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It is widely recognized that the investment in human capital, innovation, and knowledge transfer is essential to sustainable development and growth. Within this context, the role and action of Higher Education Institutions (HEI) are vital. This paper aims to reflect on the role and the economic impact of a higher education institution, based on the case study of a public HEIs in Portugal namely the Polytechnic Institute of Beja (IPBeja). This institution belongs to the subsystem of polytechnic higher education and is located in a region that has one of the lowest economic and population densities in Europe.