A Conceptual Framework for Holonic Inter-System Analysis: A Theoretical Study of the Relationship between Financial and Innovation Systems

Document Type : Original Article

Authors

1 Tarbiat Modares University

2 Imam Sadiq University

Abstract

Innovation system studies are facing issues concerning the application of the concepts and theories of the field due to lack of precise theorizing. Innovation system studies used systematic approach to solve its problems, but failed to further benefit from new system approaches. In this paper, we review the weaknesses of two broad and narrow approaches in innovation system studies. The main goal is to provide a solution to resolve the shortcomings of innovation system studies using the new systems approach and recent debates in systems sociology. The solution is proposed as a holonic inter-system analysis conceptual framework. The research methodology is qualitative, and to validate the conceptual framework we use the holistic approach. The holistic approach is one of the issues raised in innovation system to analyze financing innovation in order to show the strengths of the new analysis in contrast to other frameworks. The findings show that by using the concept of function for defining system boundary and mediator holon, we can have a more precise perception of the relationship between financial and innovation systems, which itself results in less system errors in policy-makings. Based on the framework, risk coverage (such as insurance services in financial system) and policy-making authorities in financial system (such as central banks and stock market) should be addressed as a new sector in this field to promote functions of innovation system. This conceptual framework provides a more comprehensive analysis than the previous ones.

Keywords


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