On why some firms are more innovative than others: a firm-level study of heterogeneity in innovation performance

摘要

In this paper, a study into innovative capacities of SMEs in the UK is reported. The ability of a firm to develop successful innovations is a function of their innovative capacities. The resource-based perspective suggests that performance advantage accrues to firms with imitable resources and capabilities. This paper suggests a framework for managing capacity building for innovation. The model discussed herein explains heterogeneity in innovation performance. Four major dimensions of capacity to innovate are discussed: they are culture, resources, competence, and networking. A firm's innovation performance is related to the ability of its management to nurture innovative capacity.