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[Research Contribution] A Strategy for Engaging Stakeholders to Implement Living Labs for Addressing Urban Issues

27 December, 2025

Keywords: 4P Engagement Strategy; Living Lab; sustainable urban development

While many cities worldwide have successfully implemented the Living Lab model as a tool to address urban issues and promote sustainable development, Ho Chi Minh City is facing an urgent need to establish and operate Living Labs in its journey to become a smart and sustainable city. International experience shows that the key factor determining the effectiveness of a Living Lab is the level of engagement and cooperation among its stakeholders. Based on a qualitative approach, this paper by researchers from the University of Economics Ho Chi Minh City (UEH) synthesizes the theoretical framework for stakeholder engagement and analyzes leading Living Lab models in Europe and Asia that share similarities with the context of Ho Chi Minh City. From this analysis, the authors propose implications for solutions, methods, and action plans to effectively connect stakeholders, contributing to solving urban problems and fostering the development of a smart and sustainable city.

Living Labs in Smart and Sustainable Urban Development

Many cities ranked as smart cities, such as Singapore, Seoul (South Korea), and Amsterdam (Netherlands), have developed the Living Lab model as an effective tool to address existing urban problems, thereby promoting urban development in a smart, creative, efficient, and sustainable manner. The core of this model is the mobilization and coordination of comprehensive resources—including human, material, financial, and time—from all relevant stakeholders in society.

A Living Lab is understood as an integrated research and innovation platform that connects activities of research, experimentation, development, and application to create practical products, services, or systems that solve specific problems arising from urbanization through technology and innovation. A Living Lab can exist as a physical space, a digital environment, or an interactive space where stakeholders form a close partnership among the public sector, the private sector, academia, and the user community.

The Public-Private-People Partnership (4P), also approached through the “helix of innovation” framework, is considered a foundational characteristic and a prerequisite for the success of a Living Lab. In this model, stakeholders assume different roles, such as policymaking, technology development, research and consulting, testing, feedback, and co-creating solutions.

Research Gap and the Vietnamese Context

Although the Living Lab model has been widely implemented in many countries to address urban issues, its application in Vietnam is still in its initial stages, with no formal models yet established. Meanwhile, for large cities like Ho Chi Minh City—which is orienting its development toward a smart and sustainable urban model—the Living Lab is seen as a potential approach for testing and implementing innovative solutions tailored to the local context.

In this process, the 4P collaboration plays a crucial and novel role in establishing a solid institutional, organizational, and social foundation for the formation and operation of a Living Lab. However, there is currently a lack of systematic research on strategies for engaging stakeholders in a Living Lab, especially studies that combine a theoretical review with an analysis of international case studies to draw lessons applicable to the Vietnamese context.

Research Objectives and Methodology

The main objective of this study is to propose an effective stakeholder engagement strategy for implementing the Living Lab model to address urban issues in Ho Chi Minh City. The study also aims to clarify the roles and timing of participation for stakeholders in the 4P collaboration throughout the different phases of a Living Lab project.

The research employs a qualitative methodology, based on a review of studies and theoretical frameworks related to stakeholder engagement, combined with an analysis of successful Living Lab case studies from around the world.

Analysis of Typical Living Lab Cases

Stratumseind Living Lab (Europe) The Stratumseind Living Lab was launched in 2013 on a central street in the city of Eindhoven (Netherlands), an area with a high concentration of bars that frequently experienced social problems such as violence and theft. The project’s goal was to intervene and improve these issues through two main groups of solutions: (i) “low-level” interventions to change the physical street environment (lighting, colors, scents, spatial design); and (ii) measuring user behavior through a sensor system to collect real-time data.

The success of the Stratumseind Living Lab stemmed from the effective participation and coordination of multiple stakeholders, with the government funding approximately 50% of the total project cost, alongside the involvement of universities, research institutes, technology companies (like Philips), and the resident community. Although its scope did not cover the entire city, the project created a data ecosystem and an evidence-based decision-making platform, providing valuable lessons for smart urban management.

