Among the nearly one million Russians who fled the former Soviet Union and came to Israel in the 1990s, there were many physicists, mathematicians, and scientists. Israel quickly found a way to put them to work by creating the elaborate incubator system. The system gave these doctors and scientists money and support to launch all sort of new businesses based on their professional expertise.
As a nation of immigrants, Israel thrives on its diversity. You can feel it as you walk through neighborhoods and see Ethiopian, Russians, Iraqi, Indian, and American born Jews flowing through the streets. This diversity is not only good for the food in this country (which by the way is amazing) but the fusion of these diverse cultures contribute heavily to the massive amounts of innovation coming out of Zion.