The Policies Behind Stimulating the Growth of Unicorns within Countries and Harvesting Innovation

Abstract

This thesis aims to examine what policies stimulate the growth of unicorns and allows governments to harvest innovation within their borders. While much has been written on the success of some multi-billion dollar corporations, little has expanded on how unicorns and the creation of innovation can promote a country both in its economy and technology. This thesis evaluates these benefits, and then looks into what policies can be implemented to increase a nation's innovation output. This thesis first regresses data relating to a nation’s ability to harbor innovation and unicorns with education, intellectual property rights, and corporate tax rates. Using a regression analysis along with case studies on technologically advanced nations, the results show a strong relationship between a nation's ability to harvest innovation and education(along with entrepreneurship education) and intellectual property rights. While also showing a weaker relationship towards the corporate tax rate of a country. To further explain what policies are most effective, Chapter 4 of this thesis takes a look through case studies at countries that have had success in generating innovation. The findings of this thesis is critical for creating more innovation and unicorns around the world, especially in developing countries.