Alley Living Lab (Asia) The Alley Living Lab in Daegu, South Korea, focuses on urban regeneration through its alleys—small urban spaces that hold significant cultural and social value. This Living Lab mobilizes artists, artisans, local residents, and related organizations to participate in co-creation to improve the living environment, restore cultural values, and enhance the quality of life.

Through this community-based co-creation process, Daegu has developed a widespread network of Living Labs, promoting urban democracy, increasing citizen participation, and connecting innovation initiatives at the individual, alley, and urban levels.

Proposing a 4P Stakeholder Engagement Strategy

The 4P (Public-Private-People) partnership is identified as the core foundation for the sustainable formation and development of a Living Lab. In this model:

The Public Sector plays an institutional enabling role, creating conditions and providing strategic direction. Universities and research institutes support this with methodologies, research, and innovation.
The Private Sector participates by developing, testing, and commercializing solutions, while benefiting from access to real-world data and users.
The People (Community) are involved throughout the process of co-creation, evaluation, and use of solutions, helping to ensure the social relevance and sustainability of the Living Lab.

Based on the theory of Mitchell et al. (1997), the proposed stakeholder engagement strategy consists of five stages: (1) identification; (2) recruitment; (3) engagement; (4) contribution; and (5) evaluation & adjustment. This strategy is implemented flexibly across the different development phases of a Living Lab to optimize partner participation and commitment.

Figure 1. Collaboration based on the 4P Platform and Stakeholders (Source: Steen & Van Bueren, 2017)

Proposing Methods for Connecting Stakeholders in Urban Living Lab Development

First, it is necessary to organize open dialogue spaces to promote multi-stakeholder exchange and discussion and to establish a common vision for the Living Lab, ensuring all participants recognize their own benefits within an open innovation framework.

Second, the coordinating unit needs to build an effective connection platform between the public sector, the private sector, research and training institutions, and the community. Based on this, it should proactively identify and select suitable partners to participate in the project, aiming to form a network with the capacity to co-design and implement Living Lab projects.

Third, the connection platform should allow for direct, flexible, and timely interaction among stakeholders, creating conditions to promote collaboration, co-creation, and the testing of solutions in a real urban context.

Fourth, the organizing unit should proactively design and implement issue-based events, forums, and seminars to enhance communication and build commitment among stakeholders. During the exploration phase, research institutes and universities play a core role, coordinating with local authorities to identify potential target groups for the Living Lab. For the community—the end-users—an appropriate approach is needed, simplifying language and participation methods to encourage genuine partnership throughout the project.

Fifth, during the establishment phase, the vision, objectives, implementation roadmap, and demo plan must be clearly published with transparent information to minimize risks and increase stakeholder trust. As Living Labs are highly experimental, coordinating units must clarify the value that each party can gain, with experience, data, and knowledge accumulated during the process being considered the most important benefits.

Sixth, a collaborative culture based on an open mindset should be built, encouraging the acceptance of diverse ideas and solution proposals. Innovation is a process of seeking new solutions for the future; therefore, openness, a willingness to experiment, and risk acceptance are prerequisites for effective collaboration.

Seventh, establishing a fixed physical space to host meetings, workshops, and events for the Living Lab is necessary to maintain regular interaction among partners. This location could be selected by local authorities, preferably near the project implementation area (such as the Truong Tho area in Thu Duc City) for convenient coordination and monitoring.

Finally, communication activities should be implemented throughout the Living Lab’s lifecycle to raise awareness and sustain stakeholder participation. This includes: building and developing the Living Lab brand; developing a website, videos, publications, and e-newsletters; organizing workshops, forums, and innovation competitions; and promoting multi-channel communication in the press, on television, and on social media to disseminate the value, results, and positive impact of the Living Lab on the community and the city.

Authors: Assoc. Prof. Dr. Trinh Tu Anh, Dr. Duong Thi Thuy Trang, MA. Do Le Phuc Tam – University of Economics Ho Chi Minh City

This article is part of the series spreading research and applied knowledge from UEH with the message “Research Contribution For All.” UEH cordially invites readers to look forward to the next UEH Research Insights newsletter.

News, photos: Authors, UEH Department of Communications and Partnerships