ABSTRACT

Smart cities have focused on innovative ways to use resources in order to make regions more liveable. This liveability factor is based on innovation, knowledge and networks being available within a region based on business clusters and competition. This chapter discusses the role of innovation systems in building collaboration between individuals, government, society, the environment and the areas needed to create better smart cities. Building on the regional economics literature regarding innovation, it focuses on how ecosystems develop through interaction. The chapter examines the role of innovation systems for smart cities in terms of its role in developing an entrepreneurial and knowledge-based economy. It outlines social innovation in terms of cohesion and promoting a multi-ethnic and diverse city that brings together people for a common benefit. The chapter links the social innovation literature to the smart city research and discusses the role of social innovation in smart cities that offers suggestions for businesses and policy analysts.