IMPLEMENTATION

Contents
Executive Summary
iv
Chapter I : Introduction 1
1. Understanding Innovation in India 1
Results from NKC Survey 7
Chapter II : General Trends in Innovation 9
2.1 Measure of Innovation in the economy and impact on economic growth 9
2.2 Approach to Innovation 14
Chapter III : Innovation Strategy 16
3.1 Area of business 16
3.2 Factors influencing Innovation in SMEs 17
3.3 Conceptual Types of Innovation 17
3.4 Timeframe for Innovation projects 19
3.5 Chapter Summary 20
Chapter IV: Firm Structure and Processes 21
4.1 Impact of firm structure on innovativeness 21
4.2 Impact of internal firm processes on innovativeness 23
4.3 Impact of external processes on innovativeness 26
Chapter V: Barriers to Innovation 31
5.1 External and Internal Barriers 31
Chapter VI: Innovation in Manufacturing and Services Firms 35
6.1 Innovation Intensity 35
6.2 Highly Innovative Firms 35
6.3 Impact of Innovation on firm growth 36
6.4 Partnerships with government agencies 36
6.5 Collaboration with universities and R&D labs 37
6.6 Spending on R&D and Innovation 37
6.7 Further remarks 37
6.8 Chapter Summary 38
Chapter VII: Concluding Observations 39
7.1 Innovation Impact 39
7.2 Processes and Services 39
7.3 Intellectual Property 40
7.4 Education 40
7.5 R&D Collaboration 40
7.6 Government Partnerships 41
7.7 Other Barriers to Overcome 41
7.8 Systemic Reforms 42
Annexures 44