Lab2Market - circumventing barriers to continuous innovation at small, financially restricted enterprises

Abstract

Small, financially restricted enterprises - such as start-up companies or incubators in developing countries - usually lack resources to promote, support and manage continuous innovation. The initial innovation burst at these enterprises is usually followed by non-innovative routine activities that tend to swamp the available staff. After examining typical barriers to more frequent innovation at enterprises in Brazil - but which also seem valid worldwide, this paper presents a proposal to circumvent them through a cost-efficient, risk seeking solution. Preliminary evidence the solution works is provided in the form of simple case studies from two small companies and a technology-based company incubator in Northeastern Brazil. Conditions for the application of the solution to enterprises in other parts of the world are explored.