Utilization of New Data for the Assessment of the Level of Innovation in Small American Manufacturing Firms

摘要

Based on 598 responses, small firms have more new products per dollar of sales and a higher percentage of sales generated by new products, even after controlling for the age of the firm. The small firm R and D expenditures as a percentage of sales were half as great as those of large firms. While small firms were less likely to have a policy of patenting, the small firms in the sample obtained more patents per R and D dollar and especially per sales dollar. This is further evidence of the surprising capacity of small firms to innovate, even with a reluctance to use the patent system.