Scaling and commercialisation of locally developed innovations in Malawi

Abstract

Innovation is promoted as a pathway to inclusive development in low-income economies, yet locally developed innovations often fail to scale. This paper analyses how institutional arrangements and actor dynamics shape scaling and commercialisation in Malawi, a least-developed country with expanding science, technology and innovation policies. Using 22 key-informant interviews, 4 focus group discussions and policy-document analysis, the study integrates National Innovation Systems and helix perspectives with Sen’s Capability Approach. The findings reveal an innovation ecosystem that is institutionally dense but functionally fragmented. Weak coordination, overlapping mandates and limited institutional learning undermine collective effectiveness. Governance is asymmetrical, with donors and regulatory bodies exerting system-shaping influence amid a weak domestic private sector. Innovators face capability-conversion bottlenecks – limited follow-on finance, mentorship, regulatory navigation and market access – that stall transitions from prototypes to viable ventures. Strengthening capability-conversion mechanisms and inter-institutional coherence is therefore central to improving innovation outcomes in least-developed contexts.

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