Competitiveness and innovation performance of regions in Slovak Republic

The aim of the article. The goal of this paper is by means of selected indicators (outputs) of innovative activities in regions of Slovakia to identify and assess differences in innovation performance in individual regions of Slovakia. In terms of objectives and research content firstly there are presented research and development expenditures, which are transformed into innovative products in particular regions. Consequently, we have set relevant outputs from innovation activities. Selected parameters are assessed in time series of years from 2005 to 2014.The results of the analysis. The paper deals with the competitiveness and innovation performance that are two interrelated economic categories being reflected by their synergistic effect in various areas of economic and social life. Their examination and evaluation can be assessed at different levels such as business, regional, national and international level. National competitiveness and innovation performance are results of integral action of stakeholders at business and regional levels. The subject of this paper is to explore the innovative performance at regional level, i.e. at the level of Slovak particular regions on the basis of selected results of innovation processes in the field of science, research and development. Results of innovation performance assessment show strong differences in regions being assessed what is also reflected in their economic performance and competitiveness differences. Innovation performance is one of the factors that has an impact on development in various areas of social life by its synergistic effect, it affects the economic performance and competitiveness at all levels. In terms of our research on regional innovation performance, we can see that regional disparities in social and economic indicators are presented. Based on the correlation analyses having been executed we state that Slovakia belongs to the group of countries where the competitiveness is not pulled by innovation. In this paper we have shown that innovation performance is one of the factors that by its synergistic effect has an impact on development in various areas of social life, is affecting the economic performance and competitiveness at all levels. In terms of our research on regional innovation performance, we can see that regional disparities in social and economic indicators can be narrowed by being engaged in cooperation with all important stakeholders in region such as companies, clusters exploiting new technologies based on innovation, patents, knowledge and added-value. The rapid internationalization of technology means that firms need to monitor both their domestic and their foreign technological environments. For many industries, technology is of the utmost importance and can determine whether firms prosper or fall by the wayside. That also applies to regions and states. Only economy as an active member of international division of labor, producing high-tech products based on innovations is able to achieve sustainable economic growth. Failing to do so, economy will be caught in the world economy periphery having no sources to secure economic development for sufficient quality of life. Technology is a double-edged sword for business offering many opportunities but also challenges. On the one hand, it opens up a variety of opportunities for business in terms of new products, processes, and markets. On the other, it leaves firms more open to a range of competitive threats such as takeover, increased competition and even to the theft of their technologies.Conclusions and perspectives for further researches. We arrived to the conclusion how technology refers to ideas and knowledge that business can exploit commercially and assure regional sustainable development. The sources of new ideas on which regions can call are many and varied, ranging from universities and research institutes to competitors, customers and suppliers, and to employees. For example The European Union has also launched several integrated programs of research to help backwoods regions to catch up with the developed ones in the application of modern technology. Finally we can summarize that globalization and technology make foreign sources of new ideas more accessible and have made it easier for business tap in to foreign sources through, for example, cross-border R&D partnerships. Innovation tends to be concentrated in big firms operating in the high-tech manufacturing sector. The rate of innovation varies from firm to firm, sector by sector and country to country. Some firms in particular regions generally spend more on R&D and take out more patents than firms based elsewhere. Firms are motivated to innovate by increasingly fierce competition from rivals, both domestic and foreign, other elements in the supply chain, developments in the ICT sector, and the policies pursued by governments. Technology offers opportunities to business organizations to increase their profits and growth through the introduction of new and improved goods and services and through changes to their production processes. Technology also helps firms to restructure their global patterns of production through investment in low cost locations or by sub-contracting to cheaper suppliers. However, technology can also pose threats and challenges for firms particularly if they allow themselves to fall behind their competitors.