October 9, 2002

Contact: Meredith Erlewine, NBIA Director of Publications
Phone: 740-593-4331
Fax: 740-593-1996
merlewine@nbia.org

ATHENS, Ohio — The National Business Incubation Association (NBIA) today announced the release of Does Technology Incubation Work? A Critical Review of the Evidence, the fourth installment of its Research Series.

In this report, author David A. Lewis provides the most comprehensive literature review of the business incubation industry in over a decade. Focusing on technology incubation, the report evaluates the most important studies and commentaries on business incubation from the last quarter century.

In addition to closely reviewing the literature, Lewis conducted interviews with incubator managers, academic researchers, officials of public agencies that fund incubation programs, administrators at universities that sponsor incubators, and directors of incubation networks.
“David sought a variety of opinions to help explain his findings rather than being content to provide an overview of others’ research,” said Dinah Adkins, NBIA president and CEO. “This report provides a clearly lighted path to follow in identifying relevant material about the business incubation industry, forming opinions on the subject matter or striking off to develop new insights.”

Business incubation programs catalyze the process of starting and growing companies by providing entrepreneurs with an array of customized business support services, such as mentoring, flexible leases, and access to office space, research facilities and manufacturing equipment. These programs diversify economies, commercialize technologies, create jobs and build wealth.

Through research funded by the Economic Development Administration, Does Technology Incubation Work? found that technology business incubation programs that are based on thorough and objective feasibility studies and follow best practices can increase a start-up venture’s chances of success. “A technology business incubator that employs best practices has the potential to achieve stakeholders’ goals and contribute to its host community’s economy,” he said.

Despite the proven positive effects of incubation programs, however, Lewis points out that technology incubators’ long-term social and economic contributions remain unclear, due in part to a paucity of research on the subject. He recommends that as the industry matures, additional research should focus on the long-term effects of technology incubation on client firms and local economies; the impact of geography on technology incubator performance; and comparisons of for-profit technology incubators with nonprofit models.

NBIA is the world’s leading organization advancing business incubation and entrepreneurship. The Association’s Research Series offers timely business incubation industry research with the latest facts and figures in an easy-to-read format. Earlier volumes include Best Practices in Action: Guidelines for Implementing First-Class Business Incubation Programs, Incubating in Rural Areas: Challenges and Keys to Success and The Compensation Question: NBIA’s 2000 Survey of Incubation Executives.

For more information or to purchase a report from NBIA’s Research Series, contact NBIA, 20 E. Circle Drive, #37198, Athens, Ohio 45701; telephone (740) 593-4331; fax (740) 593-1996; or visit NBIA’s online bookstore, www.nbia.org/bookstore, to place secure orders. The price for Does Technology Incubation Work? is $32 for NBIA members and $42 for nonmembers.