The authors have worked on innovation systems for more than a decade. This paper is an attempt to take stock. In section 2 we reflect upon the emergence and fairly rapid diffusion of the concept 'national system of innovation' as well as related concepts. In section 3 we describe how the Aalborg version of the concept evolved by a combination of ideas that moved from production structure towards including all elements and relationships contributing to innovation and competence building. In section 4 we discuss the challenges involved both in a theoretical deepening of a fairly narrow version of the concept and in the movement toward the broader approach and in adapting the concept for the analysis of poor countries.

The authors have worked on innovation systems for more than a decade. This paper is an attempt to take stock. In section 2 we reflect upon the emergence and fairly rapid diffusion of the concept 'national system of innovation' as well as related concepts. In section 3 we describe how the Aalborg version of the concept evolved by a combination of ideas that moved from production structure towards including all elements and relationships contributing to innovation and competence building. In section 4 we discuss the challenges involved both in a theoretical deepening of a fairly narrow version of the concept and in the movement toward the broader approach and in adapting the concept for the analysis of poor countries.

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A much-needed modern interpretation of Joseph Schumpeter's views on innovation, entrepreneurship and creative destruction, which provides a comprehensive and detailed analysis of this great thinker's major works.