It is the dynamic nature of the economy that leads to the constant expansion of industries, which in turn leads to the expansion of other industries that rely on goods and services produced by these industries. And as this process guides economic progress, new industries come about. In the three decades since declaring independence, Lithuania has become a regional hub for science, innovation, and tech. To do this, it not only had to overhaul its institutions and infrastructure but also adopt a progressive, global mindset. Which makes the difference in the country’s innovative success.

While Lithuania can’t claim to be a melting pot of cultures just yet, its major cities are already hosting a large body of international students. Almost 10% of all university students come from abroad, and interestingly, almost 80% of them come from outside of the EU. Retaining talent and attracting highly qualified specialists from abroad is paramount to maintaining a healthy and diverse talent pool. With this in mind, several years ago Invest Lithuania launched Work in Lithuania – an initiative dedicated to encouraging highly- skilled professionals living abroad to build their careers in Lithuania.

The Work in Lithuania database already has almost 21,000 users, with people from Nigeria, India, Georgia, and Brazil at the TOP5. At the same time, Work in Lithuania is involved in educating companies based in the country on issues related to international talent attraction and migration.

GBS & ICT centres in the country provide great opportunities for international talent. For example, 1 in 5 Moody’s employees in Lithuania is a foreign national (the benchmark being 1 in 20). This is the case in many other centres as well, including the Citco Group of Companies, which hires people of 26 nationalities, with 15% of the 800-strong team in Lithuania being citizens of other countries.

In the Western imagination, China is on course to overtake as an economic superpower. While the ascendance of China should not be underestimated, it’s naively forgotten that China is still a laggard in technology. One hurdle to innovation in China is collectivism. Individualism is the most robust cultural predictor of economic performance, and the Chinese are not as individualistic as Westerners.

Unsurprisingly, individualism is associated with innovation, because individualistic people are likely to deviate from the norm and doing so can result in innovation. China’s surveillance state and censored internet, together with a social credit system that promotes conformity, make it unlikely that the country will take the lead in innovation.

One of the most innovative Lithuanian GBS centres, Telia is also among the country’s leaders in corporate social responsibility, especially in promoting children’s IT skills and digital literacy. Telia’s CSR efforts also include building an inclusive workplace. Taking the lead from the company’s HQ in Stockholm, Telia Global Services Lithuania is also an active supporter of equal rights. Danske Bank is another local example at the forefront of diversity and inclusion.

Nasdaq in Vilnius, meanwhile, places great emphasis on building a culture that welcomes diversity and is inclusive for all. To this end, it is building an environment where associates feel connected and empowered. The company supports 11 Employee Networks uniting common interest employee groups from Women in Nasdaq (WIN), Veterans@Nasdaq to OPEN (Out Proud Employees of Nasdaq), representing LGBTQ+ employees and their families.

China will only gain the upper hand by entertaining radical disruptions. A lesson that Lithuania can master with success.