Despite their benefits, innovation ecosystems face several challenges, including: - Resource Constraints: Limited access to funding, talent, and infrastructure can hinder ecosystem growth. - Regulatory Hurdles: Complex and restrictive regulations can stifle innovation and entrepreneurial activities. - Cultural Barriers: Differences in cultural attitudes towards risk-taking and failure can impact collaboration and innovation. - Fragmentation: Lack of coordination and alignment among ecosystem participants can lead to inefficiencies and missed opportunities.