This article seeks to undertake a critical assessment of the changing position of public science in the entrepreneurial ecosystem of the countries on the periphery of European research. These countries are driven by new innovation paradigm based on entrepreneurship, which are implemented within the European Smart specialization strategy (S3). This article argues that S3 is widely implemented in the cohesion countries and, while it provides substantial resources for science, technology, and innovation, it fails to provide sustainability in the public research sector. This has direct implications for policies concerning innovation and entrepreneurial ecosystems. In order to prove the thesis, the article provides theoretical argumentation for emergence of a new innovation paradigm, driven by the rise of the entrepreneurial ecosystem, its incorporation into S3, and a consequent retreat of science policy in favor of entrepreneurial policy. The empirical analysis is focused on the funding trends seen in the business and public research sectors over the last decade (2008–2017), which have clearly shown that S3 has not contributed, despite expectations, to an increase in public expenditure for science. This signifies S3's neglect of public research within entrepreneurial ecosystems and challenges the ability of S3 to reduce wide disparities in research and innovation performance across the European Union. This ultimately endangers the innovation potential of the entrepreneurial ecosystem itself.
We explore the meaning of rituals of public plant-opening ceremonies, which are popular in many countries and mandatory in Russia for greenfield investment projects implemented by multinational corporations. The study is based on the analysis of videos from the public opening ceremonies supplemented with the analysis of financial data on the studied industrial projects. We argue that in a country with underdeveloped physical infrastructure and volatile business regulations opening ceremonies for new industrial projects have three implications: 1) such events are festivities which are centered on an exchange of gratitude between foreign investors and the local authorities for their non-opportunistic behavior; and 2) such events serve as “the rite of passage” of a newly-built facility into the local business and social infrastructure; 3) assurances in speeches during opening ceremonies about the long-term nature of industrial projects are taken seriously as obligations and serve as an additional barrier to exit from industrial assets.