Research and development as a determinant of growth in entrepreneurial activity in Russian regions
Abstract
Relevance. The study addresses the critical role of Research and Development (R&D) in fostering entrepreneurial growth in Russia, particularly amid challenges such as centralized financing, an aging population of skilled specialists, and external sanctions pressure in high-tech sectors.
Research objective. This study examines the impact of R&D on firm creation across 80 Russian regions from 2015 to 2021, with a focus on differentiating between fundamental and applied research.
Data and methods. The analysis is based on regional datasets spanning 2015–2021, employing regression methods to assess the relationship between R&D investment and entrepreneurial activity.
Results. The findings indicate a significant positive association between R&D and entrepreneurial growth, both in the current and subsequent years. Regional heterogeneity analysis reveals that fundamental research exerts the strongest effect, exceeding applied research and development activities, despite receiving the smallest budget allocation. The lagged effects remain statistically significant, confirming that knowledge spillover mechanisms operate across a one-year horizon. Historical and structural challenges, including centralized funding and demographic constraints, further shape these outcomes.
Conclusions. To sustain and enhance R&D-driven entrepreneurship, the study recommends decentralizing tax policies and improving access to federal resources for regional technological development, particularly in education and innovation ecosystems. Addressing these issues is crucial for mitigating the adverse effects of sanctions and brain drain in high-tech sectors.
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DOI: https://doi.org/10.15826/recon.2026.12.1.005
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