Purpose In this study, we analyse the multidimensional drivers of innovation in Polish bioeconomy enterprises and how internal-external interactions enable sustainable transformation. We test a model combining technological know-how, key enabling technologies, innovation potential, process innovation and the resulting innovation in traditional and specialised markets. Design/methodology/approach The project used a mixed-method approach, combining an entrepreneurial discovery process, interviews with experts and a survey of 252 companies in the LifeScience cluster. Measures were assessed using confirmatory factor analysis. Comparisons of market types were made using Bayesian structural equation modelling. Common methodological variance was assessed using latent factor tests and univariate tests. Findings In specialised markets, technological know-how is positively related to innovation potential, which in turn strengthens process innovation and contributes to innovation outcomes. The effects associated with key enabling technologies are not statistically significant in the current sample. Although indirect effects are observed, their statistical reliability is limited due to the small size of the subgroups analysed. Research limitations/implications The study has a limited regional scope, focusing on bioeconomy enterprises in Malopolska, which limits the generalisability of the results. The cross-sectional design and sample size limit the identification of indirect effects and the assessment of long-term innovation dynamics, especially with regard to key enabling technologies. In addition, there was no in-depth analysis of employee skills, sustainability factors and technological heterogeneity. Future research should employ longitudinal and comparative designs, larger samples and improved measurement models to better capture capacity development, technological heterogeneity and policy-driven innovation processes in the bioeconomy sector. Practical implications The results suggest that managers can benefit from prioritising the development of internal capabilities such as process maturity, organisational knowledge and overall innovation capacity. From a policy perspective, the results suggest that supporting sector-specific skills development, cluster collaboration and targeted R&D incentives may be more effective than broadly defined technology push-based programmes, particularly in the context studied. Social implications Strengthening the capacity of bioeconomy enterprises can accelerate sustainable transformation, reduce resource consumption and bring social benefits through eco-innovation in food, materials and environmental services. Originality/value The study presents a multidimensional, market-contingent model and shows that internal capabilities outweigh external technologies in driving sustainability-oriented innovation.
Sołtysik et al. (2026) studied this question.