Article Analysis



Thearticle “Global ranking tells worrisome tales about state of Canadainnovation” was written by Kelvin Lynch and published by The Globeand Mail on September 15, 2015. The purpose of the article was tooffer a discussion of how Canada has been falling short of innovationas compared to other developed countries. Lynch highlights severalfactors that have resulted in the innovation gap in Canada, where themain ones include the lack of direct government’s support ofinnovative projects, SMEs’ lack of tendency to export, failure tointegrate entrepreneurship and innovation into the higher educationsystem, and risk adverse behavior in public procurement practices(Lynch, 2015). Lynch’s observation is correct and it is supportedby nearly every research and scholarly work that is available.

Trendshave shown that Canada has been struggling to liberate its privatesector in a state dominated enterprise for the last 30 years(Mazzucato, 2014). This explains why most of the government policieshave focused on tax reductions, liberalization of trade, and interestrates, as Lynch stated, while focusing less on innovative projects.This implies that Canada’s priority has been to strengthen theprivate enterprise and reduce the government involvement in business,which are the key characteristics of any innovative economy. Fromthis perspective, it can be argued that Canada has been preparing itseconomy for innovation, but unfortunately it has been overtaken byother developed countries.

Thelack of innovation centers and the failure to integrate innovationand technology into the higher education are among the key factorsthat Lynch believes that they have limited Canada’s capacity toinnovate. This observation has also been mentioned severally by otherscholars. According to Eghchler (2014) more than 350,000 Canadianexperts work in Silicon Valley in U.S. since their country has notprovided a platform that can bring them together and exercise theirinnovative minds. This amounts to brain drain, which implies thatCanada’s competitiveness at the global level is being diminished byits homegrown experts who find opportunities elsewhere. Therefore, itis true to state that Canada has lost in terms of innovation becauseit has failed to establish innovation centers that could help itcompete with Silicon Valley of the United States among other centersin other developed countries.

Scholarsagree that Canada’s public policies have played a key role ininhibiting innovation in the country. Ironically, studies have shownthat the government policies on economic have helped Canada to beranked as one the developed countries with the lowest cost ofoperating a business (Brown, 2014). Unfortunately, governmentagencies have adopted a “risk averse” behavior that does allowthem to procure from emerging enterprises, which in turn denyCanadian entrepreneurs the opportunity to invest in new projects.

Inconclusion, Lynch’s observation that Canada has lost itscompetitiveness in terms of innovation is correct. In overall, publicpolicies focus on reducing the cost of operating a business whilecreating an environment that discourages innovation. This notion issupported by available research and scholarly works.


Brown,R. (2014). Innovationand business strategy: Why Canada falls short.Ontario: Council of Canadian Academies.

Eghchler,L. (2014). Is there an innovation gap in Canada? TheGlobe and Mail.Retrieved November 3, 2015,from

Lynch,K. (2015). Global ranking tell worrisome tale about state of Canadianinnovation. TheGlobe and the Mail.Retrieved November 3, 2015, from

Mazzucato,M (2014). Canada falling behind on innovation. Commentary.Retrieved November 3, 2015,from