in Iran
Table 2: role of scale of factories, to occupation, Iran in 2007
No. of
factories
workers 103
Added value
109 in US$
Small factory (1-9 workers)
16,057
10714
27
Medium factory (10-50 workers)
12.151
2666
2.4
Factory (more than 50 workers)
3906
8038
25
All the factories
32,114
21428
54
6
Industries, Industrial Towns, Research & Technology
development Role on National Innovation system in Iran
 Most of small and medium factories are in
industrial towns (cities)
 In spite of huge industries, medium and small
factories cannot have R&D center or laboratory
for research and innovate on their products or
technology development.
 establishing of research center would be very
effective to innovation system and industrial
development at the national level.
7
8
Table 3: Some information about Iranian industrial cities in 2008
Number of industrial towns
393
Number of industrial company in the industrial cities
20594
Workers
442163
Number of technology cities
2
Number of technology centers in the industrial cities
8
Number of IT centers
3
9
Science and Technology Parks (STP) task on intellectual property in Iran
 STPs and Technology incubators in Iran are
established from 2001, below to the ministry of
Science, research and Technology
 haven’t an important role on economy and
employment yet
 is expected to have influence on reduction of brain
escaping and positive role on intellectual property.
 taking advantage of managers with industrial
experience in research and technology centers
especially in technology parks is a necessary approach
for developing national innovation
10
Figure2: Technology incubator centers in Iran
11
Figure3: establish of Technology Incubators in Iran
Figure 4: establish of Science and technology parks in Iran 12
Agriculture and national innovation system
 Iran works on very different and various kinds of
production in the area of agricultural and industrial
fields
 Most of agricultural firms are small and private by non
specialist men. It is not enough technological based
activity.
 technological base agriculture is necessity due to
insufficient water in Iran.
 organizing technology based agriculture and in bigger
soil by saving water is more important policy for
national innovation system.
 In present situation, it is difficult to support intellectual
properties of agricultural innovation.
13
Role of Industrial development strategy on National
innovation system and intellectual property
Self Sufficiency Approach
Particular:
 The most products will be
used in the same country.
 The export and import will
be limited.
 The row material will be
provided from inside of
country.
 Low competition and
marketing
 Doors will be closed or
limited to international
business
 Advantages:
 The country will gain more
power and resistance to
sanction and limitation of
other countries or
international restriction.
 The country does not
need to have more
investment for nitty-gritty
and foundation like as
roads and so on
 Low competition
 Low marketing costs
14
Self Sufficiency Approach
 Disadvantages:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
Intellectual property cannot be supported well
Innovation will be limited
Low Efficiency
The cost will be higher
The economy will be lower
The technology will be lower
Low variety of products
Lower job especially for graduated peoples.
Lower quality of products
Lower design
Consumption of more row material and energy
Sometimes There is black market
15
Export Oriented Approach
 Particular
 some products will be
export to other
countries.
 The doors are open for
the international
business
 High marketing and
competition
 Advantages
Intellectual property can be
supported
2. Innovation will be improved
3. High Efficiency
4. The cost will be lower
5. The economy will be higher
6. The technology will be higher
7. higher variety of products
8. More job
9. more quality of products
10. better design
11. Consumption of lower raw
material and energy
12. Different goods for satisfying
man needs
1.
16
Disadvantages of Export Oriented Approach
1.
2.
3.
4.
5.
6.
economy will be depended to
the other countries and will
affects of fluctuating of other
 So the distinguish of
countries, especially bigger
this tow kind of
ones.
strategies can be
Difficult to resist to sanction
summary as:
and limitation of other
countries or international
 The Self sufficiency
approach will gain
restriction.
more political power
need to have more investment
for a country and the
for nitty-gritty and foundation
Export oriented
like as roads and so on
approach will gain
High competition
better technology
High marketing costs
and economical
situation.
specialist just in some or
limited technology
17
Industrial Development Strategy and national
innovation system in Iran
 1-Before revolution in1979: Saied export oriented
 2- After the Islamic revolution (1979) for about 15
years: self sufficiency
 3- 8 year third and forth economic and social
development plan of Iran: export oriented.
 But after 2005 due to political situation of
Iranian government: not clear (challenge)
 the import is expanded from about 35% to 60%
during 2005 to 2010
18
Conclusion
1.
2.
3.
4.
5.
6.
National innovation system and intellectual properties
are affected by industrial development strategy of
countries
Innovation mostly will be improved in countries with
export oriented strategy.
Innovation and intellectual properties will be in
submissive in self –sufficiency strategy.
Industrial development strategy based on self
sufficiency however can develop political power and
influence, but cannot improve economical condition as:
innovation, technology and employment of developing
countries especially for small and medium countries.
Industrial development strategy of country shall be
stable as more as possible.
In fluctuation conditions, due to changes of law and
regulation it seems that, the SMEs can be more
compatible to the industrial strategy of governments.
However, this makes them uncompetitive to other firms
19
in all over the world.
Conclusion-2
7- The most important economical and social problem in Iran is
occupation for years.
8- One solution for solving employment for young educated is
improvement of knowledge based SMEs companies because,
they need:
 a) Little capitals, (comparison to medium and large companies)
 b) No need to sophisticated experience and professional
management
9- Iran's industrial development strategy changes from self
sufficiency to the export oriented and then to a not clear
industrial development strategy due to political limitation.
10- Knowledge based company takes time to be efficient so they are
more sensitive to the fluctuation condition. Innovation systems
need to a more stable industrial development strategy.
20
‫‪Thank you for attention‬‬
‫‪Ali Akbar Mottahedi‬‬
‫علی اکبر متحدی‬
‫آنچه در علم بیش می باید‬
‫‪21‬‬
‫دانش ذات خویش می شاید‬