Building the Innovation Strategy of the Palestinian Industrial Sector based on a Triple Helix Model (Industry, University and Government)

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حج حمد, هنا
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An-Najah National University
The triple helix model is a model that clarifies university, industry and government collaboration relationships. The contribution of the industrial sector to the gross domestic production (GDP) is only13.4% (BCBS, 2015), which attributed to the lack of research and development (R&D) and the lack of technological innovations. This has lead the Palestinian industrial firms to find innovative solutions to bridge the knowledge gap for better product development. Moreover, the industrial firms, with their own capabilities, are not able to fulfill their needs for knowledge and technology. Therefore, the triple helix model is considered one of the most important solutions where universities- as a centre of excellence and knowledge- can provide the industrial firms with the required knowledge, technological competences and R&D. This will be supported and facilitated by the institutional competencies of governmental bodies including laws, regulations, technological infrastructure, financial and non-financial subsidies, and environmental investment. The triple helix model will provide a conceptual framework for exploring innovation dynamics and for forming national innovation and development policy-making for the industrial sector. This study works out the degree of interaction between the triple helix elements (industry, university and public sector) and their impact on the performance of the Palestinian industrial firms, and their ability to develop new innovation. In this regard, a collection of primary data was collected from a sample for 340 industrial firms in the West Bank. Then, a set of quantitative measures and econometric models were applied to answer the research questions in light of the data collected. Data analysis was based on a number of methods including the Ordinary Least Square regression (OLS), Robust Least Square, Generalized Linear Model (GLM), and Logit Model. The descriptive statistics show that 17.94% of the industrial firms collaborate with Palestinian universities in order to develop new innovations. 25.29% of the industrial firms collaborate with the Palestinian government in order to acquire knowledge necessary for the development of the innovation process. In addition, 4.71% of the industrial firms collaborate with non-governmental organizations (NGOs). The analysis of the relationship of collaboration between the triple helix members and product innovation found that the existence of an organizational body as the Higher Council for Innovation and Excellence, (HCIE) regulates the cooperation relationships between triple helix model actors. This is necessary for the triple helix model to succeed as a non-conventional solution for the lack of knowledge and technologies that might be important for industrial firms to grow and compete in an open international economy.