How do mission-oriented innovation policies work? A theory of action derived from the EU missions

Abstract Mission-oriented innovation policy (MOIP) aims to address major societal challenges. Although this approach has received much attention in academia and public policy in recent years, there is still significant uncertainty about how MOIPs are intended to address those challenges and what makes them work or fail. In this article, we advance a theory of action of MOIPs, drawing on the influential work of Mariana Mazzucato and the experiences in the design and implementation of the EU missions. By outlining the key building blocks of MOIPs and how they are interconnected, the theory of action provides an integrated perspective on how MOIPs are expected to contribute to solving persistent societal problems. In our discussion, we reflect on possible explanations for gaps between theory and practice; how our theory of action relates to existing MOIP frameworks; and to what extent the theory of action is transferable to other contexts.