February 28, 2019

Entrepreneurship and Innovation Strategy

Americas
Proposals under government consideration
Description of the core change(s) brought by this policy instrument

In October 2014, the Alliance for Entrepreneurship and Innovation of Ecuador (AEI), a public, private and academic organization devoted to improve the conditions for entrepreneurs and innovators in Ecuador, launched the "2020 Strategy for an Entrepreneurial and Innovative Country". This proposal followed a bottom-up approach, in which the main promoters were a group of private, public and academic stakeholders. Directly or indirectly, these stakeholders promote entrepreneurship and innovation as ways to generate growth and development. This proposal was supported by more than 246 stakeholders representing organizations from the three sectors; with the vision of more than 150 entrepreneurs; and, with the support of organizations like CAF (Development Bank of Latin America), IDB (Inter- American Development Bank) and UNCTAD (United Nations Conference on Trade and Development). The EEI2020 constitutes the center of the activities that AEI carries out for the development of Ecuador’s entrepreneurial and innovation ecosystem.

The Strategy EEI2020 includes objectives for every area of the ecosystem; however, in order to accomplish them it is necessary to design a concrete plan of action. For this reason, the Alliance for Entrepreneurship and Innovation, as a first step, identified the activities with impact generation potential to enhance them under parameters of coordinated work. This will allow the construction and launching of a formal action plan.

Its main purpose is to put the Strategy EEI 2020 into practice and with it to monitor and evaluate the impact of all the initiatives carried out by the stakeholders. Hence, AEI will start the construction of the first action plan focused mainly on the activities carried out by the members of the alliance, to eventually expand this practice to other regions of the country. Each region has its own context; thus, it is important that local stakeholders develop their own regional strategies with their own action plans to enhance their entrepreneurship and innovation local conditions.

Please list the implementing agencies

Alliance for Entrepreneurship and Innovation (AEI) is a public-private collaborative network, has 115 members which are the entities who implement specific actions towards the great vision for an entrepreneurial and innovative Ecuador, these are most of the active members:

  • ARCA CONTINENTAL
  • ARCO ESTRATEGIA (THE COUNCIL)
  • ARCSA
  • ASOCIACIÓN ECUATORIANA DE SOFTWARE (AESOFT)
  • ASOCIACIÓN NACIONAL DE FABRICANTES DE ALIMENTOS Y BEBIDAS (ANFAB)
  • AZURIA CONSULTING
  • BANCO DEL PACÍFICO
  • BANCO INTERAMERICANO DE DESARROLLO (BID)
  • BOLD
  • BREAK POINT FOUNDATION
  • BOLSA DE VALORES DE QUITO (BVQ)
  • CABIFY
  • BANCO DE DESARROLLO DE AMERICA LATINA (CAF)
  • CALBAQ
  • CÁMARA DE INDUSTRIAS DE CUENCA
  • CÁMARA DE INDUSTRIAS DE GYQ
  • CARANA
  • CENTRO DE COMPETITIVIDAD
  • CERVECERÍA NACIONAL
  • CEVALLOS & NOBOA
  • COLINEAL
  • CONCEPTUM
  • CONGOPE
  • CONQUITO
  • CORPORACIÓN FAVORITA
  • CORPORACIÓN GPF
  • CORPORACIÓN LEGAL CL ECUADOR
  • DANEC
  • DELOITTE
  • DIFARE
  • DK MANAGEMENT SERVICES
  • DOS HEMISFERIOS
  • EDES BUSINESS SCHOOL
  • EMPAQPLAST
  • ENDEAVOR
  • ESCUELA POLITÉCNICA DE ALTOS ESTUDIOS (ESPAE)
  • ESCUELA POLITÉCNICA DE LAS FUERZAS ARMADAS DEL ECUADOR (ESPE)
  • FIDEVAL
  • FUNDACIÓN CRISFE
  • FUNDACIÓN HEIFER
  • FUNDACIÓN TELEFÓNICA
  • GENERAL MOTORS
  • GIZ-COOPERACIÓN ALEMANA
  • GO CORP
  • GOLDERIE TRADING
  • GRAIMAN
  • GRUPO EKOS
  • GRUPO KFC
  • GRUPO LINK
  • GRUPRA
  • GS1
  • HULT PRIZE
  • HUMBOLDT FAMILY OFFICE
  • INSTITUTO INTERAMERICANO DE COOPERACIÓN PARA LA AGRICULTURA (IICA)
  • INEN
  • INNOBIS
  • INNOVACENTER
  • INSTITUTO METROPOLITANO DE DISEÑO
  • JUNIOR ACHIVEMENT
  • KOMM
  • KREAB
  • KRUGER LABS
  • LAB XXI
  • LABORATORIOS SIEGFRIED
  • LEX VALOR
  • LÍDERES
  • METROPOLITAN TOURING
  • MINISTERIO DEL AMBIENTE (MAE)
  • MINISTERIO DE TURISMO (MINTUR)
  • MINISTERIO DE INDUSTRIAS Y PRODUCTIVIDAD (MIPRO)
  • MUCHO MEJOR ECUADOR
  • MUNICIPIO DE GUAYAQUIL - DASE
  • NESTLÉ
  • NUTRIVITAL
  • OBSERVATORIO PyME - UASB
  • OPIMMUS COACH
  • PACIFIC ADVISOR
  • PAZ HOROWITZ
  • PBP
  • PICAVAL
  • PLATAFORMA COWORKING
  • PNUD
  • PRETELY
  • PRODEM
  • PROECUADOR
  • PROFITAS
  • PROSKILLS
  • RED CEDIA
  • RED FINANCIERA DE DESARROLLO
  • RIPCONCIV
  • ROKKER LABS
  • SALTIVERI OGILVY
  • SDR LAWYERS
  • SECRETARÍA TÉCNICA DE JUVENTUDES (SETEJU)
  • SEMGROUP
  • SENESCYT
  • SHAKESPEARE SCHOOL
  • STARTUPS&VENTURES
  • SUMESA
  • SUPERPACO
  • TEOJAMA COMERCIAL
  • THE EDGE
  • THE PROJECT
  • TRACKLINK
  • UNCTAD
  • UNIVERSIDAD CATÓLICA DE CUENCA
  • UNIVERSIDAD SAN FRANCISCO
  • UPS CUENCA
  • UTPL
  • WORKING UP
  • XIY
  • YACHAY

