Innovation  and  Entrepreneurship  are considered as the most significant processes for economic growth, productivity and employment. While knowledge becomes an increasingly important part of innovation, the accumulation of knowledge through learning t constitutes a driving force in the development and growth (Penrose, 1959; Spender and Grant, 1996). In this view regions and countries function as collectors and repositories of knowledge and ideas and provide an underlying environment or infrastructure which facilitates the flow of knowledge, ideas and learning. Therefore in understanding the dynamics and the potentialities of regions and countries to promote innovative entrepreneurship, it is essential to envisage the  knowledge based assets of countries that represent the source of competencies and capabilities that are deemed essential for economic growth and competitive advantage (Malhotra, 2001). The purpose of paper is to assess those knowledge assets that could contribute in the creation of innovative entrepreneurship in Balkan countries. The assessment is based on a conceptual framework in which the intangible knowledge assets comprise three main sub-components that include human capital, social /market capital, structural and renewal capital.

Tihis paper was submitted by Valentina Ndou, Ph.D, Pasquale Del Vecchio, Ph.D - Faculty of Innovation for Engineering, Euro-Mediterranean Incubator - University of Salento, Italy