Entrepreneurial Innovation and Policy Implications in the United Arab Emirates

The paper provides an overview of entrepreneurial innovation and aspiration in the United Arab Emirates to help policy makers facilitate Emirati entrepreneurs establish small and medium size enterprises that develop and utilize new technology and innovation through research and development. The findings indicate that firstly, business activity in the UAE among Emiratis is concentrated in consumer and service oriented ventures, such as retail, restaurants, health, education and social services. Secondly, UAE businesses in general are skilled at technology adoption, but not technology innovation. Thirdly, it has been found that new and young businesses in the UAE have minimal involvement in the high/medium technology sectors. These findings indicate that the UAE government should focus on developing a highly innovative entrepreneurial sector and on supporting high value added new companies that have the potential to grow and to develop internationally. For this to take place and to create efficient support programs that add value, policy makers and business developers need to collaborate with universities and research establishments to develop support systems that work towards supply oriented policies by focusing on innovation, infrastructure and ecological sustainability, rather than on the traditional tools of local demand