 

Please name the policy advisor(s) or leader(s) who have been key in introducing and/or designing this policy instrument
  • Andrés Zurita, Executive Director - AEI
  • Andrea Lizarzaburu, We Connect  International (former AEI / UNCTAD Consultant)
  • Stephania Bonilla, UNCTAD
  • Fiorina Mugione, UNCTAD
  • Fulvia Farinelli, UNCTAD
  • Natalia Almeida, AEI
  • Rebeca Vidal, CAF
  • Alejandro Minatta, Entrepreneurship and Innovation consultant in Latin America

 

Lifecycle of target firms for this policy instrument
Start-up firms
If you marked "start-up" and/or "scale-up" firms, please provide the specific definitions used

Strategy EEI2020 purpose is to accelerate entrepreneurship and innovation in Ecuador through supporting Start-up and scale-up firms less than 5 years old and that have the following characteristics:

  • Innovative
  • High growth potential
  • Job generating
  • Opportunity to expand to international markets
  • Increasing annual sales (greater than 50%)
Support offered
Non-financial Support
Level of intervention
Environmental-level
Barrier(s) addressed with this policy tool
Access to capital: early-stage investment
Other barriers
Support systems: articulation/coordination
Abstract summary of this Policy resource

Strategy EEI2020 includes objectives for every area of the ecosystem; however, in order to accomplish them it is necessary to design a concrete plan of action. For this reason, the Alliance for Entrepreneurship and Innovation, as a first step, identified the activities with impact generation potential to enhance them under parameters of coordinated work. This will allow the construction and launching of a formal action plan.

Its main purpose is to put the Strategy EEI 2020 into practice and with it to monitor and evaluate the impact of all the initiatives carried out by the stakeholders.

 

Policy timeline

Since 2020 is around the corner, the idea is to update the document and connect with global 2030 Sustainable Goals. 

Stated goal/metrics of the policy instrument

Ecuador 2020 (year to be updated)

  • New formal innovative start-ups and scale-ups created: 349
  • New employment sources: 2,916
  • Research and Development investment (I+D+i) from private enterprises: US$52,000.000
  • Local sales: US$9,000.000
  • Exports: US$48,000.000
  • Industry and university collaboration agreements: 110
  • Total beneficiaries from educational entrepreneurship programas: US$175,000

 

Evidence of results

The Strategy has been implemented since 2015, after the Action Plan workshop carried out with the support of UNCTAD focused mainly on the activities carried out by the members of the alliance.

It has also been expanded this practice to other regions of the country: Guayaquil and Cuenca. Each region has its own context; thus, it is important that local stakeholders develop their own regional strategies with their own action plans to enhance their entrepreneurship and innovation local conditions.

Three of the main areas where results have been more evident are:

  • Financing with increase of venture capital from US$3M to US$40M in 5 years.
  • Regulatory framework: law for entrepreneurship and innovation project has been approved at the National Assembly and is under review.
  • Business development services: more than 6 thousand entrepreneurs have been supported by the members of AEI network.

 

Challenges, criticisms and lessons

Feedback & lessons learned:

  • Timeframe was too short in order to accomplish the goals stablished, this is mainly because the global indexes also compile other type of initiatives which are not dependant on the activities from AEI network, it is beyond the members.
  • Lack of real involvement of the different actors.
  • Automatic system needed to be used since the beginning for the easier implementation, monitoring and evaluation.
  • Government involvement is very important to massify initiatives in the whole country.
  • Permanent monitoring system is key.
  • Reporting what is happening and how ecosystem is evolving should be sent in real time. 

 

Geographic scope
National-level